Form 4: Chevron Director Cynthia J. Warner Reports Changes in Beneficial Ownership

Director Cynthia J. Warner reports an acquisition of phantom stock and dividend equivalent accruals under Chevron's Non-Employee Directors' Equity Compensation and Deferral Plan.

Summary

• On March 4, 2024, Cynthia J. Warner, a director of Chevron Corp, reported changes in her beneficial ownership of Chevron securities.
• The changes involve the acquisition of phantom stock and dividend equivalent accruals under the Chevron Non-Employee Directors' Equity Compensation and Deferral Plan.
• Warner acquired 26 shares of phantom stock at a price of $148.88.
• She now holds 159 derivative securities beneficially owned.
• These shares of phantom stock become payable in common stock upon her termination of service as a director.
• The report also includes the acquisition of dividend equivalent accruals on stock units issued under the same plan.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive as it reflects standard director compensation practices and alignment of interests. There are no indications of negative events or concerns.

Positives

• The acquisition of phantom stock and dividend equivalent accruals indicates continued alignment of the director's interests with the company's performance.

Future Outlook

The phantom stock will be payable in common stock upon the director's termination of service.

Industry Context

This filing is a routine disclosure related to director compensation and equity ownership, common among publicly traded companies like Chevron. It reflects standard practices for aligning director interests with shareholder value.

Comparison to Industry Standards

• Director compensation packages including phantom stock and deferred equity are common among large, publicly traded companies such as ExxonMobil (XOM), Shell (SHEL), and BP (BP).
• These plans are designed to incentivize long-term performance and align director interests with those of shareholders.
• The specific terms and amounts of equity compensation vary based on company size, performance, and industry benchmarks.

Stakeholder Impact

• The changes in beneficial ownership have a minimal direct impact on stakeholders.
• The director's equity stake aligns her interests with shareholders, potentially encouraging decisions that benefit the company's long-term performance.

Key Dates