Form 4: Lockheed Martin COO Frank St. John Reports Stock Transactions Following Performance Unit Settlement and RSU Vesting

Frank St. John, Chief Operating Officer of Lockheed Martin, reports acquisition and disposition of common stock related to performance stock unit settlement, restricted stock unit vesting, and tax withholding obligations.

Summary

• On February 23, 2025, Frank St. John, the Chief Operating Officer of Lockheed Martin, reported transactions involving Lockheed Martin common stock.
• These transactions include the acquisition of 9,274 shares upon settlement of performance stock units granted on February 23, 2022, for the performance period of 2022-2024.
• Additionally, 4,445 shares were acquired upon the vesting of restricted stock units (RSUs) also granted on February 23, 2022.
• A disposition of 6,089 shares occurred to satisfy tax withholding obligations related to the vesting of these stock units at a price of $440.72 per share.
• Following these transactions, St. John directly owns 7,630 shares of Lockheed Martin common stock and indirectly owns 7.8246 shares through the Lockheed Martin Salaried Savings Plan.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The transactions are routine and related to previously granted compensation. There is no indication of unusual activity or concern.

Positives

• The vesting of performance stock units and restricted stock units indicates that performance goals were met, which is a positive signal.

Negatives

• The disposition of shares to cover tax obligations, while standard, slightly reduces the executive's direct holdings.

Risks

• There are no specific risks highlighted in this document, as it primarily reports transactions related to equity compensation.

Industry Context

Executive stock transactions are a normal part of corporate governance and compensation practices in publicly traded companies like Lockheed Martin. These transactions are closely monitored by investors for insights into management's perspective on the company's performance and future prospects.

Comparison to Industry Standards

• Lockheed Martin's executive compensation practices, including the use of performance stock units and restricted stock units, are common among large publicly traded companies in the aerospace and defense industry.
• Companies like Boeing, Northrop Grumman, and General Dynamics also utilize similar equity-based compensation to align executive incentives with shareholder value.
• The vesting schedules and performance metrics associated with these units are typically benchmarked against industry peers to ensure competitiveness and effectiveness.

Stakeholder Impact

• The transactions have a minor impact on shareholders, as they reflect the normal course of executive compensation and do not signal any strategic shift or concern.

Key Dates