Form 4: Lions Gate Entertainment CEO Jon Feltheimer Reports Share Withholding for Tax Obligations

CEO Jon Feltheimer reports the withholding of Lions Gate Entertainment shares to cover tax obligations related to vesting restricted share units.

Summary

• On July 3, 2024, Lions Gate Entertainment Corp. CEO Jon Feltheimer had 104,816 Class B Common Shares withheld to cover tax obligations.
• This withholding occurred due to the vesting of 199,840 Class B restricted share units.
• Following the transaction, Feltheimer directly owns 429,357 Class A Common Shares and 2,036,498 Class B Common Shares.
• The reported holdings include restricted share units scheduled to vest in the future.

Sentiment

Score: 5

Explanation: The document is a standard regulatory filing and does not convey any particularly positive or negative sentiment. It simply reports a transaction.

Future Outlook

The document mentions future vesting dates for restricted share units, indicating continued equity-based compensation for the reporting person.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. This filing indicates standard compensation practices at Lions Gate.

Comparison to Industry Standards

• Equity compensation is a common practice among publicly traded companies, particularly in the entertainment industry.
• Companies like Netflix, Disney, and Paramount also utilize restricted stock units as part of their executive compensation packages.
• The vesting schedules and tax withholding practices described in the document are typical for such arrangements.

Stakeholder Impact

• The transaction has a minimal direct impact on shareholders, as it involves the withholding of shares for tax purposes rather than a sale on the open market.
• The reporting person's continued holdings of a significant number of shares and restricted share units align their interests with those of shareholders.

Key Dates