Form 4: APA Corp Director Acquires Phantom Stock Units Under Deferred Compensation Plan

Peter A. Ragauss, a director of APA Corp, acquired 631 phantom stock units on May 22, 2024, under the company's Outside Directors Deferral Program.

Summary

• On May 22, 2024, Peter A. Ragauss, a director of APA Corp, acquired 631 phantom stock units.
• The acquisition was made under the deferred compensation provisions of APA's Outside Directors Deferral Program and is exempt under Rule 16b-3(d).
• Each phantom stock unit is equivalent to one share of APA common stock.
• The price of the phantom stock units is $30.13.
• Following the transaction, Ragauss directly owns 76,666 shares of APA common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to positively as it aligns director interests with shareholders.

Positives

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders.
• The deferred compensation program is a common practice to attract and retain qualified directors.

Industry Context

Deferred compensation plans for directors are a common practice in publicly traded companies to align their interests with those of shareholders and incentivize long-term value creation.

Comparison to Industry Standards

• Many companies in the oil and gas industry, such as ExxonMobil and Chevron, offer deferred compensation plans to their directors.
• These plans often involve the granting of stock options or restricted stock units that vest over time, similar to the phantom stock units acquired by Ragauss.

Stakeholder Impact

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

Key Dates