Form 4: Skechers CEO Robert Greenberg Receives Stock Awards

Robert Greenberg, CEO of Skechers USA Inc., received awards of Class A Common Stock, including time-based and performance-based restricted shares.

Summary

• Robert Greenberg, CEO of Skechers USA Inc., received an award of 73,125 restricted shares of Class A Common Stock on February 14, 2025.
• One-third of these shares will vest on each of March 1, 2026, and the first two anniversaries thereafter.
• Greenberg also received a performance-based award of an additional 73,125 shares (at 'target' performance) that are eligible to vest based on Skechers satisfying certain performance-based metrics over the next three years.
• The reporting person may earn between 0% and 200% of the 'target' number of shares based on performance relative to the performance objectives during the applicable performance period.
• Following the transaction, Greenberg directly owns 134,492 shares of Class A Common Stock and indirectly owns 7,212 shares through the Greenberg Family Trust.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating stability and alignment of interests. The performance-based component suggests a positive outlook, but the actual value depends on future performance.

Positives

• The stock awards align the CEO's interests with the company's performance.
• The performance-based award incentivizes the CEO to achieve specific performance metrics over the next three years.

Risks

• The performance-based shares may not vest if the company does not meet the specified performance metrics.

Future Outlook

The number of performance-based shares that will vest depends on the company's performance over the next three years.

Industry Context

Stock awards are a common form of executive compensation in the publicly traded company to align management interests with shareholder value.

Comparison to Industry Standards

• Stock awards are a typical component of executive compensation packages in the footwear and apparel industry.
• Companies like Nike and Adidas also use stock awards to incentivize their executives.

Stakeholder Impact

• The stock awards align the CEO's interests with those of the shareholders.
• The performance-based component could motivate the CEO to improve company performance, benefiting shareholders and employees.

Next Steps

• Monitor Skechers' performance over the next three years to determine the vesting of the performance-based shares.

Key Dates