Form 4: Director Cheryl W. Grise Reports Phantom Stock Acquisition in Dollar Tree, Inc.

Cheryl W. Grise, a director of Dollar Tree, Inc., reported the acquisition of phantom stock representing the right to receive common stock, due to deferral of director fees and equity awards.

Summary

• On July 1, 2024, Cheryl W. Grise, a director of Dollar Tree, Inc., acquired phantom stock.
• The acquisition includes 431.24 shares of phantom stock representing deferred director fees.
• Additionally, 1,398.6 shares of phantom stock were acquired representing the deferral of the annual director equity award.
• The price for both acquisitions was $107.25 per share.
• Following the reported transactions, Ms. Grise directly owns 1,829.84 shares of phantom stock.
• These shares are payable in common stock following the director's separation from the Board or the specified date of distribution pursuant to the director's deferral election.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive as it reflects standard director compensation practices and alignment of interests. There are no indications of negative events or concerns.

Positives

• The acquisition of phantom stock reflects the director's participation in the Non-Employee Director Deferred Compensation Program.
• The deferral of fees and equity awards can be seen as a long-term commitment to the company's success.

Future Outlook

The phantom stock is payable in common stock following the earlier of the director's separation from the Board or the specified date of distribution pursuant to the director's deferral election.

Industry Context

This filing is a routine disclosure related to director compensation and equity ownership, common among publicly traded companies. It provides transparency into the alignment of director interests with shareholder value.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash, equity, and deferred compensation.
• Phantom stock is a common tool used to align director interests with long-term shareholder value, similar to restricted stock units (RSUs) used by companies like Walmart (WMT) and Target (TGT).
• The deferral of compensation into phantom stock is a common practice, comparable to programs offered at companies like Costco (COST).

Stakeholder Impact

• The acquisition of phantom stock aligns the director's interests with those of the shareholders, potentially encouraging decisions that benefit the company's long-term performance.

Key Dates