Form 4: Lockheed Martin Executive Timothy S. Cahill Reports Stock Transactions

Lockheed Martin executive Timothy S. Cahill reports the vesting and subsequent sale of shares to cover tax obligations, along with adjustments to his holdings of restricted stock units.

Summary

• Timothy S. Cahill, a Lockheed Martin executive, reported several transactions involving company stock on December 6, 2024.
• These transactions include the vesting of restricted stock units (RSUs) and the subsequent sale of some of those shares to cover tax obligations.
• The vesting of RSUs was accelerated due to Mr. Cahill's retirement eligibility.
• The transactions involved RSUs granted on February 22, 2023, February 22, 2024, and February 23, 2022.
• A total of 86 RSUs were converted to common stock, with a portion of the shares sold at $513.03 each to cover tax obligations.
• Mr. Cahill's direct holdings of common stock decreased due to the sale of shares for tax purposes, but his overall holdings remain substantial.
• He also holds 38.985 shares indirectly through the Lockheed Martin Salaried Savings Plan.

Sentiment

Score: 7

Explanation: The document reflects routine transactions related to executive compensation. There is no indication of positive or negative sentiment, it is a neutral report of standard business practice.

Positives

• The vesting of RSUs indicates that Mr. Cahill is meeting the conditions of his compensation package.
• The transactions are a normal part of executive compensation and tax planning.

Industry Context

This is a routine filing related to executive compensation and is typical for publicly traded companies like Lockheed Martin. It reflects the standard practice of granting stock-based compensation to executives and the subsequent tax obligations that arise upon vesting.

Comparison to Industry Standards

• The vesting and sale of restricted stock units to cover tax obligations is a common practice among publicly traded companies, including defense contractors like Northrop Grumman (NOC) and Raytheon Technologies (RTX).
• These companies also use similar stock-based compensation plans for their executives.
• The specific details of vesting schedules and tax withholding practices may vary, but the overall approach is consistent with industry standards.
• The reported transactions are in line with what would be expected for a senior executive at a company of Lockheed Martin's size and complexity.

Stakeholder Impact

• The transactions have a minimal impact on shareholders, as they are part of the normal executive compensation process.
• The sale of shares to cover tax obligations does not significantly affect the overall market capitalization of Lockheed Martin.

Key Dates

Keywords

Lockheed Martin, LMT, Timothy S. Cahill, stock transactions, restricted stock units, RSUs, executive compensation, insider trading, Form 4, vesting