Hilton Grand Vacations is changing leadership of its sales and marketing organization. Executive Vice President and Chief Sales & Marketing Officer Dustin Tonkin will leave the company effective April 1, 2027, while Michael Riley has been promoted to take over the role.
Tonkin will remain employed through his departure date to help with the transition. His separation agreement sets out his pay and benefits during that period and the compensation he will receive after leaving.
- Transition period: Tonkin will continue receiving his current base salary and remain eligible for the company’s 2026 annual short-term incentive plan until April 1, 2027. His existing equity awards will continue to vest under their terms, subject to any earlier termination.
- Separation benefits: After leaving, he is entitled to a cash payment equal to twice the sum of his 2026 base salary and 2026 target short-term incentive bonus. He will also receive a 2027 short-term incentive bonus prorated through his departure date and based on actual performance.
- Health and life insurance: The company will cover monthly COBRA premiums for up to 18 months after his departure and the cost of continued basic life insurance for 12 months.
- Stock options: Tonkin will have 24 months from his departure date to exercise vested options to buy Hilton Grand Vacations shares.
- Conditions: The separation benefits depend on Tonkin complying with restrictive covenants and signing a general release of claims that he does not revoke. The covenants include non-compete and employee non-solicitation provisions lasting two years after his departure.
- Prior severance terms: The new agreement replaces his previous severance agreement. The benefits are substantially the same as those he would have received under the earlier agreement after a qualifying termination.
What changes: Riley’s appointment shifts the sales and marketing leadership role to a new executive, with Tonkin staying on for several more months to support the handover. The agreed separation benefits largely mirror Tonkin’s prior severance protection, while setting a specific departure date and extending the period for exercising vested stock options.