Form 4: Sonoco Director Blythe J. McGarvie Accrues Additional Phantom Stock Units

Blythe J. McGarvie, a Director at Sonoco Products Co, has accrued 792.5 phantom stock units valued at $45.74 per unit as part of the company's directors deferred compensation plan.

Summary

• Blythe J. McGarvie, a Director of Sonoco Products Co (SON), acquired 792.5 phantom stock units on July 1, 2025.
• Each phantom stock unit is economically equivalent to one share of Sonoco Products Company common stock.
• The units were accrued under the Sonoco Products Company directors deferred compensation plan.
• The phantom stock units are to be settled in Sonoco Products Company common stock six months after Ms. McGarvie's retirement.
• The price of the derivative security (phantom stock unit) was $45.74.
• Following this transaction, Ms. McGarvie beneficially owns 30,184.6 phantom stock units directly.

Sentiment

Score: 6

Explanation: The document reflects a routine, positive event of a director increasing their beneficial ownership through a compensation plan, indicating continued alignment with company performance. It is not a major market-moving event but is a standard positive for corporate governance.

Positives

• The accrual of phantom stock units increases Director Blythe J. McGarvie's beneficial ownership in Sonoco Products Co, further aligning her interests with those of shareholders.
• The transaction is part of a structured directors' deferred compensation plan, indicating a standard and transparent approach to executive remuneration.

Future Outlook

The accrued phantom stock units are scheduled to be settled in Sonoco Products Company common stock six months after the reporting person's retirement.

Management Comments

• The phantom stock units were accrued under the Sonoco Products Company directors deferred compensation plan.
• Units are to be settled in Sonoco Products Company common stock 6 months after the reporting person's retirement.

Industry Context

The accrual of phantom stock units as part of a deferred compensation plan is a common practice for compensating non-employee directors in publicly traded companies, aligning their long-term interests with company performance and shareholder value.

Comparison to Industry Standards

• Director deferred compensation plans, such as Sonoco's, are a standard component of corporate governance and executive remuneration across various industries, including packaging and manufacturing.
• Companies like WestRock, Packaging Corporation of America, and International Paper also utilize similar long-term incentive and deferred compensation structures for their directors to encourage retention and align interests.

Corporate Governance

Related Party Transactions

• The transaction involves the accrual of phantom stock units by a director (Blythe J. McGarvie) from the company (Sonoco Products Co) as part of a deferred compensation plan, which constitutes a related party transaction.

Stakeholder Impact

• Shareholders: The transaction increases the director's beneficial ownership, potentially enhancing alignment of interests between the director and shareholders over the long term.
• Employees: No direct impact on employees is indicated by this specific filing.

Next Steps

• Settlement of the phantom stock units into Sonoco Products Company common stock six months after the reporting person's retirement.

Key Dates

Keywords

Sonoco Products Co, SON, Blythe J. McGarvie, Director, Phantom Stock Units, Deferred Compensation Plan, SEC Form 4, Insider Transaction, Executive Compensation, Corporate Governance