Form 4: Air Products Director Acquires Phantom Stock Units Through Deferred Compensation Plan

Air Products director Matthew H. Paull acquired 66.6742 phantom stock units through the company's deferred compensation program.

Summary

• Matthew H. Paull, a director at Air Products & Chemicals, Inc., acquired 66.6742 phantom stock units on December 31, 2024.
• These units were acquired through the Air Products Stock Account of the company's Deferred Compensation Program for Directors.
• The units are part of the company's Long-Term Incentive Plan.
• The phantom stock units will be payable in the form of common stock at a future date elected by Mr. Paull, typically after his service on the board ends.
• The payment can be made in a lump sum or up to ten installments.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to slightly positive as it aligns director interests with the company's long-term performance.

Positives

• The acquisition of phantom stock units aligns the director's interests with the long-term performance of the company.
• The deferred compensation program allows for tax-advantaged savings for the director.

Future Outlook

The phantom stock units will be converted to common stock at a future date elected by the director, typically after his service on the board ends.

Industry Context

This type of deferred compensation is common for directors of publicly traded companies, aligning their interests with long-term shareholder value.

Comparison to Industry Standards

• Deferred compensation plans, including phantom stock units, are a standard practice for compensating directors in large, publicly traded companies like Air Products.
• Many companies in the chemical and industrial gas sector, such as Linde and Sherwin-Williams, utilize similar long-term incentive plans for their board members.
• These plans are designed to retain and motivate directors by linking their compensation to the company's long-term performance.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns director interests with long-term company performance.

Key Dates

Keywords

phantom stock, deferred compensation, director, stock units, long-term incentive plan, Air Products, equity