Form 4: Annaly Capital Management Director Acquires Deferred Stock Units

Director Kathy Hopinkah Hannan acquired 8,583 deferred stock units in Annaly Capital Management, Inc.

Summary

• Kathy Hopinkah Hannan, a director of Annaly Capital Management, Inc., reported a transaction involving deferred stock units.
• On May 15, 2024, Hannan acquired 8,583 deferred stock units, which convert to common stock on a one-for-one basis one year after the grant date, unless settlement is deferred.
• The reporting person has elected such deferred settlement for all DSUs reported above.
• Following the reported transaction, Hannan beneficially owns 26,746 deferred stock units.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction, indicating stability and alignment of interests between the director and the company. The acquisition of deferred stock units is generally viewed positively as it incentivizes long-term performance.

Positives

• The acquisition of deferred stock units by a director signals confidence in the company's future performance.

Future Outlook

The deferred stock units will convert to common stock one year after the grant date, unless the director elects to defer the settlement.

Industry Context

Directors receiving deferred stock units is a common practice in corporate governance, aligning their interests with long-term shareholder value.

Comparison to Industry Standards

• Deferred stock units are a common form of executive compensation in the real estate investment trust (REIT) sector, similar to practices at companies like AGNC Investment Corp. and Two Harbors Investment Corp.
• These companies often use equity-based compensation to incentivize long-term performance and align management interests with those of shareholders.

Stakeholder Impact

• The acquisition of deferred stock units by a director can positively influence shareholder confidence.

Key Dates