Form 4: Allison Transmission Director Judy L. Altmaier Reports Acquisition of Deferred Stock Units

Director Judy L. Altmaier acquired 1,570 deferred stock units of Allison Transmission Holdings Inc. on May 8, 2025.

Summary

• On May 8, 2025, Judy L. Altmaier, a director of Allison Transmission Holdings Inc., acquired 1,570 deferred stock units (DSUs).
• These DSUs are part of her annual equity award under the company's director compensation policy and are deferred under the Non-Employee Director Deferred Compensation Plan.
• Each DSU represents the economic equivalent of one share of Allison Transmission's common stock.
• The DSUs will be payable in common stock or cash upon separation from service or a change in control.
• The DSUs vest on the date of the next annual meeting of stockholders.
• The price used to calculate the number of DSUs was $98.72 per share, the closing price of the company's common stock on the grant date.
• Following the transaction, Altmaier directly owns 21,016 DSUs.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The acquisition of deferred stock units by a director is generally a positive sign, indicating confidence in the company's future. However, it's a routine transaction and doesn't necessarily indicate a major shift in the company's prospects.

Positives

• The acquisition of deferred stock units by a director signals confidence in the company's future performance.
• The vesting of DSUs aligns the director's interests with those of the shareholders.

Future Outlook

The DSUs become payable, in common stock, or at the Company's election cash, at the earlier of the reporting person's separation from service or a change in control. DSUs earn dividend equivalents when dividends are declared on the Company's common stock.

Industry Context

This filing is a routine disclosure of insider transactions, which are common in publicly traded companies as part of executive compensation packages. It reflects standard practices for aligning management and shareholder interests.

Comparison to Industry Standards

• Deferred stock units are a common form of equity compensation used by companies like Allison Transmission to incentivize and retain key personnel.
• Companies such as Caterpillar and Cummins, which operate in similar industries, also utilize equity-based compensation plans for their executives and directors.
• The vesting schedules and terms of these plans are generally aligned with industry best practices to ensure long-term commitment and performance.

Stakeholder Impact

• The acquisition of deferred stock units by a director can positively influence shareholder confidence.
• The vesting of DSUs aligns the director's interests with those of the shareholders.

Key Dates

Keywords

Allison Transmission, Director Compensation, Deferred Stock Units, Equity Award, Form 4, Insider Transaction, ALSN