Form 4: Snowflake CFO Michael Scarpelli Reports Changes in Beneficial Ownership

Michael Scarpelli, CFO of Snowflake Inc., reports changes in beneficial ownership of Class A Common Stock and stock options, including shares withheld for tax obligations and holdings in various trusts.

Summary

• On March 8, 2024, Michael Scarpelli, the Chief Financial Officer of Snowflake Inc., filed a Form 4 with the SEC reporting changes in his beneficial ownership of the company's securities.
• The reported transactions include the withholding of 791 shares of Class A Common Stock to satisfy tax obligations related to the vesting of restricted stock units at a price of $162.4.
• Following the reported transaction, Scarpelli directly owns 186,509 shares of Class A Common Stock and indirectly owns shares through various trusts, including the Michael P. Scarpelli 2019 Grantor Retained Annuity Trust (560,493 shares), and several Fintail Irrevocable GST Exempt and Non-Exempt Trusts for the benefit of his children (17,617 or 2,755 shares each).
• He also indirectly owns 34,364 shares through his spouse and 137,515 shares through the Scarpelli Family Trust.
• Scarpelli also reported his holdings of stock options, including options to buy 2,019,299 shares at an exercise price of $8.88, vesting monthly from August 19, 2019, and options to buy 69,569 shares at an exercise price of $207.56, vesting monthly from March 8, 2022.
• The reporting person is voluntarily reporting his outstanding stock options as of the date of this report.

Sentiment

Score: 5

Explanation: The document is a standard SEC filing reporting changes in beneficial ownership, which is neither inherently positive nor negative. The sentiment is neutral.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders and their holdings in the company's stock and derivatives.

Comparison to Industry Standards

• Form 4 filings are standard practice for publicly traded companies and their executives.
• The details provided are consistent with what is expected in these filings, including direct and indirect ownership, and derivative holdings.
• Comparable companies such as Datadog, CrowdStrike, and Okta also have similar filings when their executives trade company stock.

Key Dates