Form 4: Autoliv Director Reports Future RSU Acquisition

Autoliv Director Adriana Karaboutis filed a Form 4 reporting the acquisition of 12.5458 restricted stock units scheduled for December 10, 2025, increasing her total beneficial ownership to 1,741.1225 RSUs.

Summary

• Adriana Karaboutis, a Director of Autoliv Inc. (ALV), reported the acquisition of 12.5458 Restricted Stock Units (RSUs).
• The transaction date for this acquisition is stated as December 10, 2025.
• Following this reported transaction, Ms. Karaboutis will beneficially own 1,741.1225 derivative securities (RSUs).
• Each RSU represents a contingent right to receive one share of ALV common stock.
• Dividend equivalent rights accrue as additional RSUs, subject to the same vesting schedule as the underlying RSUs.
• The RSUs are scheduled to vest and convert to shares in one installment on the earlier of Autoliv's 2026 annual stockholder meeting or May 8, 2026.

Sentiment

Score: 6

Explanation: Slightly positive as it indicates standard director compensation and aligns director interests with shareholders, with no negative implications.

Positives

• The acquisition of RSUs aligns the director's interests with those of shareholders, as the value of the compensation is tied to the company's stock performance.
• The grant of equity compensation is a standard practice to attract and retain qualified board members.

Risks

• The value of the RSUs, once vested and converted to common stock, is subject to the market price fluctuations of Autoliv Inc. common stock.
• Failure to meet vesting conditions (e.g., continued service) could result in forfeiture of the unvested RSUs.

Future Outlook

The acquired Restricted Stock Units are scheduled to vest and convert into Autoliv common stock on the earlier of Autoliv's 2026 annual stockholder meeting or May 8, 2026.

Industry Context

The grant of Restricted Stock Units to directors is a common form of equity compensation across various industries, including the automotive safety systems sector where Autoliv operates. This practice aims to align the interests of board members with long-term shareholder value creation.

Comparison to Industry Standards

• Granting Restricted Stock Units (RSUs) as part of director compensation is a widely adopted practice among publicly traded companies, including peers in the automotive supplier industry.
• The structure, where RSUs vest over a period or upon specific events (like an annual meeting), is standard for incentivizing long-term commitment and performance.
• The inclusion of dividend equivalent rights is also a common feature in RSU plans, ensuring that RSU holders benefit from dividends declared before vesting, further aligning their interests with common stockholders.

Stakeholder Impact

• Shareholders: The grant aligns the director's financial interests with long-term shareholder value.
• Employees: No direct impact on employees is indicated by this filing.
• Customers/Suppliers/Creditors: No direct impact on these stakeholders is indicated by this filing.

Next Steps

• The RSUs will vest on the earlier of Autoliv's 2026 annual stockholder meeting or May 8, 2026.
• Upon vesting, the RSUs will convert into shares of Autoliv common stock.

Key Dates

Keywords

Autoliv, ALV, Restricted Stock Units, RSU, Director Compensation, Insider Transaction, Equity Grant, Corporate Governance, SEC Form 4