Form 4: GUIDED THERAPEUTICS Director Michael C. James Reports Acquisition of 110,000 Stock Options

GUIDED THERAPEUTICS INC Director Michael C. James has reported the acquisition of 110,000 stock options with a vesting schedule extending to June 2028.

Summary

• Michael C. James, a Director of GUIDED THERAPEUTICS INC (GTHP), acquired 110,000 stock options.
• The options have an exercise price of $0.14 per share.
• One-fourth of the shares subject to the award vested on June 3, 2025.
• The remaining shares will vest monthly, starting on September 3, 2025, subject to continued service.
• The award is scheduled to be fully vested by June 2, 2028.
• The stock options have an expiration date of June 2, 2035.
• Following this transaction, Michael C. James beneficially owns 110,000 derivative securities (stock options).

Sentiment

Score: 7

Explanation: The grant of stock options to a director is a common and generally positive event as it aligns management's interests with shareholder value creation, indicating continued commitment to the company's long-term success.

Positives

• The grant of stock options to a director aligns management's interests with those of shareholders, incentivizing long-term value creation.
• The vesting schedule encourages the director's continued service and commitment to the company's performance over several years.

Future Outlook

The document outlines a future vesting schedule for the acquired stock options, with full vesting expected by June 2, 2028, contingent on the director's continued service.

Industry Context

The grant of stock options to directors is a common practice across various industries as a form of non-cash compensation, designed to align the interests of company leadership with shareholder returns.

Comparison to Industry Standards

• The grant of stock options as part of director compensation is a standard practice in publicly traded companies across most industries, including medical device and diagnostics, where GUIDED THERAPEUTICS operates.
• The vesting schedule, with an initial immediate vest followed by monthly vesting over several years, is a typical structure for long-term incentive awards, comparable to practices seen in companies like Medtronic or Abbott Laboratories for their executive and director compensation plans, though the specific number of options and exercise price are company-specific.

Related Party Transactions

• The acquisition of stock options by Michael C. James, a Director of GUIDED THERAPEUTICS INC, represents a related party transaction as it involves compensation provided by the company to an insider.

Stakeholder Impact

• Shareholders: The grant of options aims to align the director's financial interests with shareholder value, potentially leading to improved long-term performance.
• Director (Michael C. James): Receives equity compensation, incentivizing continued service and performance.

Next Steps

• Continued monthly vesting of the remaining stock options until June 2, 2028, subject to the director's continued service.

Key Dates

Keywords

GUIDED THERAPEUTICS, GTHP, Stock Options, Insider Transaction, Form 4, Director Compensation, Equity Award, Beneficial Ownership