Financial information
REI is a consumer cooperative and reports its financial results to members each year to coincide with the annual distribution of member rewards. Here, you can find information about the co-op's annual financial results, including the most recent audited financial report.
More in-depth information is available at the following links:
Public disclosures
Federal and state laws require REI to file forms describing certain, more detailed, aspects of our work on policy matters. These disclosures are updated on a regular basis. We believe the most useful tools for tracking the data are:
- Public disclosure for federal policy advocacy
- Lobbying disclosure for federal policy advocacy
- Policy advocacy in Washington state
With respect to financing campaigns for public office, REI as a company makes no contributions to candidates, either directly or indirectly, via super PACS. REI employees and executives may choose to make personal contributions to political campaigns. In addition, the OIA operates a political action committee, and eligible REI employees may make contributions to it. At both the federal level and the state level, there are systems in place that capture and disclose information about campaign contributions. In our view, the best tools for tracking that data are:
- Federal campaign contributions by individuals and PACs
- Contributions to Washington state campaigns by individuals and organizations
REI Director and Executive Compensation
Director and Executive Compensation Governance
The Compensation Committee of our Board of Directors, which consists of independent directors, oversees executive and director compensation. The Compensation Committee engages an independent compensation consultant for guidance and input, which reports directly to the Committee and does not provide other services to the co-op. All compensation programs and practices overseen by the Compensation Committee are informed through relevant market data from peer companies in the retail and outdoor industries of similar, size, scope, and complexity.
The Committee’s responsibilities include:
- Director Compensation: Reviewing and recommending director compensation to the Board of Directors every two years.
- CEO Compensation: Reviewing and recommending CEO compensation to the Board of Directors annually. The Board of Directors approves CEO compensation, with no involvement from the CEO, based on recommendations from the Compensation Committee. Our CEO is a member of the Board of Directors but does not participate in discussions or decisions regarding the CEO’s own compensation.
- Executive Compensation: Reviewing and approving pay for executive officers annually.
- Incentive Plans: Reviewing and approving incentive plan design including, but not limited to, performance metrics, weightings, and goals.
- Compensation Practices: Assessing overall director and executive compensation practices against the current business environment and REI’s long-term strategic plan.
Director Compensation Overview
REI’s director compensation is a cash-based program designed to attract highly qualified co-op members with the leadership, business acumen, and character to guide REI while aligning with the co-op’s values. The Board Chair, Vice Chair, and chairs of the three standing committees (Audit & Finance, Compensation, and Nominating & Governance) receive additional compensation due to the increased responsibilities of their roles.
Directors | $125,000 per year |
Board Chair | Additional $50,000 per year |
Board Vice Chair | Additional $25,000 per year |
Committee Chair | Additional $25,000 per year |
Travel Expenses | Reimbursed for reasonable expenses |
*Effective as of January 1, 2022. No changes were made to the director compensation during the bi-annual review completed in 2024.
Executive Compensation Overview
REI’s executive compensation program is designed to attract, engage, and retain experienced leaders who can drive the co-op’s long-term success while staying true to our values. Our approach is built to balance REI’s cooperative principles with the realities of a competitive business environment. While maintaining financial discipline and accountability, the program is designed to ensure that executive pay supports the co-op’s mission to connect every person to the power of the outdoors and engage them in the fight to protect it.
The key principles guiding our compensation strategy include:
- Pay for Performance: A significant portion of executive compensation is intended to be tied to the achievement of financial, strategic, and operational goals that are deemed critical to REI’s long-term sustainability.
- Competitive Compensation: Compensation is intended to be market-aligned to attract, engage, and retain high-caliber leaders with the skills and experience necessary to drive success in a dynamic and competitive landscape.
- Strategic Alignment: Performance goals are intended to support both the short-term and long-term priorities of the co-op while reflecting REI’s mission and values.
Compensation consists of a mix of fixed and performance-based elements, each serving a distinct purpose in driving business objectives and rewarding performance. The table below outlines the key elements of REI’s executive compensation programs and their objectives:
Element | Objective |
|---|---|
Base Salary | Provides a stable source of income that reflects an executive’s responsibilities, experience, and performance. Reviewed periodically for market competitiveness. |
Annual Cash Incentive | Rewards executives for achieving key financial and strategic goals within a single fiscal year. Payouts are based on performance metrics such as revenue and profitability, subject to Compensation Committee review. |
Long-Term Cash Incentive | Drives sustained performance over a three-year period. Awards are tied to long-term financial and strategic objectives, ensuring alignment with REI’s mission and values. |
Retirement Plan Contribution | Supports long-term financial security. The co-op makes annual contributions based on company profitability, with executives participating under the same terms as other eligible employees. |
To emphasize the importance of performance-based compensation, base salary and benefits typically represent less than half of an executive’s total target compensation. The weighting of these elements is intended to promote a pay-for-performance culture. We also provide executives with the same health and welfare benefits available to the broader employee population.