Penn State’s athletic director Pat Kraft receives contract extension. Here are the details

Penn State’s athletic director Patrick Kraft received a contract extension that will keep him at the university for another eight years.

The board of trustees unanimously approved Kraft’s contract extension Monday morning that will go through June 30, 2032.

The average annual value of guaranteed compensation is $2.26 million per year, over eight years. There’s opportunity for an additional performance bonus of up to $350,000 annually, a release from the university states. That’s based on reaching specific goals, including for academic and competitive excellence.

When he was hired in April 2022, his base salary was $750,000 annually with additional compensation beginning at $500,000 in the first year and escalating up to $660,000 in the fifth and final year of that contract.

Segal, a consulting firm, worked with the university to conduct a nationwide market analysis of NCAA Division 1 athletics directors compensation, the release states, to determine a “competitive compensation level.”

Penn State President Neeli Bendapudi in the release said as the vice president for intercollegiate athletics, Kraft has brought valuable insight to the university

Pat is an extraordinary leader who brings valuable insight and strategic direction to Athletics and the University, with a focus on both athletic and academic success for Penn State’s more than 800 student-athletes,” Bendapudi said. “This new contract will help ensure Penn State continues to benefit from Pat’s leadership for years to come.”

Kraft joined Penn State in July 2022, taking over from former AD Sandy Barbour. The release highlighted his career at the university so far, including six individual NCAA champion athletes, 19 nationally ranked teams and the NCAA National Champion wrestling team in the 2023-24 season.

Kraft has created a mental health and wellness department within Intercollegiate Athletics, according to the release, which states he has invested in enhancing their experience through nutrition, mental health support, recovery and travel programs. Penn State has a 93% NCAA Graduation Success Rate, with 12 programs at 100% ratings, with Kraft leading them, according to the release.

Board of trustees chair Matthew Schuyler applauded Kraft’s leadership, achieving new records in philanthropic gifts and focusing on student athlete’s well-being at Penn State.