Form 4: Norfolk Southern EVP, CFO & Treasurer Jason Zampi Reports Stock Option and Restricted Stock Unit Grants

Jason Zampi, EVP, CFO & Treasurer of Norfolk Southern, reports the grant of stock options and restricted stock units under the company's Long-Term Incentive Plan.

Summary

• On October 24, 2024, Jason Zampi, EVP, CFO & Treasurer of Norfolk Southern Corporation, was granted stock options to purchase 1,940 shares of common stock.
• These options have an exercise price of $255.5 and will vest ratably in four annual installments starting on October 23, 2025.
• Zampi was also granted 600 Restricted Stock Units (RSUs), each equivalent to one share of Common Stock.
• These RSUs will also vest ratably in four annual installments beginning on the first anniversary of the grant date.
• Following these transactions, Zampi directly owns 1,940 stock options and 3,042 Restricted Stock Units.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects standard executive compensation practices, aligning management with shareholder interests. The vesting schedule promotes long-term commitment.

Positives

• The grant of stock options and RSUs aligns Mr. Zampi's interests with those of the shareholders, incentivizing him to improve the company's performance.
• The vesting schedule encourages long-term commitment from the executive.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedule of the granted securities.

Industry Context

Executive compensation packages often include stock options and RSUs to align management's interests with shareholder value and encourage long-term performance. This filing reflects a standard practice in corporate governance.

Comparison to Industry Standards

• Norfolk Southern's executive compensation practices, including the use of stock options and RSUs, are generally in line with those of its peers in the railroad industry, such as Union Pacific (UNP) and CSX Corporation (CSX).
• These companies also utilize long-term incentive plans that include equity-based compensation to incentivize executives.
• The vesting schedules and grant sizes are typically benchmarked against industry standards to ensure competitiveness and alignment with performance goals.

Stakeholder Impact

• Shareholders: Aligns executive interests with shareholder value through equity-based compensation.
• Employees: May boost morale by demonstrating that leadership is invested in the company's long-term success.

Key Dates