Form 4: First Watch Restaurant Group Executive Reports Stock Transactions

Jay Anthony Wolszczak, Chief Legal Officer of First Watch Restaurant Group, reports the sale of shares to cover tax obligations and the acquisition of restricted stock units.

Summary

• On March 12, 2025, Jay Anthony Wolszczak, Chief Legal Officer of First Watch Restaurant Group, sold 5,743 shares of common stock at a price of $16.81.
• The sale was to cover tax withholding obligations related to the vesting of restricted stock units and was not a discretionary trade.
• On March 13, 2025, Wolszczak acquired 25,883 restricted stock units.
• These restricted stock units vest in three equal annual installments starting on March 13, 2026.
• Following these transactions, Wolszczak beneficially owns 63,651 shares of common stock and 37,768 directly owned shares.
• The form was signed on March 14, 2025.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The transactions are routine and related to compensation rather than a significant change in investment strategy.

Positives

• The acquisition of 25,883 restricted stock units indicates continued investment in the company by the Chief Legal Officer.

Future Outlook

The restricted stock units vest in three equal annual installments beginning on March 13, 2026, subject to earlier forfeiture or acceleration.

Management Comments

• The sale of shares was mandatory to cover necessary tax withholding obligations and does not represent a discretionary trade by the reporting owner.

Industry Context

Executive stock transactions are common and closely monitored in the restaurant industry to gauge management's confidence in the company's future performance.

Comparison to Industry Standards

• Executive compensation packages often include restricted stock units to align management's interests with those of shareholders, a practice common among publicly traded restaurant groups like Darden Restaurants (DRI) and Restaurant Brands International (QSR).
• The vesting schedule of three years is a standard practice to incentivize long-term commitment.

Stakeholder Impact

• The sale of shares to cover tax obligations has a minimal impact on shareholders.

Key Dates