Form 4: Avnet Director Oleg Khaykin Reports Acquisition of Phantom Stock Units

Director Oleg Khaykin reports the acquisition of 642 Phantom Stock Units in Avnet, Inc. due to deferred compensation.

Summary

• Oleg Khaykin, a director of Avnet, Inc., reported a transaction on April 1, 2025.
• Khaykin acquired 642 Phantom Stock Units (PSUs) due to deferring 100% of his director's quarterly cash retainer under Avnet's Deferred Compensation Plan for Outside Directors.
• The PSUs were issued at a price of $47.69 per share.
• Each PSU represents one share of Avnet's common stock and will be settled in common stock upon Khaykin leaving the Board or a change of control of Avnet.
• Following the transaction, Khaykin beneficially owns 48,936 derivative securities.
• Khaykin also directly owns 9,000 shares of Avnet common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, indicating a neutral to slightly positive sentiment as it aligns director interests with shareholders.

Positives

• The acquisition of Phantom Stock Units demonstrates the director's commitment to the company's long-term success.
• The director's decision to defer cash compensation into stock units aligns his interests with those of shareholders.

Future Outlook

The Phantom Stock Units will be settled in Avnet common stock after the reporting person leaves the Issuer's Board or upon change of control of the Issuer.

Management Comments

• The reporting person has elected to defer 100% of the director's quarterly cash retainer, so PSUs were issued in lieu of cash, pursuant to the Avnet, Inc. Deferred Compensation Plan for Outside Directors.

Industry Context

Directors often receive stock-based compensation to align their interests with shareholders. Phantom stock units are a common form of equity compensation.

Comparison to Industry Standards

• Stock-based compensation for directors is a common practice across publicly traded companies.
• Companies like Arrow Electronics and Future Electronics also utilize similar compensation strategies to incentivize their board members.
• The specific amount and type of equity compensation vary based on company size, performance, and industry norms.

Stakeholder Impact

• The transaction aligns the director's interests with those of shareholders, potentially encouraging decisions that benefit the company's long-term value.

Key Dates

Keywords

Avnet, Director, Phantom Stock Units, Deferred Compensation, Form 4, Securities, Ownership