Form 4: Crown Holdings Executive Matt Madeksza Reports Stock Transactions

Matt Madeksza, President of Transit Packaging at Crown Holdings, reported the acquisition of restricted stock and a disposition of shares for tax purposes.

Summary

• Matt Madeksza, a President at Crown Holdings, was granted 13,642 shares of restricted common stock on January 3, 2025.
• These shares are part of the 2022 Stock-Based Compensation Plan.
• 4,704 of these shares are time-vested and will vest in three equal tranches on January 5, 2026, January 4, 2027, and January 3, 2028.
• An additional 4,179 shares are performance-based and will vest on January 3, 2028, based on the company's Total Shareholder Return compared to a peer group, with the final number varying from 0 to 8,358 shares.
• The remaining 4,759 shares are also performance-based and will vest on January 3, 2028, based on the company's Return on Invested Capital compared to a target, with the final number varying from 0 to 4,759 shares.
• On January 6, 2025, 698 shares were disposed of at a price of $80.11 per share to cover tax obligations related to the vesting of restricted stock.

Sentiment

Score: 7

Explanation: The document reflects standard executive compensation practices and insider transactions, which are generally neutral to positive. The vesting schedule and performance-based components are positive indicators of alignment with shareholder interests.

Positives

• The grant of 13,642 restricted shares to Matt Madeksza aligns his interests with the company's performance and shareholder value.
• The vesting schedule of the restricted shares encourages long-term commitment and performance.

Negatives

• The disposal of 698 shares for tax purposes represents a small reduction in Madeksza's direct holdings.

Risks

• The performance-based restricted shares are subject to the company's performance against specific metrics, which may not be achieved, resulting in fewer shares vesting.
• The value of the restricted shares is subject to market fluctuations.

Future Outlook

The document does not contain any specific forward-looking statements beyond the vesting schedule of the restricted shares.

Industry Context

This filing is a routine disclosure of insider transactions and is typical for publicly traded companies. It reflects standard practices for executive compensation using equity-based awards.

Comparison to Industry Standards

• The use of restricted stock with both time-based and performance-based vesting is a common practice in executive compensation across various industries.
• Many companies in the packaging and manufacturing sector use similar compensation structures to align executive interests with shareholder value.
• The vesting periods of three years are also typical for such grants.

Stakeholder Impact

• The grant of restricted stock aligns executive interests with shareholder value, potentially benefiting shareholders.
• The vesting schedule encourages long-term commitment from the executive, which can benefit the company and its stakeholders.

Key Dates

Keywords

stock, restricted stock, insider trading, executive compensation, shareholder return, return on invested capital, vesting, Crown Holdings, Matt Madeksza