Form 4: Core Scientific Executive Receives Stock Grants

Todd M. Duchene, Chief Legal and Administrative Officer of Core Scientific, Inc., reports the acquisition of common stock through restricted stock units (RSUs) and performance-based RSUs (PSUs).

Summary

• On July 19, 2024, Todd M. Duchene, Chief Legal and Administrative Officer of Core Scientific, Inc., acquired common stock through multiple RSU and PSU grants.
• A special one-time RSU grant of 1,003,633 shares vests in equal installments over four years starting December 31, 2023.
• A regular annual RSU grant of 250,909 shares vests over time, starting January 23, 2025, with the remaining vesting quarterly.
• A regular annual PSU grant of 83,637 shares vests in three equal installments in 2024, 2025, and 2026, contingent on achieving certain stock price hurdles.
• Following these transactions, Duchene directly owns 1,698,056 shares of Core Scientific, Inc. common stock.

Sentiment

Score: 6

Explanation: The document itself is neutral, simply reporting stock grants. The sentiment is slightly positive as it indicates the company is incentivizing its executives, but it's a routine filing.

Positives

• The grants of RSUs and PSUs to a key executive like the Chief Legal and Administrative Officer can be seen as an incentive to align their interests with the long-term success of the company.
• The vesting schedules of the grants encourage continued service and performance from the executive.

Future Outlook

The vesting of the RSUs and PSUs is contingent on continued service and, in the case of PSUs, the achievement of certain stock price hurdles, suggesting a focus on long-term performance and value creation.

Management Comments

• Todd DuChene signed the report on July 22, 2024.

Industry Context

Stock grants are a common practice in the technology and cryptocurrency mining industries to attract and retain key talent, aligning their interests with the company's performance.

Comparison to Industry Standards

• Stock grants are a common form of compensation for executives in publicly traded companies, particularly in growth-oriented sectors like technology and cryptocurrency mining.
• The vesting schedules described are fairly standard, with multi-year vesting periods to incentivize long-term commitment.
• Performance-based RSUs (PSUs) are also common, linking executive compensation to specific company performance metrics, such as stock price appreciation.

Stakeholder Impact

• Shareholders may view the stock grants positively as they align executive interests with company performance.
• Employees may see the grants as a sign of the company's commitment to its leadership team.

Key Dates