Form 4: Eli Lilly Director Kimberly H. Johnson Acquires Shares Through Deferral Plan

Director Kimberly H. Johnson acquired shares of Eli Lilly stock through a deferral plan, increasing her holdings.

Summary

• Kimberly H. Johnson, a director at Eli Lilly & Co, acquired 13.293 shares of common stock at a price of $727.2 per share.
• These shares were acquired through the Lilly Directors' Deferral Plan, in lieu of cash compensation.
• Additionally, Johnson acquired 302.53 shares of common stock at the same price.
• The shares acquired through the deferral plan will be settled after Johnson's separation from service.
• Following these transactions, Johnson's direct holdings increased to 3,015.348 shares.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed positively as it aligns director interests with the company's long-term performance. There are no negative implications.

Positives

• The acquisition of shares by a director signals confidence in the company's future performance.
• The use of a deferral plan aligns the director's interests with the long-term success of the company.

Future Outlook

The shares acquired through the deferral plan will be settled in shares of common stock following the reporting person's separation from service.

Industry Context

This is a routine filing related to director compensation and is common practice for publicly traded companies.

Comparison to Industry Standards

• Director share acquisitions through deferral plans are a common practice among large publicly traded companies, including pharmaceutical companies like Pfizer (PFE) and Johnson & Johnson (JNJ).
• These plans are often used to align the interests of directors with the long-term performance of the company.
• The price of $727.2 per share reflects the market value of Eli Lilly stock at the time of the transaction, which is consistent with standard practices for such acquisitions.

Stakeholder Impact

• The share acquisition by a director may be viewed positively by shareholders as it indicates confidence in the company's future.

Key Dates

Keywords

Eli Lilly, Director, Share Acquisition, Deferral Plan, Stock Units, Kimberly H. Johnson, LLY