Form 4: Boeing Director Lynn J. Good Reports Acquisition of Phantom Stock Units

Director Lynn J. Good reports acquiring phantom stock units convertible to Boeing common stock in lieu of cash compensation.

Summary

• On July 1, 2024, Lynn J. Good, a director of Boeing Co, acquired 477.574 phantom stock units.
• These units were awarded in lieu of director cash compensation and are convertible into common stock on a 1-for-1 basis.
• Following the transaction, Good directly owns 13,689.112 phantom stock units.
• These units will be distributed as shares of common stock after Good's termination of services as a director, according to The Deferred Compensation Plan for Directors of The Boeing Company.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The transaction reflects standard compensation practices and aligns director interests with shareholders. There are no indications of negative implications.

Positives

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders.
• The deferred compensation plan encourages long-term commitment from directors.

Future Outlook

The phantom stock units will be distributed as shares of common stock after the reporting person's termination of services as a director.

Industry Context

This filing is a routine disclosure of insider transactions, common for directors of publicly traded companies like Boeing. It reflects a part of the company's compensation strategy to align director interests with shareholder value.

Comparison to Industry Standards

• Deferred compensation plans using phantom stock are common among large publicly traded companies to incentivize and retain board members.
• Companies like Lockheed Martin and General Dynamics also utilize similar equity-based compensation for their directors.
• The specific number of units awarded and the terms of the deferred compensation plan are company-specific and depend on factors such as company size, performance, and industry practices.

Stakeholder Impact

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders, potentially leading to better corporate governance and decision-making.

Key Dates