Form 4: Forum Energy Technologies SVP, Mark Brookes, Awarded Restricted Stock Units

Mark Brookes, SVP of Forum Energy Technologies, received 7,975 restricted stock units on March 6, 2024, which vest over three years.

Summary

• Mark Brookes, a Senior Vice President at Forum Energy Technologies, Inc., was granted 7,975 restricted stock units (RSUs) on March 6, 2024.
• These RSUs were awarded under the company's Second Amended and Restated 2016 Stock and Incentive Plan.
• Each RSU represents the right to receive one share of Common Stock or cash equivalent upon vesting.
• The RSUs vest in three equal installments on the first, second, and third anniversaries of the grant date (March 6, 2024).
• Unvested RSUs are forfeited upon termination of employment, except in certain limited circumstances.
• The RSUs also include dividend equivalent rights, entitling the holder to the same dividends as if the underlying shares were outstanding.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating confidence in the company's future performance. The sentiment is neutral to positive.

Positives

• The grant of RSUs aligns Mark Brookes' interests with those of the shareholders.
• The vesting schedule encourages continued service with the company.

Risks

• The value of the RSUs is dependent on the future performance of Forum Energy Technologies' stock.
• Unvested RSUs are forfeited upon termination of employment, except in limited circumstances.

Future Outlook

The RSUs will vest over the next three years, contingent on continued employment.

Industry Context

Grants of restricted stock units are a common form of executive compensation in the energy technology industry, aligning management's interests with those of shareholders.

Comparison to Industry Standards

• RSU grants are a standard component of executive compensation packages across various industries, including energy technology.
• Companies like Schlumberger, Halliburton, and Baker Hughes also utilize equity-based compensation to incentivize their executives.
• The vesting schedule of one-third annually is a typical arrangement for RSU grants.

Stakeholder Impact

• The RSU grant incentivizes the executive to improve company performance, which benefits shareholders.
• The grant has no immediate impact on employees, customers, suppliers, or creditors.

Next Steps

• The reporting person will receive shares of Common Stock or cash equivalent as the RSUs vest over the next three years.
• The company will continue to monitor and report changes in beneficial ownership as required by SEC regulations.

Key Dates