Form 4: KeyCorp Director Alexander M. Cutler Reports Changes in Beneficial Ownership

Director Alexander M. Cutler reports acquisition of deferred shares in KeyCorp through a deferred compensation plan.

Summary

• Alexander M. Cutler, a director of KeyCorp, filed a Form 4 with the SEC on January 3, 2025, reporting changes in beneficial ownership of KeyCorp stock.
• The report details the acquisition of 1,239 deferred shares on December 31, 2024, through the Directors' Deferred Share Sub-Plan to the KeyCorp Amended and Restated 2019 Equity Compensation Plan.
• These deferred shares are the economic equivalent of common shares and were acquired at a price of $17.14 per share.
• Cutler's total beneficial ownership following the reported transaction includes 284,433 common shares and 53,886 deferred shares, which includes approximately 589 dividend-equivalent deferred shares accrued in December 2024.
• Payment of the deferred shares has been deferred until the earlier of July 1, 2027, or the death of the participant.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, indicating a neutral to slightly positive sentiment as it shows continued investment in the company.

Positives

• The acquisition of deferred shares indicates a continued investment and alignment of interests between the director and the company's long-term performance.

Future Outlook

Payment of the deferred shares has been deferred until the earlier of July 1, 2027, or the death of the participant.

Industry Context

Directors often receive equity compensation as part of their overall remuneration, aligning their interests with those of shareholders. Deferred share plans are a common mechanism for this.

Comparison to Industry Standards

• Deferred compensation plans for directors are a common practice among publicly traded companies, particularly in the financial sector.
• The specific terms of KeyCorp's Deferred Share Plan, such as the deferral period and vesting conditions, would need to be compared to those of peer institutions like Bank of America or JPMorgan Chase to assess its competitiveness.

Stakeholder Impact

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

Key Dates