Form 4: Eli Lilly CEO David Ricks Transfers Shares to Spousal Trust

Eli Lilly CEO David Ricks transferred 956 shares of company stock to a spousal lifetime access trust on February 8, 2024.

Summary

• On February 8, 2024, David A. Ricks, CEO of Eli Lilly & Co, transferred 956 shares of Eli Lilly common stock to a spousal lifetime access trust.
• Mr. Ricks' wife is the trustee of the trust, and his wife and children are the beneficiaries.
• Mr. Ricks disclaims beneficial ownership of these shares, except for his pecuniary interest.
• Following the transaction, Mr. Ricks directly owns 440,858 shares of Eli Lilly common stock.
• He also indirectly owns 63,758 shares through a 2022 GRAT, 68,656 shares through a SLAT, and 7,223 shares through a 401(k).

Sentiment

Score: 5

Explanation: The document is a neutral report of a routine insider transaction, with no positive or negative implications for the company's performance.

Management Comments

• The Reporting Person disclaims beneficial ownership of the reported securities except to the extent of his pecuniary interest therein and this report shall not be deemed an admission that the Reporting Person is the beneficial owner of the reported securities for purposes of Section 16 or for any other purpose.

Industry Context

This is a routine filing related to insider transactions and is common for executives of publicly traded companies.

Comparison to Industry Standards

• Form 4 filings are standard practice for corporate insiders, such as CEOs, who engage in transactions involving their company's stock.
• The transfer of shares to a trust is a common estate planning strategy used by high-net-worth individuals, including corporate executives.
• Similar transactions are regularly reported by executives at other large pharmaceutical companies such as Pfizer, Merck, and AbbVie.

Related Party Transactions

• The transfer of shares to a spousal lifetime access trust is a related party transaction.

Stakeholder Impact

• The transaction has no direct impact on shareholders, employees, customers, suppliers, or creditors.

Key Dates

Keywords

Eli Lilly, David Ricks, stock transfer, spousal trust, beneficial ownership, Form 4, insider transaction