Form 4: Director LeFebvre Boosts LNC Phantom Stock Holdings

Lincoln National Corp. Director Dale LeFebvre acquired 1,010.55 phantom stock units as part of his compensation, increasing his total beneficial ownership to 27,302.62 units.

Summary

• Dale LeFebvre, a Director of Lincoln National Corp. (LNC), acquired 1,010.55 Phantom Stock Units on December 31, 2025.
• These units were acquired as a quarterly payment for board retainer and fees under the Deferred Compensation Plan for Non-Employee Directors.
• Each Phantom Stock Unit is equivalent to one share of LNC Common Stock and is payable solely in shares of the Company's common stock at resignation or retirement.
• The acquisition price for these units was $44.53 per unit.
• Following this transaction, Dale LeFebvre beneficially owns 27,302.62 derivative securities (Phantom Stock Units).
• The reported beneficial ownership also includes 288.22 shares acquired through dividend reinvestment since the last report.
• The reporting person has the option to transfer their Phantom Stock account into an alternative investment account at any time.

Sentiment

Score: 6

Explanation: The filing is neutral to slightly positive. It details a routine compensation event for a director, which is an expected part of corporate operations. The increase in beneficial ownership by a director can be seen as a minor positive for alignment of interests.

Positives

• The acquisition of phantom stock units by a director increases their beneficial ownership, potentially aligning their interests more closely with shareholders.
• The transaction represents a routine compensation mechanism for non-employee directors, indicating stable corporate governance practices.

Future Outlook

This filing does not contain specific forward-looking statements or guidance regarding the company's future performance or strategic direction.

Industry Context

The practice of compensating non-employee directors with equity-based awards, such as phantom stock units, is a common industry practice across publicly traded companies. It serves to align the interests of directors with those of shareholders by linking a portion of their compensation to the company's stock performance.

Comparison to Industry Standards

• Compensating non-employee directors with equity-linked instruments like phantom stock is a standard practice in corporate governance, aligning director incentives with shareholder value creation.
• The structure, where units are payable in common stock at resignation or retirement, is typical for deferred compensation plans for directors, seen in companies comparable to Lincoln National Corp. in the financial services and insurance sectors.

Corporate Governance

Related Party Transactions

• The acquisition of phantom stock units by Director Dale LeFebvre from Lincoln National Corp. is a transaction between a related party (director) and the issuer, structured as part of the director's compensation plan.

Stakeholder Impact

• Shareholders: The transaction indicates continued alignment of director interests with shareholder value through equity-based compensation.
• Employees: No direct impact on employees is indicated by this filing.
• Customers, Suppliers, Creditors: No direct impact on these stakeholders is indicated by this filing.

Next Steps

• The Phantom Stock Units are payable solely in shares of the Company's common stock at the reporting person's resignation or retirement.

Key Dates

Recommendation

This Form 4 filing details a routine, expected compensation event for a director, involving the acquisition of phantom stock units. It does not contain any new material information regarding the company's financial performance, strategic direction, or operational outlook that would warrant a change in an investment recommendation. Therefore, a 'hold' recommendation is appropriate, as the filing does not alter the fundamental investment thesis for Lincoln National Corp.

Keywords

LNC, Lincoln National Corp, Form 4, Director Compensation, Phantom Stock, Beneficial Ownership, Corporate Governance