Form 4: Scotts Miracle-Gro Director Mark D. Kingdon Reports Acquisition of Dividend Equivalent Rights

Director Mark D. Kingdon reports acquiring dividend equivalent rights tied to Scotts Miracle-Gro common shares.

Summary

• On June 7, 2024, Mark D. Kingdon, a director of Scotts Miracle-Gro Co., acquired 52 dividend equivalent rights.
• These rights are linked to existing DSU or RSU grants and will become exercisable proportionally with those grants.
• Each dividend equivalent right represents the economic equivalent of one common share of Scotts Miracle-Gro.
• Following the transaction, Kingdon directly owns 140 dividend equivalent rights.
• The price of the dividend equivalent rights was $68.21.

Sentiment

Score: 5

Explanation: The document is a standard regulatory filing, indicating a neutral sentiment. It reports a routine transaction related to executive compensation.

Industry Context

This filing is a routine disclosure related to executive compensation and ownership, common in publicly traded companies. It provides transparency regarding the alignment of director interests with shareholder value through equity-based compensation.

Comparison to Industry Standards

• Dividend equivalent rights are a common component of executive compensation packages in publicly traded companies, particularly those with dividend programs.
• Companies like Home Depot (HD) and Lowe's (LOW), which operate in related industries, also utilize similar equity-based compensation strategies for their executives and directors.
• The specific terms and conditions of these rights, such as vesting schedules and exercise prices, can vary significantly across companies.

Stakeholder Impact

• The acquisition of dividend equivalent rights aligns the director's interests with those of shareholders, as the value of these rights is tied to the performance of the company's stock.

Key Dates