Form 4: RTX Corp Director Leanne G. Caret Reports Acquisition of Phantom Stock Units

Director Leanne G. Caret reports acquisition of phantom stock units under the RTX Corporation Board of Directors Deferred Stock Unit Plan.

Summary

• On May 1, 2025, Leanne G. Caret, a director of RTX Corp, acquired 1,813.0445 phantom stock units under the RTX Corporation Board of Directors Deferred Stock Unit Plan.
• These units are connected to her annual compensation for service as a non-employee director.
• The price of the derivative security is $127.41.
• Following the transaction, Caret directly owns 7,304.9458 derivative securities.
• Upon retirement or termination, these deferred stock units will be converted into an equal number of common stock shares, distributed either in a lump-sum or installments, based on the director's prior election.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, indicating a stable and well-governed company. The sentiment is neutral to slightly positive.

Positives

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders.
• The Deferred Stock Unit Plan provides a structured approach to compensation and long-term incentives.

Future Outlook

The document does not contain specific forward-looking statements beyond the standard terms of the Deferred Stock Unit Plan.

Industry Context

Director compensation through stock and deferred stock units is a common practice in publicly traded companies to align management's interests with those of shareholders.

Comparison to Industry Standards

• Deferred stock unit plans are a typical component of executive and director compensation packages in large corporations like RTX Corp.
• Companies such as Lockheed Martin (LMT) and Boeing (BA) also utilize similar deferred compensation mechanisms for their board members.
• The specific terms and amounts of these plans vary based on company size, performance, and industry benchmarks.

Stakeholder Impact

• The acquisition of phantom stock units aligns the director's interests with those of the shareholders, potentially driving long-term value creation.
• The compensation structure can influence employee morale and perception of fairness.

Key Dates

Keywords

RTX Corp, Director, Leanne G. Caret, Phantom Stock Units, Deferred Stock Unit Plan, Compensation, Form 4, SEC