Form 4: L3Harris Technologies Director Robert B. Millard Reports Acquisition of Phantom Stock Units

Director Robert B. Millard reported the acquisition of phantom stock units in L3Harris Technologies through a deferred compensation plan.

Summary

• Robert B. Millard, a director of L3Harris Technologies, reported changes in beneficial ownership on April 1, 2024.
• Millard acquired 239.74 phantom stock units under the L3Harris Technologies, Inc. 2019 Non-Employee Director Deferred Compensation Plan at a price of $208.56.
• These phantom stock units are to be settled solely in shares of the Issuer's common stock upon Millard's separation from service with the Issuer.
• Millard also acquired 38.27 phantom stock units through dividend credits under the Plan.
• Following the reported transactions, Millard directly owns 7,689.39 shares of Common Stock, Par Value $1.00.
• Millard indirectly owns 209,428 shares through a grantor retained annuity trust and 14,943 shares through a family trust.

Sentiment

Score: 6

Explanation: The sentiment is neutral as it's a standard regulatory filing detailing stock transactions. There are no explicit positive or negative implications for the company's performance.

Positives

• The acquisition of phantom stock units through the deferred compensation plan aligns the director's interests with the long-term performance of the company.
• Dividend credits increasing the phantom stock units holdings indicate a positive return on the underlying investment.

Future Outlook

The phantom stock units will be settled in shares of L3Harris Technologies common stock upon Millard's separation from service.

Industry Context

This filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies. It provides transparency regarding the alignment of director interests with shareholder value.

Comparison to Industry Standards

• Deferred compensation plans and phantom stock units are common forms of executive compensation in publicly traded companies, particularly in the aerospace and defense industry.
• Companies like Lockheed Martin, Boeing, and Northrop Grumman also utilize similar compensation structures to incentivize and retain key personnel.
• The specific terms and conditions of these plans can vary, but the underlying principle of aligning executive compensation with company performance remains consistent.

Stakeholder Impact

• The filing provides transparency to shareholders regarding the stock ownership of a key director.
• It assures stakeholders that the director's interests are aligned with the company's long-term success.

Key Dates