Form 4: AllianceBernstein CEO Awarded 140,232 Holding Units as Part of Incentive Plan

AllianceBernstein's CEO, Seth P. Bernstein, received 140,232 AB Holding Units as part of his 2024 long-term incentive compensation award.

Summary

• Seth P. Bernstein, CEO of AllianceBernstein, was granted 140,232 AB Holding Units as part of his 2024 long-term incentive compensation.
• The award was approved by the Section 16 Subcommittee of the Board of Directors on December 11, 2024.
• These units are held in a rabbi trust under AllianceBernstein's incentive compensation program.
• The units will vest in equal annual increments on December 1st of 2025, 2026, and 2027.
• The closing price of an AB Holding Unit on December 11, 2024, was $36.19.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, which is generally viewed positively as it aligns management with shareholder interests. The sentiment is neutral to positive.

Positives

• The incentive award aligns the CEO's interests with the long-term performance of the company.
• The vesting schedule encourages continued service and performance from the CEO over the next three years.

Risks

• The value of the award is subject to the market price of AB Holding Units, which can fluctuate.
• The vesting of the units is contingent on the CEO's continued employment and adherence to the terms of the award agreement.

Future Outlook

The awarded AB Holding Units will vest over the next three years, subject to the terms of the award agreement.

Industry Context

Executive compensation packages often include equity-based awards to align management's interests with shareholder value. This award is consistent with common practices in the financial services industry.

Comparison to Industry Standards

• Equity-based compensation is a standard practice for executive compensation in the financial industry.
• Companies like BlackRock, T. Rowe Price, and Franklin Resources also use similar long-term incentive plans for their executives.
• The vesting schedule of three years is also a common practice to ensure long-term commitment from the executive.

Stakeholder Impact

• Shareholders may view this award positively as it aligns the CEO's interests with the long-term performance of the company.
• Employees may see this as a positive sign of the company's commitment to its leadership.

Next Steps

• The AB Holding Units will vest annually on December 1st of 2025, 2026, and 2027, subject to the terms of the award agreement.

Key Dates

Keywords

AllianceBernstein, AB Holding Units, Incentive Compensation, Seth P. Bernstein, Executive Compensation, Rabbi Trust, Vesting