Form 4: Arthur J. Gallagher & Co. Executive Acquires Stock Options and Phantom Stock
SEC Form 4 Filing
Mark H. Bloom, a Vice President at Arthur J. Gallagher & Co., reports the acquisition of stock options and phantom stock, along with adjustments to existing holdings.
Summary
- Mark H. Bloom, a Vice President of Arthur J. Gallagher & Co., filed a Form 4 detailing changes in beneficial ownership.
- On March 1, 2024, Bloom acquired 5,777 non-qualified stock options with an exercise price of $243.54, exercisable in thirds on the 3rd, 4th, and 5th anniversaries of the grant date.
- Bloom also reported ownership of 4,670.666 shares of phantom stock at a price of $243.13.
- Additionally, Bloom indirectly owns 1,028.26 shares of phantom stock through the Age 62 Plan, a nonqualified deferred compensation plan.
- These shares are deemed invested in company common stock at the election of the reporting person and vest when participants attain age 62, or after one year for those who have attained age 61.
Sentiment
Score: 5
Explanation: The document is a neutral regulatory filing. It doesn't convey any explicit positive or negative sentiment, simply reporting transactions.
Industry Context
This filing is a routine disclosure related to executive compensation and is typical for publicly traded companies like Arthur J. Gallagher & Co. It provides transparency into the equity-based compensation of its executives.
Comparison to Industry Standards
- Equity compensation, including stock options and phantom stock, is a common practice among publicly traded companies to align executive interests with shareholder value.
- Companies like Marsh & McLennan (MMC) and Aon (AON) also utilize similar equity-based compensation plans for their executives.
- The vesting schedules and terms of these plans are generally comparable across the industry, with vesting periods typically ranging from three to five years.
Stakeholder Impact
- The filing provides transparency to shareholders regarding executive compensation.
- It assures stakeholders that executives' interests are aligned with the company's long-term performance through equity ownership.
Key Dates
| Date | Description |
|---|---|
| 03/01/2024 | Date of earliest transaction: Acquisition of stock options at $243.54. |
| 03/01/2031 | Expiration date of the acquired stock options. |
| 03/04/2024 | Date of phantom stock transaction. |
| 03/05/2024 | Date of signature by power of attorney. |
Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.