Form 4: Sempra CEO Acquires Phantom Shares Under Deferred Compensation Plan

Sempra CEO Jeffrey Martin acquired 2,935.46 phantom shares of Sempra Common Stock under the company's deferred compensation plan at $68.13 per share.

Summary

• On March 10, 2025, Sempra CEO Jeffrey W. Martin acquired 2,935.46 phantom shares of Sempra Common Stock.
• The acquisition was made under Sempra's deferred compensation plan.
• The price per phantom share was $68.13, with a total acquisition cost of $200,000.
• These phantom shares are payable in cash and can be transferred into an alternative investment account.
• Following the transaction, Martin directly owns 176,132.09 shares of Sempra Common Stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to executive compensation, which is generally viewed neutrally. The acquisition of phantom shares suggests confidence in the company's future performance.

Positives

• The acquisition of phantom shares under the deferred compensation plan aligns the CEO's interests with the long-term performance of the company.
• The deferred compensation plan allows the CEO to defer income and potentially reduce current tax liabilities.

Industry Context

Executive compensation packages often include deferred compensation plans and phantom stock awards to incentivize long-term performance and align executive interests with shareholder value. This filing reflects a standard practice in corporate governance.

Comparison to Industry Standards

• Deferred compensation plans are a common component of executive compensation packages in the energy sector, similar to companies like NextEra Energy (NEE) and Duke Energy (DUK).
• Phantom stock awards are used to provide executives with the benefits of stock ownership without actually issuing shares, which is a practice seen in many large corporations.

Stakeholder Impact

• The acquisition of phantom shares by the CEO aligns his interests with those of the shareholders, potentially leading to decisions that benefit the company's long-term value.
• The deferred compensation plan may impact the company's future cash flows when the phantom shares are paid out in cash.

Key Dates