Form 4: Badger Meter Inc. Director Todd A. Adams Reports Acquisition of Phantom Stock Units

Director Todd A. Adams reports acquisition of phantom stock units in Badger Meter Inc. as part of director compensation.

Summary

• On April 1, 2024, Todd A. Adams, a director of Badger Meter Inc., reported the acquisition of phantom stock units.
• These units were accrued as payment for his 2024 Quarter 2 retainer as a non-employee director.
• A total of 98.88 phantom stock units were acquired at a price of $161.81 per unit, based on the closing price of Badger Meter's common stock on March 28, 2024.
• Following the transaction, Mr. Adams beneficially owns 14,174.793 phantom stock units.
• Each phantom stock unit is equivalent to one share of common stock and becomes payable in cash upon termination of service as a director.

Sentiment

Score: 7

Explanation: The document reflects a standard transaction related to director compensation, indicating stable corporate governance practices. The sentiment is neutral to slightly positive as it reflects alignment of director interests with shareholders.

Positives

• The acquisition of phantom stock units aligns the director's interests with the long-term performance of the company.
• The compensation plan provides a structured approach to director remuneration.

Future Outlook

The document does not contain any specific forward-looking statements regarding the company's future performance.

Industry Context

This filing is a routine disclosure related to director compensation, which is a common practice among publicly traded companies to align the interests of directors with those of shareholders.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash retainers, equity-based awards (like phantom stock units), and other benefits.
• The specific structure and value of these packages vary depending on the company's size, industry, and performance.
• Companies like Roper Technologies, Fortive, and A.O. Smith, which operate in similar industrial sectors, also utilize equity-based compensation for their directors.

Stakeholder Impact

• The acquisition of phantom stock units by a director can positively influence shareholder confidence by aligning management's interests with the company's long-term success.

Key Dates