Form 4: RTX Corp Director Winnefeld Acquires Phantom Stock Units as Part of Compensation Plan

Director James A. Winnefeld Jr. acquired phantom stock units in RTX Corp as part of his annual compensation for serving as a non-employee director.

Summary

• On May 1, 2025, James A. Winnefeld Jr., a director of RTX Corp, acquired 2,904.0107 phantom stock units.
• The acquisition was part of his annual compensation for service as a non-employee director under the RTX Corporation Board of Directors Deferred Stock Unit Plan.
• The price of the derivative security was $127.41.
• Following the transaction, Winnefeld directly owns 22,268.1534 derivative securities.
• These deferred stock units will be converted into an equal number of shares of common stock upon retirement or termination, distributed either in a lump-sum or in installments, based on the director's prior election.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally. The use of deferred stock units is a common practice, suggesting a stable and well-governed company.

Positives

• The acquisition of phantom stock units aligns the director's interests with the long-term performance of RTX Corp.
• The deferred stock unit plan provides a structured approach to compensation and retirement planning for non-employee directors.

Future Outlook

Upon retirement or termination, the deferred stock units will be converted into common stock and distributed according to the director's election.

Industry Context

Deferred stock unit plans are a common method of compensating non-employee directors, aligning their interests with the long-term performance of the company. This is a standard practice in corporate governance to incentivize directors.

Comparison to Industry Standards

• Many large corporations use deferred stock unit plans as part of their director compensation packages.
• Companies like Lockheed Martin (LMT) and Boeing (BA), which are also in the aerospace and defense industry, have similar compensation structures for their board members.
• These plans typically vest over time and are paid out in shares upon retirement or termination of service, aligning director interests with long-term shareholder value.

Stakeholder Impact

• The acquisition of phantom stock units by a director aligns their interests with shareholders, potentially encouraging decisions that benefit long-term shareholder value.

Key Dates

Keywords

RTX Corp, Director, Winnefeld, Phantom Stock Units, Deferred Stock Unit Plan, Compensation, Form 4, Securities