Form 4: Lincoln National Corp Director James T. Morris Acquires Phantom Stock Units

Director James T. Morris acquired 403.79 phantom stock units of Lincoln National Corp on March 31, 2025, as part of a quarterly payment of board retainer and fees.

Summary

• On March 31, 2025, James T. Morris, a director of Lincoln National Corp (LNC), acquired 403.79 phantom stock units.
• The acquisition was part of a quarterly payment of board retainer and fees, accrued under the Deferred Compensation Plan for Non-Employee Directors.
• Each phantom stock unit is equivalent to one share of LNC Common Stock.
• The price of the phantom stock unit was $35.91.
• These units are payable solely in shares of the Company's common stock at resignation or retirement.
• The reporting person can transfer their Phantom Stock account into an alternative investment account at any time.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally. The acquisition of phantom stock units aligns the director's interests with shareholders, which is a positive aspect.

Positives

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders.
• The Deferred Compensation Plan allows for flexibility, as the director can transfer the account into an alternative investment account.

Future Outlook

The phantom stock units will be payable in shares of LNC common stock upon resignation or retirement.

Industry Context

Directors often receive stock-based compensation to align their interests with shareholders, which is a common practice in publicly traded companies.

Comparison to Industry Standards

• Deferred compensation plans for non-employee directors are a common practice among publicly traded companies, such as Prudential Financial (PRU) and MetLife (MET), to attract and retain experienced board members.
• These plans often involve granting phantom stock units or similar equity-based awards that vest over time and are payable upon retirement or resignation.
• The specific terms of these plans, such as the vesting schedule and payout options, can vary depending on the company's compensation policies and governance practices.

Stakeholder Impact

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders, potentially encouraging decisions that benefit the company's long-term performance.

Key Dates

Keywords

phantom stock units, director, LNC, Lincoln National Corp, Deferred Compensation Plan, Form 4, acquisition, James T. Morris