Form 4: RE/MAX Holdings Executive Abigail C. Lee Reports Changes in Beneficial Ownership

Abigail C. Lee, EVP at RE/MAX Holdings, reports acquisition and disposal of Class A Common Stock and grants of Restricted Stock Units (RSUs) on March 1, 2024.

Summary

• On March 1, 2024, Abigail C. Lee, EVP at RE/MAX Holdings, reported changes in beneficial ownership.
• Lee was granted 32,170 performance-based RSUs under the 2023 Omnibus Incentive Plan, vesting based on performance between January 1, 2024, and December 31, 2026, with potential vesting ranging from 0-200% of the target amount.
• She also received 32,170 time-based RSUs, vesting in three equal annual installments starting March 1, 2025.
• An additional 608 RSUs were granted based on performance from 2021.
• 2,836 shares of Class A common stock were withheld by the issuer to cover tax obligations upon RSU settlement.
• Following these transactions, Lee beneficially owns 93,729 shares of Class A Common Stock, including 83,986 unvested RSUs.

Sentiment

Score: 6

Explanation: The sentiment is neutral as it reports routine transactions related to executive compensation. There are no explicit positive or negative implications for the company's performance.

Positives

• Grant of performance-based RSUs aligns executive compensation with company performance, incentivizing value creation.
• Grant of time-based RSUs incentivizes continued service with the company.

Risks

• The actual number of performance-based RSUs that vest could be significantly lower than the target amount if performance goals are not met.
• The executive could leave the company before the time-based RSUs fully vest.

Future Outlook

The vesting of RSUs is contingent upon future performance and continued employment.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. This filing indicates ongoing equity-based compensation practices at RE/MAX Holdings.

Comparison to Industry Standards

• Equity-based compensation, including RSUs, is a common practice among publicly traded companies to align executive interests with shareholder value.
• The vesting schedules and performance metrics associated with the RSUs are likely benchmarked against industry peers to ensure competitiveness and effectiveness.

Stakeholder Impact

• Shareholders may view the RSU grants as a positive incentive for management to drive company performance.
• Employees may see the equity-based compensation as a sign of the company's commitment to its leadership team.

Key Dates