Form 4: Fair Isaac Executive Receives Performance Share Units

Fair Isaac Corporation's Executive Vice President, James M. Wehmann, was granted 4,060 performance share units based on the achievement of certain performance metrics.

Summary

• James M. Wehmann, an Executive Vice President at Fair Isaac Corporation (FICO), received 4,060 performance share units.
• These units were granted based on the achievement of certain performance metrics as determined by the Leadership Development and Compensation Committee of the Board of Directors.
• Each performance share unit represents the right to receive one share of Fair Isaac common stock, contingent upon continued employment.
• The units vest in three equal annual installments starting on December 9, 2024, and one share will be delivered for each vested unit as soon as practicable thereafter.
• The transaction was reported on November 18, 2024.

Sentiment

Score: 7

Explanation: The document reflects a positive event for the executive, indicating that performance goals were met. It is a standard practice and does not indicate any significant positive or negative impact on the company.

Positives

• The granting of performance share units indicates that the executive has met certain performance goals.
• The vesting schedule provides an incentive for continued employment.

Risks

• The value of the performance share units is tied to the price of Fair Isaac common stock, which can fluctuate.
• The executive must remain employed to receive the shares.

Future Outlook

The executive will receive shares of Fair Isaac common stock as the performance share units vest over the next three years, contingent on continued employment.

Industry Context

The granting of performance share units is a common practice in corporate compensation to align executive interests with company performance and shareholder value.

Comparison to Industry Standards

• Many technology companies use performance-based equity compensation to incentivize executives.
• Companies like Oracle, SAP, and Salesforce also use similar methods to reward their leadership teams.
• The vesting schedule of three years is a standard practice in the industry to ensure long-term commitment.

Stakeholder Impact

• Shareholders may view this as a positive sign that the executive is being rewarded for performance.
• Employees may see this as a positive sign of the company's commitment to rewarding performance.

Next Steps

• The performance share units will vest in three equal annual installments starting on December 9, 2024.
• Shares will be delivered to the executive as the units vest.

Key Dates

Keywords

performance share units, executive compensation, stock options, FICO, Fair Isaac Corporation, insider trading, equity