Form 4: Sempra Executive VP Karen Sedgwick Reports Acquisition of Phantom Shares

Executive VP and CFO of Sempra, Karen L. Sedgwick, reports the acquisition of phantom shares under the company's deferred compensation plan.

Summary

• Karen L. Sedgwick, Executive VP and CFO of Sempra, filed a Form 4 detailing changes in beneficial ownership.
• The report indicates the acquisition of 1,447.68 phantom shares of Sempra Common Stock on March 12, 2025, under Sempra's deferred compensation plan.
• The price per phantom share was $69.08, with a total acquisition cost of $100,000.
• Following the transaction, Sedgwick directly owns 7,773.46 derivative securities.
• The phantom shares are payable in cash and can be transferred into an alternative investment account.
• The date exercisable is immediate and the expiration date is not applicable.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive as it reflects standard executive compensation practices and insider confidence, but it's not a major event.

Positives

• The acquisition of phantom shares indicates continued participation in Sempra's deferred compensation plan by a key executive.
• The deferred compensation plan allows for flexibility as the phantom shares are payable in cash and may be transferred into an alternative investment account.

Industry Context

Executive compensation practices, including deferred compensation plans and phantom stock awards, are common in publicly traded companies to align executive interests with shareholder value. Form 4 filings provide transparency into these transactions.

Comparison to Industry Standards

• Deferred compensation plans are a common 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 utilized to provide executives with incentives tied to the company's stock performance, similar to stock options or restricted stock units.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns executive compensation with company performance.

Key Dates