Form 4: Crexendo CEO Jeffrey Korn Acquires Shares Through RSU Vesting

Crexendo's CEO, Jeffrey Korn, acquired 5,000 shares of common stock through the vesting of Restricted Stock Units (RSUs) and had 1,218 shares withheld for tax obligations.

Summary

• Crexendo CEO Jeffrey Korn acquired 5,000 shares of common stock on December 5, 2024, through the vesting of Restricted Stock Units (RSUs).
• The RSUs vest in equal quarterly installments over 12 quarters starting on June 5, 2024.
• 1,218 shares were withheld for payment of payroll taxes at a price of $5.10 per share.
• The total number of shares beneficially owned by Mr. Korn after these transactions is 249,230.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to executive compensation, which is generally viewed neutrally to slightly positive as it aligns management with shareholder interests.

Positives

• The vesting of RSUs aligns the CEO's interests with the company's performance.
• The acquisition of shares increases the CEO's stake in the company.

Industry Context

This is a standard SEC Form 4 filing, which is common for publicly traded companies when executives acquire or dispose of company stock. It reflects standard compensation practices using equity.

Comparison to Industry Standards

• The use of Restricted Stock Units (RSUs) as part of executive compensation is a common practice in the technology industry, aligning executive interests with shareholder value.
• Many companies, such as Salesforce (CRM) and Workday (WDAY), use similar vesting schedules for their executive equity grants.
• The withholding of shares for tax obligations is also a standard procedure in equity compensation.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it increases the CEO's stake in the company, aligning his interests with theirs.
• The transaction has no direct impact on employees, customers, suppliers, or creditors.

Key Dates

Keywords

Crexendo, CXDO, Jeffrey Korn, Restricted Stock Units, RSU, Stock Vesting, Insider Trading, Beneficial Ownership, SEC Form 4