Form 4: Sonoco Director Pamela Davies Reports Phantom Stock Unit Acquisition

Director Pamela Davies reports acquisition of phantom stock units under Sonoco's deferred compensation plan.

Summary

• Pamela Lewis Davies, a director of Sonoco Products Co, reported acquiring phantom stock units on October 1, 2024.
• The transaction involved the accrual of 667.3 phantom stock units under the Sonoco Products Company directors deferred compensation plan.
• Each phantom stock unit is equivalent to one share of Sonoco Products Company common stock.
• The price per share was $54.32.
• These units will be settled in Sonoco Products Company common stock 6 months after Davies' retirement.
• Following the reported transaction, Davies beneficially owns 59,469.9 phantom stock units.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing related to director compensation, indicating a neutral sentiment. The acquisition of phantom stock units can be seen as a positive sign of alignment between management and shareholders, but it's not a major event.

Positives

• The acquisition of phantom stock units by a director signals confidence in the company's future performance.

Future Outlook

The phantom stock units will be settled in Sonoco Products Company common stock 6 months after the reporting person's retirement.

Industry Context

Director compensation in the form of stock and phantom stock units is a common practice to align the interests of company leadership with those of shareholders.

Comparison to Industry Standards

• Stock-based compensation for directors is a standard practice across publicly traded companies.
• The specific amount and vesting schedule vary depending on the company's size, industry, and compensation philosophy.
• Comparing Sonoco's director compensation plan to those of peers like Packaging Corporation of America or WestRock would provide a benchmark for assessing its competitiveness.

Stakeholder Impact

• The acquisition of phantom stock units aligns the director's interests with those of shareholders.

Key Dates