Form 4: Nexstar Media Group Executive Michael Strober Awarded Restricted Stock Units

EVP and Chief Revenue Officer of Nexstar Media Group, Michael Strober, received awards of both time-based and performance-based restricted stock units.

Summary

• Michael Strober, EVP and Chief Revenue Officer of Nexstar Media Group, was granted 3,000 time-based Restricted Stock Units (RSUs) and 3,000 performance-based Restricted Stock Units (PSUs) on May 23, 2024.
• The RSUs and PSUs vest in increments of 750 units on each anniversary of the award date through May 23, 2028.
• Each RSU converts into one share of Nexstar's Common Stock upon vesting.
• Each PSU represents a contingent right to receive one share of Nexstar's common stock, subject to the achievement of pre-established company performance metrics.
• Unvested RSUs/PSUs are forfeited if the awardee's employment terminates for reasons other than a company change of control.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects standard executive compensation practices, aligning management interests with shareholder value. There are no immediate negative implications.

Positives

• The granting of RSUs and PSUs aligns executive compensation with the company's long-term performance and shareholder value.
• The vesting schedule encourages continued service and commitment from the executive.

Risks

• The value of the RSUs and PSUs is subject to the market price of Nexstar's common stock.
• Failure to meet the pre-established company performance metrics will result in the forfeiture of the PSUs.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedule of the RSUs and PSUs.

Industry Context

Granting stock-based compensation is a common practice in the media industry to incentivize executives and align their interests with those of shareholders. Companies like Sinclair Broadcast Group, Gray Television, and Tegna also utilize similar compensation strategies.

Comparison to Industry Standards

• Nexstar's executive compensation practices, including the use of RSUs and PSUs, are generally in line with industry standards.
• Companies like Sinclair Broadcast Group (SBGI) and Gray Television (GTN) also use a mix of salary, bonus, and equity-based compensation to incentivize their executives.
• The specific vesting schedules and performance metrics vary from company to company, but the overall approach is similar.

Stakeholder Impact

• Shareholders may view the granting of RSUs and PSUs positively, as it aligns executive interests with company performance.
• Employees may see this as a positive sign of the company's commitment to its leadership team.

Key Dates