Form 4: Reinsurance Group of America Executive Receives Significant Equity Awards Valued at Nearly $5 Million

My Chi To, Executive Vice President, Chief Legal Officer, and Corporate Secretary of Reinsurance Group of America Inc. (RGA), was granted substantial equity awards, including restricted stock units and stock appreciation rights, totaling an estimated value of nearly $5 million.

Summary

• My Chi To, EVP, CLO & Corp. Secretary of Reinsurance Group of America Inc. (RGA), received equity awards on June 6, 2025.
• The awards include a special grant of 16,984 Restricted Stock Units (RSUs) at a price of $206.07 per unit, valued at approximately $3,499,896.48.
• An additional 1,941 Restricted Stock Units (RSUs) were granted at $206.07 per unit, totaling approximately $399,999.87.
• 5,149 Stock Appreciation Rights (SARs) were also granted at $206.07 per unit, with an approximate value of $1,061,000.43.
• The total estimated value of these equity awards is approximately $4,960,896.78.
• Each restricted stock unit represents a contingent right to receive one share of RGA's Common Stock upon settlement.
• The special RSU grant vests in three equal annual installments, beginning on June 6, 2026, and fully vesting on June 6, 2028.
• The other RSUs and SARs vest 8/32nds on December 31, 2025, 12/32nds on December 31, 2026, and 12/32nds on December 31, 2027.
• All reported securities are beneficially owned directly by My Chi To.

Sentiment

Score: 7

Explanation: The document reports a significant equity award to a key executive, which is generally positive as it aligns management's interests with shareholders and serves as a retention mechanism. There are no negative operational or financial disclosures.

Positives

• The equity awards align the interests of a key executive, My Chi To, with those of the shareholders, as the value of the awards is tied to the company's stock performance.
• Granting equity awards is a common practice for executive compensation, serving as a retention and motivation tool for senior management.

Negatives

• The issuance of new equity awards, while common, can lead to minor dilution for existing shareholders over time as the units vest and convert to common stock.

Future Outlook

The document outlines future vesting schedules for the granted equity awards, with the special Restricted Stock Units vesting annually until June 6, 2028, and other Restricted Stock Units and Stock Appreciation Rights vesting in installments through December 31, 2027. The Stock Appreciation Rights have an expiration date of June 6, 2035.

Industry Context

The granting of equity awards such as Restricted Stock Units and Stock Appreciation Rights is a standard component of executive compensation packages across the financial and insurance industries. These awards are designed to incentivize long-term performance and align executive interests with shareholder value creation, a common practice in the reinsurance sector.

Stakeholder Impact

• Shareholders: The awards align the executive's interests with shareholder value, but also represent a future compensation expense and potential minor dilution upon vesting.
• Employees: The awards are specific to a senior executive and do not directly impact the broader employee base, though they reflect the company's compensation philosophy for leadership.

Next Steps

• The granted Restricted Stock Units will settle into Common Stock upon their respective vesting dates.
• The Stock Appreciation Rights will be exercisable according to their vesting schedule and prior to their expiration date of June 6, 2035.

Key Dates

Keywords

Reinsurance Group of America, RGA, SEC Form 4, Insider Transaction, Restricted Stock Units, RSU, Stock Appreciation Rights, SAR, Executive Compensation, Equity Awards, My Chi To, Corporate Secretary, Chief Legal Officer