Form 4: ARW Director Acquires Deferred Stock Units

Arrow Electronics Director Michael D. Hayford acquired 222.29 Deferred Stock Units as part of a compensation plan.

Summary

• Director Michael D. Hayford acquired 222.29 Deferred Stock Units (DSUs) of Arrow Electronics, Inc. on August 15, 2025.
• These DSUs were issued under the company's Non-Employee Directors Deferred Compensation Plan.
• Each DSU is convertible into one share of Common Stock upon the director's death or separation from service.
• Following this acquisition, Michael D. Hayford beneficially owns a total of 1,364.47 DSUs.
• The implied price per DSU at the time of acquisition was $123.71.

Sentiment

Score: 5

Explanation: The filing reports a routine, expected transaction related to director compensation, which is neutral in terms of immediate positive or negative sentiment.

Positives

• Acquisition of Deferred Stock Units by a director aligns their interests with shareholders.
• The transaction is part of a pre-existing compensation plan, indicating routine corporate governance.

Future Outlook

This Form 4 filing does not contain forward-looking statements or guidance, as it reports a past transaction related to director compensation.

Industry Context

This filing reports a routine equity compensation grant to a director, which is a standard practice across various industries to align management and director interests with shareholders. It does not provide specific insights into broader industry trends or competitive dynamics within the electronics distribution sector.

Comparison to Industry Standards

• The issuance of Deferred Stock Units as part of a non-employee director compensation plan is a common practice in publicly traded companies, including those in the technology and electronics distribution sectors.
• Companies like Avnet (AVT) or Tech Data (now part of TD Synnex) also utilize similar equity-based compensation structures for their non-executive directors to foster long-term alignment with shareholder value.
• The specific number of units and their value are commensurate with typical director compensation packages for companies of Arrow Electronics' size and market capitalization.

Corporate Governance

Related Party Transactions

• The transaction involves a director receiving compensation from the company, which is a standard related-party transaction disclosed in Form 4 filings.

Stakeholder Impact

• Shareholders: Interests are further aligned with the director through equity ownership.

Next Steps

• The Deferred Stock Units will be settled by the issuance of Common Stock on a one-for-one basis following the director's death or separation from service.

Key Dates

Keywords

Arrow Electronics, ARW, Form 4, Insider Transaction, Deferred Stock Units, Director Compensation, Michael D. Hayford, Equity Compensation