Form 4: ONEOK Director Lori Gobillot Reports Acquisition of Phantom Stock

Director Lori Gobillot reported the acquisition of phantom stock in ONEOK Inc. through the company's Equity Incentive Plan and Deferred Compensation Plan.

Summary

• Lori Gobillot, a director of ONEOK Inc., filed a Form 4 to report changes in beneficial ownership.
• The report indicates that Gobillot acquired phantom stock on May 22, 2024, under the Issuer's Equity Incentive Plan.
• A total of 2,082 shares of phantom stock were acquired at a price of $81.66 per share.
• These shares are convertible into ONEOK common stock on a 1-for-1 basis.
• The phantom stock is accrued under the Issuer's Deferred Compensation Plan for Non-Employee Directors and will be settled in shares of Issuer common stock upon the reporting person's retirement.
• Following the reported transaction, Gobillot beneficially owns 4,690 derivative securities.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive as it reflects a standard transaction related to director compensation, indicating alignment of interests with shareholders.

Positives

• The acquisition of phantom stock aligns the director's interests with those of the shareholders.
• The Equity Incentive Plan and Deferred Compensation Plan are standard practices for incentivizing directors.

Future Outlook

The phantom stock will be settled in shares of ONEOK common stock at the determination date or a designated date upon the reporting person's retirement.

Industry Context

Reporting of insider transactions is a standard practice to ensure transparency and prevent insider trading. Form 4 filings are common for directors and officers of publicly traded companies.

Comparison to Industry Standards

• Equity incentive plans and deferred compensation plans are common practices among publicly traded companies to align the interests of directors and officers with those of shareholders.
• Companies like Enterprise Products Partners (EPD) and Kinder Morgan (KMI), which are also in the energy infrastructure sector, typically have similar compensation structures for their directors.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the director's interests with the company's performance.

Key Dates