Form 4: Microsoft Director Penny S. Pritzker Reports Acquisition of Restricted Stock Units

Penny S. Pritzker, a director at Microsoft, has reported the acquisition of 20,894 restricted stock units, which will convert to common stock after her service on the board ends.

Summary

• Penny S. Pritzker, a director at Microsoft, reported a transaction on June 13, 2024.
• She acquired 20,894 restricted stock units (RSUs).
• These RSUs represent a contingent right to receive one share of Microsoft common stock each.
• The RSUs are fully vested, but the shares will be delivered 30 days after her separation from the Board of Directors.
• Dividend equivalent rights accrue with the RSUs and become exercisable proportionately.
• Ms. Pritzker also indirectly owns 12,000 shares of common stock through a trust.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally positive for aligning interests, but not a major event.

Positives

• The acquisition of restricted stock units aligns the director's interests with the company's performance.
• The vesting of the RSUs indicates a long-term commitment to the company.

Future Outlook

The shares from the restricted stock units will be delivered to Penny S. Pritzker 30 days after her separation from service to the Board of Directors.

Industry Context

This is a routine filing related to director compensation and is common practice for publicly traded companies like Microsoft.

Comparison to Industry Standards

• The use of restricted stock units as part of director compensation is a standard practice among large technology companies.
• Many companies, such as Apple, Google, and Amazon, use similar equity-based compensation plans to align the interests of their directors with those of shareholders.
• The vesting and delivery terms are also typical, with a delay after separation from the board to ensure continued commitment.

Stakeholder Impact

• The transaction aligns the director's interests with shareholders, which is generally positive.
• The vesting of the RSUs encourages long-term commitment from the director.

Next Steps

• The shares from the restricted stock units will be delivered 30 days after Penny S. Pritzker's separation from the Board of Directors.

Key Dates

Keywords

Microsoft, Director, Penny S. Pritzker, Restricted Stock Units, RSU, Stock Acquisition, Beneficial Ownership, Form 4