Form 4: Consolidated Edison Executive Ziaee Kamran Reports Acquisition of Performance Units and Restricted Stock Units

Kamran Ziaee, SVP & Chief Information Officer of Consolidated Edison, reports the acquisition of performance units and time-based restricted stock units.

Summary

• On February 19, 2025, Kamran Ziaee, SVP & Chief Information Officer of Consolidated Edison Inc., reported the acquisition of 9,000 performance units and 3,900 time-based restricted stock units.
• The performance units are granted under the Long-Term Incentive Plan (LTIP) and are scheduled to vest in 2028, contingent upon the determination of performance criteria by the Management, Development and Compensation Committee.
• Each performance unit is economically equivalent to one share of Consolidated Edison common stock, with the final number of shares or cash equivalents adjusted based on performance achievement.
• The time-based restricted stock units, also granted under the LTIP, are scheduled to vest in full on December 31, 2027.
• Each restricted stock unit represents a contingent right to receive one share of Consolidated Edison common stock.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing, indicating standard executive compensation practices. The sentiment is neutral as it reflects expected corporate governance procedures.

Positives

• The grant of performance units and restricted stock units aligns the executive's interests with the long-term performance of the company.
• The vesting of these units is tied to future performance and continued employment, incentivizing the executive to contribute to the company's success.

Risks

• The actual value of the performance units is dependent on the achievement of specific performance criteria, which are yet to be determined.
• The value of the restricted stock units is subject to market fluctuations in the price of Consolidated Edison common stock.

Future Outlook

The executive's future compensation is tied to the performance of the company's stock and the achievement of specific performance goals, as determined by the Management, Development and Compensation Committee.

Industry Context

Grants of performance units and restricted stock units are common practices in executive compensation packages within the utilities industry, aligning executive incentives with shareholder value and long-term company performance.

Comparison to Industry Standards

• Companies like NextEra Energy, Duke Energy, and Southern Company also utilize long-term incentive plans that include performance-based equity awards.
• The specific metrics used for performance-based awards vary, but often include measures such as earnings per share growth, return on equity, and total shareholder return.
• The vesting schedules for restricted stock units are also fairly standard, typically ranging from three to five years.

Stakeholder Impact

• Shareholders may view the grant of performance units and restricted stock units as a positive sign, aligning executive interests with long-term value creation.
• Employees may see this as a standard part of executive compensation.

Key Dates

Keywords

Consolidated Edison, Ziaee Kamran, Performance Units, Restricted Stock Units, LTIP, Form 4, Beneficial Ownership, Equity Securities