Form 4: Allison Transmission COO, CFO & Treasurer Bohley G Frederick Reports Acquisition of Stock Options and Restricted Stock Units

G Frederick Bohley, COO, CFO & Treasurer of Allison Transmission Holdings Inc, reports the acquisition of stock options and restricted stock units.

Summary

• On February 19, 2025, G Frederick Bohley, COO, CFO & Treasurer of Allison Transmission Holdings Inc, acquired 14,322 employee stock options with an exercise price of $103.78.
• These options vest in three equal installments beginning on February 19, 2026, and expire on February 19, 2035.
• Bohley also acquired 4,772 restricted stock units (RSUs), each representing a contingent right to receive one share of Allison Transmission Holdings, Inc. common stock.
• These RSUs vest in three equal annual installments beginning on February 19, 2026.
• Following these transactions, Bohley directly owns 14,322 derivative securities from stock options and 4,772 derivative securities from RSUs.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The granting of stock options and RSUs to a key executive is a standard practice and suggests confidence in the company's future performance. There are no explicitly negative aspects presented in the document.

Positives

• The acquisition of stock options and RSUs by a key executive like the COO, CFO & Treasurer can be seen as a positive sign, indicating confidence in the company's future performance.

Future Outlook

The vesting schedules for the stock options and RSUs indicate a multi-year incentive plan for the executive, aligning their interests with the long-term performance of the company.

Industry Context

Executive compensation through stock options and RSUs is a common practice in publicly traded companies to incentivize performance and align management's interests with shareholders.

Comparison to Industry Standards

• Stock option grants are a standard component of executive compensation packages in the automotive and industrial sectors, often benchmarked against peer companies like Cummins, Dana, and BorgWarner.
• The vesting schedules, typically three to four years, are also consistent with industry norms to ensure long-term commitment and performance alignment.
• RSUs are also a common tool, providing a direct link to company stock performance and shareholder value.

Stakeholder Impact

• Shareholders may view the granting of stock options and RSUs as a positive sign, aligning management's interests with the company's long-term success.
• Employees may see this as a sign of stability and potential growth within the company.

Key Dates