Form 4: Lockheed Martin Director David B. Burritt Reports Changes in Beneficial Ownership

Director David B. Burritt reports acquisition of phantom stock units through director fee deferral and holdings in deferred compensation and equity plans.

Summary

• David B. Burritt, a director at Lockheed Martin, filed a Form 4 detailing changes in his beneficial ownership of company securities.
• The report indicates the acquisition of 90.9869 phantom stock units at $467.10 per share through director retainer fee deferral under the Lockheed Martin Corporation Directors Deferred Compensation Plan.
• These units are settled in cash upon the reporting person's retirement or termination of service.
• Burritt also holds 10,227.8497 phantom stock units in the Lockheed Martin Directors Deferred Comp Plan and 12,806.1647 units in the Lockheed Martin Directors Equity Plan, with additional acquisitions through dividend reinvestment.
• Settlement for the equity plan units will be in cash or stock upon retirement or termination of service, with some exceptions for non-employee directors meeting stock ownership guidelines.

Sentiment

Score: 6

Explanation: The document is neutral in sentiment as it simply reports transactions related to director compensation. It doesn't contain any information that would significantly impact investor sentiment positively or negatively.

Positives

• The director's continued investment in phantom stock units demonstrates confidence in Lockheed Martin's future performance.

Future Outlook

The document does not contain specific forward-looking statements regarding the company's future performance, but it details the director's ongoing investment in phantom stock units, which are tied to the company's stock performance.

Industry Context

This filing is a routine disclosure related to insider transactions and is a standard practice for publicly traded companies like Lockheed Martin. It provides transparency into the investment activities of the company's directors.

Comparison to Industry Standards

• Director compensation in the form of stock and phantom stock units is a common practice among large publicly traded companies, including defense contractors like Boeing, Northrop Grumman, and General Dynamics.
• These companies often use equity-based compensation to align the interests of directors and shareholders.
• The specific terms of the Lockheed Martin Directors Deferred Compensation Plan and Directors Equity Plan are likely comparable to those offered by its peers.

Stakeholder Impact

• The transactions reported may have a minor positive impact on shareholder confidence due to the director's continued investment in the company.

Key Dates