Form 4: Boeing Director Bradway Acquires Phantom Stock Units in Lieu of Cash Compensation

Director Robert A. Bradway acquired phantom stock units of Boeing Co. in lieu of cash compensation, according to a Form 4 filing.

Summary

• On January 2, 2025, Boeing director Robert A. Bradway acquired 508.581 phantom stock units in lieu of cash compensation.
• These phantom stock units are convertible into Boeing common stock on a 1-for-1 basis.
• According to the Deferred Compensation Plan for Directors, these units will be distributed as shares of common stock after the director's termination of service.
• Following the transaction, Bradway directly owns 13,682.253 phantom stock units.

Sentiment

Score: 7

Explanation: The document reflects a standard director compensation practice, indicating stability and alignment of interests. It's a neutral to slightly positive event.

Positives

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders.
• The Deferred Compensation Plan for Directors allows for the accumulation of company stock over time.

Future Outlook

The phantom stock units will be distributed as shares of common stock after the director's termination of services, according to the Deferred Compensation Plan.

Industry Context

Director compensation in the form of stock options and restricted stock units is a common practice in publicly traded companies to align management's interests with those of shareholders. This Form 4 filing reflects this practice at Boeing.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash, stock options, and restricted stock units.
• Companies like Lockheed Martin (LMT) and General Dynamics (GD) also utilize stock-based compensation for their directors.
• The specific mix and value of these packages vary based on company size, performance, and industry norms.

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 performance.

Key Dates