Form 4: Lincoln National Corp Director Reginald E. Davis Reports Acquisition of Phantom Stock Units

Director Reginald E. Davis reports acquisition of phantom stock units and shares through dividend reinvestment in Lincoln National Corp.

Summary

• Reginald E. Davis, a director of Lincoln National Corp (LNC), filed a Form 4 disclosing changes in beneficial ownership.
• On March 31, 2024, Davis acquired 1,409.33 phantom stock units, each equivalent to one share of LNC common stock.
• These units were received as a quarterly payment of board retainer and fees under the Deferred Compensation Plan for Non-Employee Directors.
• Davis also acquired 261.39 shares through dividend reinvestment since the last report.
• Following these transactions, Davis beneficially owns 17,086.94 shares of LNC common stock.
• The phantom stock units are payable solely in shares of the company's common stock at resignation or retirement, and the reporting person may transfer his/her phantom stock account into an alternative investment account at any time.

Sentiment

Score: 7

Explanation: The document reflects standard director compensation practices and stock ownership, indicating a neutral to slightly positive sentiment due to alignment of interests.

Positives

• The acquisition of phantom stock units and shares through dividend reinvestment indicates continued alignment of the director's interests with the company's performance.

Future Outlook

The phantom stock units are payable solely in shares of the company's common stock at resignation or retirement.

Industry Context

This filing is a routine disclosure related to director compensation and stock ownership, common in the financial services industry.

Comparison to Industry Standards

• Director compensation packages often include stock or stock-based awards to align director interests with shareholder value.
• Phantom stock units are a common form of deferred compensation in the financial services industry, similar to practices at companies like Prudential or MetLife.
• Dividend reinvestment is a standard practice for shareholders, including directors, to increase their ownership stake over time.

Related Party Transactions

• The acquisition of phantom stock units as part of the Deferred Compensation Plan for Non-Employee Directors constitutes a related party transaction.

Stakeholder Impact

• The disclosure provides transparency to shareholders regarding director compensation and ownership.

Key Dates