Form 4: GE HealthCare Technologies Inc. Executive Reports Changes in Beneficial Ownership

George A. Newcomb, Chief Accounting Officer of GE HealthCare Technologies Inc., reports transactions involving common stock and stock options, including share withholding for tax obligations and awards of restricted stock units and employee stock options.

Summary

• On March 1, 2024, George A. Newcomb, Chief Accounting Officer of GE HealthCare Technologies Inc., reported several transactions involving the company's common stock.
• These transactions included the withholding of shares to satisfy tax obligations related to the vesting of restricted stock units, at a price of $91.28 per share.
• Specifically, 381, 565, 589 and 997 shares were withheld for tax purposes.
• Newcomb was also awarded 1,078 restricted stock units, which will vest in three tranches: 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027.
• Additionally, Newcomb received an employee stock option for 3,067 shares, also vesting in three tranches on the same dates as the restricted stock units, with an exercise price of $92.72.
• As of January 19, 2024, the GE HealthCare stock fund was removed as an investment option under the 401(k) plan, resulting in the liquidation of shares previously held by Newcomb under the plan.
• Following these transactions, Newcomb directly owns 9,570 shares of common stock and indirectly owns 12 shares through a family member.
• He also holds options for 3,067 shares.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing. The sentiment is neutral as it reflects standard compensation practices and tax obligations.

Positives

• The award of restricted stock units and employee stock options to the Chief Accounting Officer aligns his interests with the long-term performance of the company.
• The vesting schedule of the awards encourages continued service and commitment to GE HealthCare's success.

Future Outlook

The restricted stock units and employee stock options vest in tranches from September 1, 2025, to September 1, 2027, subject to certain conditions.

Industry Context

Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, providing transparency to investors.

Comparison to Industry Standards

• Stock option and restricted stock unit grants are common compensation practices in the healthcare technology industry.
• Companies like Siemens Healthineers and Philips also utilize similar equity-based compensation to align executive interests with shareholder value.
• The vesting schedules are fairly standard, typically spanning three to four years.

Stakeholder Impact

• Shareholders are informed about changes in insider ownership.
• Employees, particularly the Chief Accounting Officer, are impacted by the equity compensation structure.
• The filing ensures transparency and compliance with SEC regulations.

Key Dates