Form 4: Pebblebrook Hotel Trust CEO Jon Bortz Reports Share Transactions

Jon Bortz, Chairman and CEO of Pebblebrook Hotel Trust, reports acquisition of shares through incentive awards and disposition of shares for tax obligations.

Summary

• On February 7, 2025, Jon E Bortz, Chairman and CEO of Pebblebrook Hotel Trust, reported transactions involving the company's securities.
• Bortz acquired 23,968 common shares as part of a performance-based equity incentive award at $0.
• He also disposed of 11,430 common shares at $12.81 to cover tax obligations related to the vesting of the 23,968 shares.
• Following these transactions, Bortz directly owns 1,399,110 common shares and indirectly owns 200,000 common shares through his wife.
• He also holds 18,000 Series H Preferred Shares and 516,131 LTIP Class B Units.
• 112,168 LTIP Class B Units were acquired on 02/07/2025.
• 37,390, 37,389 and 37,389 LTIP Class B Units will vest on January 1, 2026, January 1, 2027, and January 1, 2028, respectfully, subject to the reporting person's continued service as an employee of the Issuer.

Sentiment

Score: 6

Explanation: The sentiment is neutral. It's a routine disclosure of share transactions. The acquisition of shares through incentive awards is a positive sign, while the sale for tax obligations is a neutral event.

Positives

• The acquisition of shares through the incentive award reflects the CEO's alignment with the company's performance objectives.

Negatives

• The sale of shares to cover tax obligations, while common, slightly reduces the CEO's direct holdings.

Risks

• The value of the LTIP Class B Units is tied to the performance of the Operating Partnership.
• Future vesting of LTIP Class B Units is contingent upon continued employment.

Future Outlook

Future vesting of LTIP Class B Units is contingent upon continued employment with the Issuer.

Industry Context

Insider trading activity is always closely watched by investors as it can provide insights into management's perspective on the company's prospects. This filing is a routine disclosure of share transactions by a key executive.

Comparison to Industry Standards

• Executive compensation packages often include equity-based incentives to align management's interests with those of shareholders.
• Vesting schedules for restricted stock units (RSUs) and LTIP units are common practice in the industry.
• Tax-related sales of shares upon vesting are a typical occurrence for executives receiving equity compensation.

Stakeholder Impact

• The transactions may have a minor impact on shareholders due to the change in the CEO's holdings.
• The vesting of LTIP units incentivizes the CEO to continue driving the company's performance.

Key Dates