Form 4: Caterpillar Inc. Executive Acquires Phantom Stock Units

Denise C. Johnson, a Group President at Caterpillar Inc., acquired 23 phantom stock units under the company's deferred compensation plan.

Summary

• Denise C. Johnson, a Group President at Caterpillar Inc., acquired 23 phantom stock units.
• These units were acquired under the company's non-qualified deferred compensation plans.
• The acquisition includes 12 shares credited at a price of $407.83 per share and 11 shares contributed with no consideration.
• The phantom stock units are to be settled in cash upon retirement or separation from service.
• The total number of phantom stock units owned by the reporting person is 28,888, including accrued dividends.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation transaction, which is generally neutral to positive. It indicates alignment of interests between the executive and the company.

Positives

• The acquisition of phantom stock units aligns the executive's interests with the company's performance.
• The deferred compensation plan provides a long-term incentive for the executive.

Future Outlook

The phantom stock units will be settled in cash upon the reporting person's retirement or separation from service.

Industry Context

This filing is a routine disclosure of executive compensation and is common among publicly traded companies.

Comparison to Industry Standards

• Executive compensation packages often include phantom stock units as a form of long-term incentive.
• Companies like Deere & Company (DE) and Komatsu (KMTUY) also use similar compensation methods for their executives.
• The use of phantom stock units is a standard practice to align executive interests with shareholder value.

Stakeholder Impact

• The acquisition of phantom stock units aligns the executive's interests with the long-term performance of the company, which is beneficial for shareholders.
• The deferred compensation plan is a standard practice and does not have a significant impact on other stakeholders.

Key Dates

Keywords

Caterpillar Inc, phantom stock units, deferred compensation, executive compensation, insider trading, Form 4