Form 4: Ryerson Holding Corp Executive John E. Orth Reports Changes in Beneficial Ownership

EVP of Operations at Ryerson Holding Corp, John E. Orth, reports acquisition of dividend equivalent rights on restricted stock units.

Summary

• On March 20, 2025, John E. Orth, EVP of Operations at Ryerson Holding Corp, reported the acquisition of dividend equivalent rights related to restricted stock units.
• These rights are associated with restricted stock units granted on March 31, 2022, March 31, 2023, and March 31, 2024.
• The dividend equivalent rights accrue when dividends are paid on the common shares underlying the restricted stock units and vest proportionately with the restricted stock units.
• Orth acquired dividend equivalent rights for 13.58 shares related to the 2022 grant, 31.04 shares related to the 2023 grant, and 45.538 shares related to the 2024 grant.
• Following the reported transaction, Orth directly owns 1,784.322 dividend equivalent rights related to the 2022 grant, 4,078.605 dividend equivalent rights related to the 2023 grant, and 5,983.617 dividend equivalent rights related to the 2024 grant.
• The restricted stock units and associated dividend equivalent rights vest on March 31, 2025, March 31, 2026, and March 31, 2027, depending on the grant date.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation update, suggesting stability and alignment of interests. It's a neutral to slightly positive indicator.

Positives

• The acquisition of dividend equivalent rights suggests continued alignment of executive compensation with shareholder returns.

Future Outlook

The vesting schedule of the restricted stock units extends through March 2027, indicating a long-term incentive structure for the executive.

Industry Context

Executive compensation practices, including the use of restricted stock units and dividend equivalent rights, are common in publicly traded companies to align management interests with those of shareholders.

Comparison to Industry Standards

• Ryerson's executive compensation structure, utilizing restricted stock units with dividend equivalent rights, aligns with common practices observed in publicly traded industrial companies such as Reliance Steel & Aluminum Co. and Worthington Industries.
• These companies also use equity-based compensation to incentivize executives and align their interests with shareholder value creation.
• The vesting schedules and terms of these equity grants are typically benchmarked against industry peers to ensure competitiveness and retention.

Stakeholder Impact

• The vesting of restricted stock units and dividend equivalent rights could potentially increase the number of outstanding shares, which may have a minor dilutive effect on existing shareholders.

Key Dates

Keywords

Ryerson Holding Corp, John E. Orth, dividend equivalent rights, restricted stock units, beneficial ownership, Form 4, executive compensation