Form 4: Aris Water Solutions Director Donald C. Templin Receives Stock Award

Director Donald C. Templin received 9,352 shares of Aris Water Solutions Class A common stock as part of an annual restricted stock unit (RSU) award.

Summary

• Donald C. Templin, a director of Aris Water Solutions, Inc., received 9,352 shares of Class A common stock on July 1, 2024.
• The shares were awarded as restricted stock units (RSUs) under the company's 2021 Equity Incentive Plan as compensation for his duties as a non-employee director.
• Each RSU represents the right to receive one share of the Issuer's Class A common stock.
• The RSUs will vest on the earlier of the company's 2025 annual meeting of stockholders (if Templin is no longer on the board) or July 1, 2025.
• Templin now beneficially owns 119,005 shares of Aris Water Solutions Class A common stock.
• Templin has granted power of attorney to Amanda M. Brock, Stephan Tompsett and Robert W. Hunt, Jr. to handle SEC filings on his behalf.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. It reflects a standard compensation practice, indicating confidence in the director's continued service and alignment with shareholder interests.

Positives

• The RSU grant aligns director compensation with company performance and shareholder value.
• The vesting schedule encourages continued service on the board.

Future Outlook

The document does not contain specific forward-looking statements regarding the company's future performance, but the RSU grant suggests an expectation of continued service from the director.

Industry Context

Director compensation in the form of stock awards is a common practice in publicly traded companies to align the interests of directors with those of shareholders. The vesting schedule is designed to incentivize long-term commitment.

Comparison to Industry Standards

• Stock awards for non-employee directors are a standard practice across the industry.
• The size of the award (9,352 shares) would need to be compared to similar companies in the water solutions or energy sector to determine if it is within the typical range.
• Companies like Tetra Tech, Xylem, or Ecolab could be considered for benchmarking director compensation practices.

Stakeholder Impact

• The RSU grant aligns the director's interests with those of shareholders, potentially leading to better decision-making.
• The grant has a minor dilutive effect on existing shareholders.

Key Dates