Form 4: East West Bancorp Executive Vice President Gary Teo Reports Stock Transactions

Gary Teo, Executive Vice President of East West Bancorp, reports acquisition of shares through vested performance-based restricted stock units and disposition of shares for tax liability.

Summary

• On March 4, 2024, Gary Teo, an Executive Vice President at East West Bancorp, acquired 7,338 shares of common stock upon the vesting of performance-based restricted stock units.
• These units were granted on March 4, 2021, and fully vested after three years, with the number of vested units dependent on meeting pre-established performance criteria.
• 178.2% of the units granted on March 4, 2021, were earned and vested.
• Also on March 4, 2024, Mr. Teo disposed of 2,614 shares of common stock at a price of $73.22 to cover tax liabilities associated with the vesting of the restricted stock units.
• Following these transactions, Mr. Teo directly owns 19,325 shares of East West Bancorp common stock and indirectly owns 313 shares through a 401(k) plan.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing detailing stock transactions by an executive. The vesting of performance-based restricted stock units suggests positive performance, but the overall sentiment is neutral.

Positives

• The vesting of performance-based restricted stock units indicates that pre-established performance criteria were met, suggesting positive performance by the company or the executive.
• The executive's continued holding of a significant number of shares (19,325 directly and 313 indirectly) demonstrates confidence in the company's future prospects.

Industry Context

Form 4 filings are a routine part of insider trading regulations, providing transparency into the transactions of company executives. This filing indicates standard compensation practices involving stock-based compensation.

Stakeholder Impact

• The transactions have a minor impact on shareholders as they reflect standard executive compensation practices.
• Employees may view the vesting of performance-based restricted stock units as a positive sign of company performance.

Key Dates