Form 4: Pfizer Executive Rady A. Johnson Reports Acquisition of Phantom Stock Units

Executive Vice President Rady A. Johnson reports acquiring 7 phantom stock units of Pfizer Inc. through the company's Supplemental Savings Plan.

Summary

• On August 15, 2024, Rady A. Johnson, an Executive Vice President at Pfizer Inc., reported acquiring 7 phantom stock units.
• The acquisition was made through the Pfizer Supplemental Savings Plan (SSP).
• Each unit represents one phantom share of Pfizer common stock.
• The price of the common stock at the time of the transaction was $28.71.
• Following the reported transaction, Johnson directly owns 9,136 derivative securities.
• These units are settled in cash following the reporting person's separation from service and may be transferred by the reporting person into an alternative investment account at any time.

Sentiment

Score: 5

Explanation: The document is a routine regulatory filing, and the transaction itself is neither particularly positive nor negative. It reflects standard executive compensation practices.

Positives

• The acquisition of phantom stock units through the Supplemental Savings Plan aligns the executive's interests with the company's performance.
• The plan allows for diversification as the units can be transferred to an alternative investment account.

Industry Context

Executive compensation packages often include stock-based awards to incentivize performance and align executive interests with shareholder value. Phantom stock units are a common component of such packages, providing executives with the benefits of stock ownership without the actual issuance of shares.

Comparison to Industry Standards

• Many large pharmaceutical companies, such as Johnson & Johnson, Merck, and AbbVie, utilize stock-based compensation, including phantom stock or restricted stock units, as part of their executive compensation packages.
• These plans are designed to attract and retain top talent and align their interests with long-term shareholder value creation.
• The specific terms and conditions of these plans, such as vesting schedules and payout mechanisms, can vary significantly across companies.

Stakeholder Impact

• The transaction has a minimal direct impact on stakeholders.
• It reflects ongoing executive compensation arrangements.

Key Dates