Form 4: Farmer Mac Executive Kerry T. Willie Reports Changes in Beneficial Ownership

Kerry T. Willie, SVP Chief HR Officer at Federal Agricultural Mortgage Corp (Farmer Mac), reports changes in beneficial ownership of Class C Non-Voting Common Stock due to vesting of restricted stock units and shares withheld for tax obligations.

Summary

• On March 31, 2024, Kerry T. Willie, SVP Chief HR Officer at Federal Agricultural Mortgage Corp (Farmer Mac), reported changes in beneficial ownership.
• The changes are due to the vesting of restricted stock units and the subsequent withholding of shares by Farmer Mac to satisfy tax obligations.
• Specifically, 136 restricted stock units from a March 2022 award vested, with 62 shares withheld for taxes, and 121 restricted stock units from a March 2023 award vested, with 55 shares withheld for taxes.
• The price used for calculating the number of shares withheld was $196.88, which is the closing price of Farmer Mac's Class C Non-Voting Common Stock on the New York Stock Exchange on the last trading day before the vesting date.
• Following these transactions, Willie directly owns 2,914 shares of Class C Non-Voting Common Stock, which includes 2,099 unvested restricted stock units previously granted.
• These grants of restricted stock units have been described in detail in Farmer Mac's prior filings with the Securities and Exchange Commission.

Sentiment

Score: 7

Explanation: The document is a standard regulatory filing detailing changes in beneficial ownership, which is neutral in itself. The vesting of stock options is generally a positive sign, indicating the executive is meeting performance goals, but the tax withholding is a neutral event.

Industry Context

This filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies. It provides transparency regarding the alignment of management's interests with those of shareholders.

Comparison to Industry Standards

• Executive compensation practices, including the use of restricted stock units, are common across the financial services industry.
• Companies like Fannie Mae and Freddie Mac also utilize similar equity-based compensation plans to incentivize and retain key personnel.
• The vesting schedules and tax withholding practices described in the filing are generally consistent with industry norms.

Stakeholder Impact

• The filing provides transparency to shareholders regarding executive compensation and ownership.
• It assures stakeholders that management's interests are aligned with those of the company.

Key Dates