Form 4: Director Jessica Graziano Reports Acquisition of Phantom Stock in Air Products & Chemicals, Inc.

Jessica Graziano, a director of Air Products & Chemicals, Inc., reported the acquisition of phantom stock units under the company's Deferred Compensation Program for Directors.

Summary

• On March 31, 2024, Jessica Graziano, a director of Air Products & Chemicals, Inc. (APD), acquired 139.5753 phantom stock units.
• These units were acquired under the Air Products Stock Account of the issuer's Deferred Compensation Program for Directors, as part of the Company's Long-Term Incentive Plan.
• The price of the phantom stock is $242.27.
• Following the transaction, Graziano directly owns 890.9424 derivative securities.
• These units are payable in the form of shares of common stock at a future date elected by the reporting person, generally after their service on the Board of Directors ends, and can be received in a lump sum or up to ten installments.

Sentiment

Score: 7

Explanation: The document is a standard regulatory filing, indicating a neutral sentiment. The acquisition of phantom stock is a positive sign of alignment between the director and the company's long-term performance, but it's a routine transaction.

Positives

• The acquisition of phantom stock units aligns the director's interests with the long-term performance of the company.
• The Deferred Compensation Program for Directors provides a tax-advantaged way for directors to accumulate company stock.

Future Outlook

The phantom stock units will be payable in the form of shares of common stock at a future date elected by the reporting person, generally after their service on the Board of Directors ends, and can be received in a lump sum or up to ten installments.

Industry Context

This Form 4 filing is a routine disclosure related to insider transactions and is common for directors and officers of publicly traded companies. It reflects compensation practices and equity ownership within Air Products & Chemicals, aligning with standard corporate governance practices.

Comparison to Industry Standards

• Deferred compensation plans, including phantom stock arrangements, are common among large publicly traded companies to attract and retain directors.
• Companies like Linde, Sherwin-Williams, and PPG Industries also utilize similar long-term incentive plans for their executives and directors.
• The specific terms of these plans, such as vesting schedules and payout options, can vary, but the underlying goal is to align the interests of management with those of shareholders.

Stakeholder Impact

• The acquisition of phantom stock units by a director can positively influence shareholder confidence by aligning management's interests with the company's long-term success.

Key Dates