Form 4: Noodles & Company Executive Receives Stock Award

Corey Kline, EVP Technology at Noodles & Company, was granted 15,015 shares of Class A Common Stock on May 15, 2024, as part of a restricted stock unit award.

Summary

• Corey Kline, the EVP Technology at Noodles & Company, received an award of 15,015 shares of Class A Common Stock on May 15, 2024.
• These shares are in the form of Restricted Stock Units (RSUs), where each RSU represents the right to receive one share of Noodles & Company Class A common stock.
• The RSUs will vest in four equal installments, starting on May 15, 2025.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The granting of stock options to executives is a common practice and generally viewed as a positive sign of aligning management interests with shareholders.

Positives

• The grant of RSUs to a key executive like Corey Kline can be seen as a positive sign, aligning his interests with the long-term success of Noodles & Company.
• The vesting schedule encourages continued service and commitment from the executive.

Industry Context

Stock awards are a common practice in the restaurant industry to incentivize and retain key executives. These awards align the executive's interests with those of the shareholders, encouraging them to work towards increasing the company's value.

Comparison to Industry Standards

• Comparing the size and vesting schedule of this RSU award to similar awards at companies like Chipotle (CMG), Panera Bread (PNRA private), or Wingstop (WING) would provide a benchmark for assessing its competitiveness.
• Typically, vesting schedules range from 3 to 5 years, with annual or quarterly vesting intervals.

Stakeholder Impact

• Shareholders may view the RSU grant as a positive incentive for the executive to drive company performance.
• Employees may see this as a sign of the company's commitment to its leadership team.

Key Dates