Form 4: Farmer Mac Executive Exercises Stock Appreciation Rights, Sells Shares to Cover Taxes

Aparna Ramesh, EVP and Chief Financial Officer of Federal Agricultural Mortgage Corp (Farmer Mac), exercised stock appreciation rights and sold shares to cover tax obligations.

Summary

• Aparna Ramesh, the EVP and Chief Financial Officer of Farmer Mac, exercised stock appreciation rights (SARs) granted in March 2021 and March 2022.
• The exercise of the 2021 SARs, with a grant price of $88.68 per share, resulted in Ms. Ramesh receiving 406 shares and Farmer Mac retaining 380 shares for tax withholding.
• The exercise of the 2022 SARs, with a grant price of $120.38 per share, resulted in Ms. Ramesh receiving 391 shares and Farmer Mac retaining 366 shares for tax withholding.
• Ms. Ramesh also sold 592 shares at $211.6709 and 408 shares at $212.02 to cover tax obligations.
• The transactions resulted in a net change in Ms. Ramesh's holdings of Class C Non-Voting Common Stock.

Sentiment

Score: 5

Explanation: The document is a routine filing of insider transactions, which is neither positive nor negative for the company's overall performance. It is a neutral event.

Industry Context

This is a routine filing related to executive compensation and is common for publicly traded companies. It reflects the exercise of stock-based compensation and subsequent sales to cover tax obligations.

Comparison to Industry Standards

• The use of stock appreciation rights (SARs) is a common practice in executive compensation packages across various industries, including financial services.
• The exercise and subsequent sale of shares to cover tax obligations is a standard procedure for executives holding equity-based compensation.
• The reported transactions are consistent with typical insider trading activity and are within the regulatory framework for public companies.

Stakeholder Impact

• The transactions have a minimal impact on shareholders as they are related to executive compensation and do not represent a significant change in the company's overall financial position.

Key Dates

Keywords

Stock Appreciation Rights, SARs, Insider Trading, Form 4, Executive Compensation, Share Transactions, Farmer Mac, AGM, Aparna Ramesh