Form 4: Garrett Motion Inc. Director Paul A. Camuti Reports Acquisition of Deferred Stock Units

Director Paul A. Camuti acquired 1,613 deferred stock units of Garrett Motion Inc. on January 2, 2025, as part of his compensation.

Summary

• Paul A. Camuti, a director at Garrett Motion Inc., reported the acquisition of 1,613 deferred stock units on January 2, 2025.
• These deferred stock units were granted under the company's 2021 Long-term Incentive Plan as compensation for his service as a non-employee director.
• The units vest immediately upon grant but are payable as common stock upon a change in control of the company or six months after he ceases to be a director.
• Following this transaction, Mr. Camuti beneficially owns 21,810 common stock units.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to slightly positive as it aligns director interests with the company's performance.

Positives

• The grant of deferred stock units aligns the director's interests with the long-term performance of the company.
• The immediate vesting of the units indicates a commitment to the director's ongoing service.

Future Outlook

The deferred stock units will be converted to common stock upon a change in control of the company or six months after the director ceases to serve on the board.

Industry Context

This is a standard practice for compensating non-employee directors, aligning their interests with the company's long-term success.

Comparison to Industry Standards

• Granting deferred stock units to non-employee directors is a common practice across many publicly traded companies, including those in the automotive and industrial sectors.
• Companies like BorgWarner and Cummins also use similar equity-based compensation plans for their board members.
• The vesting and payout terms are also typical, with payouts often tied to change of control or departure from the board.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns director interests with the company's long-term performance.

Key Dates

Keywords

Garrett Motion Inc., deferred stock units, director compensation, Form 4, insider trading, equity compensation, long-term incentive plan