Form 4: Coca-Cola Director Caroline J. Tsay Reports Changes in Beneficial Ownership

Director Caroline J. Tsay reports acquisition of phantom share units and holdings in Coca-Cola common stock through a living trust.

Summary

• On April 1, 2024, Caroline J. Tsay, a director of The Coca-Cola Company, reported changes in her beneficial ownership of the company's securities.
• Tsay acquired 3,280.3018 phantom share units under The Coca-Cola Company Directors' Plan for 2024 compensation.
• These phantom share units are economically equivalent to shares of Common Stock and are settled in cash after Tsay leaves the Board.
• Tsay also reported owning 1,104 shares of Common Stock through a living trust.
• The total number of derivative securities beneficially owned following the reported transaction is 29,614.7941 phantom share units, including those accrued through April 1, 2024, as a result of crediting phantom dividends.

Sentiment

Score: 5

Explanation: The document is a neutral regulatory filing, reporting routine transactions. It doesn't inherently convey positive or negative sentiment.

Future Outlook

The phantom share units will be settled in cash the later of (i) January 15 of the year following the year in which the reporting person leaves the Board, or (ii) six months following the date on which the reporting person leaves the Board.

Industry Context

This filing is a routine disclosure related to insider transactions and compensation practices at publicly traded companies. It provides transparency into the holdings and transactions of company directors, which is important for investor confidence and regulatory compliance.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash, stock options, and restricted stock units (RSUs) or phantom shares.
• The Coca-Cola Company's Directors' Plan, which includes phantom share units, is a common method for aligning director interests with shareholder value.
• Companies like PepsiCo (PEP) and Nestle (NSRGY) also disclose similar information regarding their directors' compensation and stock ownership through SEC filings.

Stakeholder Impact

• The filing provides transparency to shareholders regarding director compensation and ownership.
• It assures stakeholders that directors' interests are aligned with those of the shareholders through equity-based compensation.

Key Dates