Form 4: Kilroy Realty Executive A. Robert Paratte Reports Changes in Beneficial Ownership
SEC Form 4 Filing
A. Robert Paratte, Executive Vice President and Chief Leasing Officer of Kilroy Realty Corp, reports transactions involving common stock and restricted stock units.
Summary
- On February 4, 2025, A. Robert Paratte acquired 44,028 shares of common stock and disposed of 19,965 shares to cover tax withholding.
- Paratte also acquired 26,057.739 and 28,888.2537 restricted stock units (RSUs) and converted 44,028.9305 RSUs into common stock.
- Following these transactions, Paratte directly owns 80,568.6287 shares of common stock and holds 56,237.1548 RSUs.
- The RSUs represent a contingent right to receive one share of Kilroy Realty Corp common stock.
- The reported transactions include performance units awarded in 2022 and 2024, with vesting dependent on performance criteria and time-based requirements.
Sentiment
Score: 5
Explanation: This is a neutral report on stock transactions by an executive, with no inherent positive or negative implications for the company's performance.
Future Outlook
The reporting person was awarded performance units in 2024 covering a three-year performance period ending December 31, 2026. Up to an additional 57,776.5075 units may vest for the three-year performance period based on the Issuer's performance for that three-year period.
Industry Context
This filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies like Kilroy Realty Corp.
Comparison to Industry Standards
- Executive compensation packages often include restricted stock units (RSUs) and performance-based units to align management's interests with those of shareholders.
- The vesting schedules and performance metrics associated with these units are typically detailed in company filings and are comparable to those of other REITs such as Boston Properties (BXP) and Equity Residential (EQR).
- The number of shares and units involved are within the typical range for executives at similar-sized real estate companies.
Stakeholder Impact
- The transactions may have a minor impact on shareholders due to the change in the executive's holdings.
- The vesting of performance units is tied to the company's performance, aligning executive compensation with shareholder value.
Key Dates
| Date | Description |
|---|---|
| 02/04/2025 | Date of earliest transaction: Acquisition of common stock and RSUs, conversion of RSUs to common stock |
| 02/05/2025 | Disposal of common stock for tax withholding |
| 02/06/2025 | Date of signature for the Form 4 filing |
| December 31, 2024 | End of three-year performance period for 2022 performance units |
| January 31, 2025 | Date through which dividend equivalents were adjusted for 2022 performance units |
| December 31, 2026 | End of three-year performance period for 2024 performance units |
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