Form 4: Garrett Motion Inc. Director Receives Deferred Stock Units in Lieu of Cash Compensation

Director Daniel A. Ninivaggi receives 6,142 deferred stock units of Garrett Motion Inc. in lieu of cash compensation for service as a non-employee director.

Summary

• Daniel A. Ninivaggi, a director of Garrett Motion Inc., received 6,142 deferred stock units on April 1, 2025.
• These units were granted under the company's 2021 Long-term Incentive Plan as compensation for service as a non-employee director, instead of cash.
• The deferred stock units vest immediately upon grant.
• They are payable as common stock upon a Change in Control of the Issuer or six months after the director's cessation of service on the Board of Directors.
• Following this transaction, Ninivaggi directly owns 116,628 shares of Garrett Motion Inc. common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine director compensation event, which is generally neutral to slightly positive as it aligns director interests with shareholders.

Positives

• The grant of deferred stock units aligns the director's interests with those of the shareholders.
• Immediate vesting of the units provides an incentive for continued service.

Future Outlook

The deferred stock units will be converted to common stock upon a Change in Control of the Issuer or six months after the director's cessation of service on the Board of Directors.

Industry Context

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

Comparison to Industry Standards

• Granting deferred stock units to non-employee directors is a common practice among publicly traded companies.
• Companies like BorgWarner and Cummins also use equity-based compensation for their board members.
• The specific amount of equity granted varies based on company size, industry, and individual director roles.

Stakeholder Impact

• Shareholders: The grant aligns director interests with shareholder value.
• Employees: No direct impact.
• Customers: No direct impact.
• Suppliers: No direct impact.
• Creditors: No direct impact.

Key Dates

Keywords

Garrett Motion Inc., Director Compensation, Deferred Stock Units, Form 4, Insider Transaction, Ninivaggi, GTX, Equity Compensation