Form 4: Lockheed Martin Director Hollub Acquires Phantom Stock Units Through Fee Deferral

Director Vicki A. Hollub acquired phantom stock units in Lockheed Martin through a director retainer fee deferral plan.

Summary

• Vicki A. Hollub, a director of Lockheed Martin, acquired 72.7042 phantom stock units on September 30, 2024, at a price of $584.56 per share.
• These units were acquired through a director retainer fee deferral under the Lockheed Martin Corporation Directors Deferred Compensation Plan.
• Hollub also holds 2,337.6828 phantom stock units through the Lockheed Martin Directors Deferred Comp Plan and 3,112.7138 phantom stock units through the Lockheed Martin Directors Equity Plan.
• Settlement of these units will be in cash or stock upon retirement or termination of service.

Sentiment

Score: 7

Explanation: The document reflects a routine insider transaction related to director compensation, which is generally neutral to positive as it aligns director interests with shareholder value. There are no indications of negative sentiment.

Future Outlook

Settlement of phantom stock units will be in cash or stock upon the reporting person's retirement or termination of service.

Industry Context

This filing reflects routine insider transactions related to director compensation plans, which are common in publicly traded companies like Lockheed Martin to align director interests with shareholder value.

Comparison to Industry Standards

• Director compensation plans involving stock units are a common practice among large publicly traded companies, including defense contractors like Boeing (BA), Northrop Grumman (NOC), and General Dynamics (GD).
• These plans typically involve the granting of stock options, restricted stock units (RSUs), or phantom stock units to directors as part of their overall compensation package.
• The specific terms and conditions of these plans, such as vesting schedules, settlement methods, and performance criteria, can vary significantly from company to company.
• Lockheed Martin's director compensation plan, as evidenced by this Form 4 filing, appears to be in line with industry standards, with phantom stock units being settled in cash or stock upon retirement or termination of service.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders by aligning director interests with company performance.

Key Dates