Form 4: LyondellBasell EVP & CFO Michael McMurray Reports Share Disposal for Tax Obligations
SEC Form 4
Michael McMurray, EVP & CFO of LyondellBasell Industries N.V., disposed of 2,747 Class A Ordinary Shares to cover tax withholding obligations related to vesting restricted stock units.
Summary
- On February 25, 2024, Michael McMurray, EVP & CFO of LyondellBasell Industries N.V., disposed of 2,747 Class A Ordinary Shares.
- The transaction was executed to satisfy tax withholding obligations related to the vesting of 6,980 shares of restricted stock units granted on February 25, 2021.
- Following the transaction, McMurray beneficially owns 88,858 Class A Ordinary Shares, which includes 30,742 restricted stock units (RSUs) granted under the company's long-term incentive plan.
- These RSUs vest in tranches between February 2025 and February 2027.
Sentiment
Score: 6
Explanation: The sentiment is neutral as the filing relates to a routine transaction for tax purposes and doesn't indicate any strategic shift or concern regarding the company's performance.
Industry Context
Executive share disposals for tax obligations are a common occurrence, especially around vesting dates of equity-based compensation. This transaction is typical and doesn't necessarily indicate a change in the executive's confidence in the company.
Comparison to Industry Standards
- Similar transactions are routinely observed among executives at peer companies such as Dow, BASF, and ExxonMobil, where equity compensation forms a significant part of their remuneration packages.
- These companies also use similar mechanisms, like withholding shares, to cover tax liabilities arising from vesting RSUs.
- The scale of McMurray's transaction is consistent with the typical equity compensation structures for CFOs in large multinational chemical companies.
Stakeholder Impact
- The transaction has a minimal impact on shareholders as it is a standard procedure for executives to manage their tax obligations related to equity compensation.
Key Dates
| Date | Description |
|---|---|
| 2019-07-09 | Date of Power of Attorney execution, authorizing individuals to act on behalf of Michael McMurray for SEC filings. |
| 2021-02-25 | Date of grant for 6,980 restricted stock units, which triggered the tax obligation. |
| 2022-02-24 | Date of grant for 7,236 restricted stock units vesting on February 24, 2025. |
| 2023-02-23 | Date of grant for 8,720 restricted stock units vesting on February 23, 2026. |
| 2024-02-22 | Date of grant for 14,786 restricted stock units vesting in three annual tranches starting February 22, 2025. |
| 2024-02-25 | Date of the transaction where shares were disposed of to cover tax obligations. |
| 2024-02-27 | Date of signature for the Form 4 filing. |
| 2025-02-22 | First vesting date for the 14,786 restricted stock units granted on February 22, 2024 (4,930 shares). |
| 2025-02-24 | Vesting date for 7,236 restricted stock units granted on February 24, 2022. |
| 2026-02-22 | Second vesting date for the 14,786 restricted stock units granted on February 22, 2024 (4,928 shares). |
| 2026-02-23 | Vesting date for 8,720 restricted stock units granted on February 23, 2023. |
| 2027-02-22 | Third vesting date for the 14,786 restricted stock units granted on February 22, 2024 (4,928 shares). |
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