Form 4: Clearwater Paper Corp Director Hillman Acquires Phantom Stock Units

Director Jeanne M. Hillman acquired phantom stock units in Clearwater Paper Corp under the Deferred Compensation Plan for Directors.

Summary

• Jeanne M. Hillman, a director of Clearwater Paper Corp, reported a transaction involving phantom common stock on May 10, 2024.
• Hillman acquired 2,787.456 phantom stock units at a price of $43.05 per unit.
• Following the transaction, Hillman beneficially owns 8,189.865 phantom stock units.
• These phantom stock units were allocated to Hillman's Deferred Compensation Account as an annual award grant for service from May 1, 2024, through April 30, 2025.
• The phantom stock units will vest on May 1, 2025, and will be converted to cash upon Hillman's termination from service with Clearwater Paper.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing regarding director compensation. It doesn't contain information that would significantly impact investor sentiment positively or negatively.

Positives

• The acquisition of phantom stock units aligns the director's interests with the long-term performance of the company.
• The vesting of the units on May 1, 2025, incentivizes continued service and commitment to Clearwater Paper.

Future Outlook

The phantom stock units will be converted to cash and paid upon the reporting person's termination from service with Clearwater Paper in accordance with the provisions of the Clearwater Paper Corporation Deferred Compensation Plan for Directors.

Industry Context

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

Comparison to Industry Standards

• Deferred compensation plans for directors are a common practice among publicly traded companies to attract and retain qualified board members.
• Phantom stock units are often used as a component of director compensation, providing a cash-settled equity-like incentive without diluting existing shareholders.
• The vesting schedule and payout terms are typical for such arrangements, aligning with industry norms for director compensation plans.

Stakeholder Impact

• Shareholders may view the director's acquisition of phantom stock units as a positive sign, aligning her interests with the company's performance.
• The compensation structure could incentivize the director to make decisions that benefit the company's long-term value.

Key Dates