Form 4: Sonoco Director Boosts Phantom Stock Holdings

Sonoco Products Co. Director Philippe Guillemot acquired 336.2 phantom stock units through a quarterly dividend on the company's deferred compensation plan.

Summary

• Philippe Guillemot, a Director of Sonoco Products Co. (SON), acquired 336.2 phantom stock units on December 10, 2025.
• The acquisition was a result of a quarterly dividend from the company's directors' deferred compensation plan.
• Each phantom stock unit is the economic equivalent of one share of Sonoco Products Company common stock.
• These units will be settled upon Mr. Guillemot's retirement or other termination of service.
• The acquisition price per unit was $41.93.
• Following this transaction, Mr. Guillemot beneficially owns a total of 26,938.3 phantom stock units.

Sentiment

Score: 7

Explanation: The acquisition of phantom stock units by a director, even through a deferred compensation plan, generally indicates continued alignment of interests with the company's long-term performance and shareholder value. It's a positive signal of commitment, though not a discretionary market purchase.

Positives

• Director Philippe Guillemot increased his beneficial ownership of Sonoco Products Co. phantom stock units by 336.2 units.
• The acquisition was part of a quarterly dividend from the directors' deferred compensation plan, indicating a structured long-term incentive and continued alignment of interests.

Future Outlook

The acquired phantom stock units will be settled upon the reporting person's retirement or other termination of service, aligning long-term incentives with company performance.

Management Comments

• Each share of phantom stock is the economic equivalent of one share of Sonoco Products Company common stock.
• Acquired on quarterly dividend on Sonoco Products Company's directors' deferred compensation plan and will be settled upon the reporting person's retirement or other termination of service.

Industry Context

This transaction represents a routine acquisition of phantom stock units through a director's deferred compensation plan, a common practice in corporate governance to align director interests with long-term shareholder value. It does not indicate a discretionary market purchase or sale.

Comparison to Industry Standards

• The use of phantom stock units in a deferred compensation plan is a standard practice among publicly traded companies, including peers in the packaging and industrial products sector like WestRock Company (WRK) or Packaging Corporation of America (PKG), to provide long-term incentives and retain key directors without immediate equity dilution.
• The structure, where units are settled upon retirement, is typical for such plans, ensuring a long-term commitment from the director.

Corporate Governance

Stakeholder Impact

• Shareholders: Indicates continued alignment of director interests with long-term company performance.

Next Steps

• The acquired phantom stock units will be settled upon the reporting person's retirement or other termination of service.

Key Dates

Recommendation

This Form 4 reports a routine, non-discretionary acquisition of phantom stock units by a director as part of a deferred compensation plan. While it shows continued alignment of interests, it does not represent a new investment decision or significant change in company fundamentals that would warrant a 'buy' or 'sell' recommendation. The transaction is expected and does not provide new information to alter an existing investment thesis.

Keywords

Sonoco Products, SON, Philippe Guillemot, Director, Phantom Stock, Insider Transaction, SEC Form 4, Deferred Compensation