Form 4: Lazard Inc. Director Stephen R. Howe Jr. Awarded Deferred Stock Units

Director Stephen R. Howe Jr. received 1,470 Deferred Stock Units (DSUs) from Lazard, Inc. on June 11, 2024, under the company's 2018 Incentive Compensation Plan.

Summary

• On June 11, 2024, Stephen R. Howe Jr., a director of Lazard, Inc., was awarded 1,470 Deferred Stock Units (DSUs) under the company's 2018 Incentive Compensation Plan.
• These DSUs are part of the Non-Executive Director Compensation arrangement.
• The DSUs will convert into Common Stock on a one-for-one basis when Howe resigns or ceases to be a member of Lazard, Inc.'s Board of Directors.
• Following this transaction, Howe directly owns 5,914 DSUs.

Sentiment

Score: 7

Explanation: The document reflects a routine director compensation arrangement, which is generally viewed neutrally to positively as it aligns director interests with shareholder value. The sentiment is moderately positive due to the transparency and structured nature of the compensation plan.

Positives

• The award of DSUs aligns the director's interests with the long-term performance of the company.
• The compensation plan is already established, suggesting a structured and transparent approach to director compensation.

Future Outlook

The DSUs will be converted into Common Stock when the reporting person resigns from, or otherwise ceases to be a member of, the Board of Directors of Lazard, Inc.

Industry Context

Director compensation through stock-based awards is a common practice in the financial services industry to align the interests of directors with those of shareholders.

Comparison to Industry Standards

• Stock-based compensation for non-executive directors is a standard practice across the financial industry.
• Companies like Goldman Sachs, Morgan Stanley, and JP Morgan Chase also utilize similar incentive plans to reward and retain their board members.
• The specific number of DSUs awarded and the vesting schedule are likely benchmarked against peer companies to ensure competitive compensation.

Stakeholder Impact

• Shareholders may view the DSU award positively as it aligns the director's interests with the company's long-term performance.
• The award does not have an immediate impact on employees, customers, suppliers, or creditors.

Key Dates