Form 4: Sempra Executive Vice President Justin Bird Reports Acquisition of Phantom Shares

Executive Vice President Justin Christopher Bird reports acquiring 1,467.73 phantom shares of Sempra Common Stock under the company's deferred compensation plan.

Summary

• On March 10, 2025, Justin Christopher Bird, an Executive Vice President at Sempra, acquired 1,467.73 phantom shares of Sempra Common Stock.
• The acquisition was made under Sempra's deferred compensation plan at a price of $68.13 per phantom share, totaling $100,000.
• These phantom shares are payable in cash and can be transferred into an alternative investment account.
• Following the transaction, Mr. Bird directly owns 18,096.59 shares of Sempra Common Stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects a routine transaction related to executive compensation, which is a normal part of corporate operations. 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 executive's interests with the company's performance.
• The deferred compensation plan provides flexibility for the executive, allowing for cash payments or transfer to an alternative investment account.

Industry Context

Executive compensation through deferred compensation plans and phantom shares is a common practice in publicly traded companies to incentivize and retain key personnel. This aligns executive interests with shareholder value by linking compensation to company performance.

Comparison to Industry Standards

• Deferred compensation plans are a standard component of executive compensation packages in the utility industry, often used by companies like NextEra Energy, Duke Energy, and Southern Company.
• Phantom stock plans are also common, providing executives with the benefits of stock ownership without actually issuing shares, similar to practices at Exelon and Dominion Energy.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns executive compensation with company performance.
• Employees may view the deferred compensation plan as a positive benefit for executives.

Key Dates