Form 4: American Express Director Acquires Share Equivalent Units Through Deferred Compensation Plan

Walter Joseph Clayton III, a director at American Express, acquired share equivalent units through the company's Directors' Deferred Compensation Plan.

Summary

• On June 30, 2024, Walter Joseph Clayton III, a director of American Express, acquired share equivalent units.
• The acquisition was made through the Directors' Deferred Compensation Plan.
• A total of 180.31 share equivalent units were acquired at a price of $228.77, resulting in a total of 3,614.246 units beneficially owned.
• These units will be settled in cash following termination of service as a director and are convertible immediately upon termination of service.
• The report was filed on July 2, 2024, by Douglas C. Turnbull, attorney-in-fact.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, indicating a neutral to slightly positive sentiment as it shows continued investment by a director.

Positives

• The acquisition of share equivalent units demonstrates the director's continued investment in the company.
• The Directors' Deferred Compensation Plan allows directors to align their interests with those of shareholders.

Industry Context

Form 4 filings are standard practice and provide transparency into the transactions of company insiders, allowing investors to track ownership changes and potential alignment of interests.

Comparison to Industry Standards

• Director compensation plans, including deferred compensation and share equivalent units, are common across publicly traded companies.
• The specifics of American Express's Directors' Deferred Compensation Plan would need to be compared to similar plans at peer companies like Visa, Mastercard, and JPMorgan Chase to assess its relative attractiveness and impact on director incentives.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the director's interests with the company's performance.

Key Dates