Form 4: Sonoco Products Co. CEO Awarded Dividend Equivalents on Restricted Stock Units

Sonoco Products Co. CEO R. Howard Coker received dividend equivalents on restricted stock units, which will be settled upon his retirement or termination of service.

Summary

• Sonoco Products Co. CEO, R. Howard Coker, was granted dividend equivalents on restricted stock units.
• These dividend equivalents are economically equivalent to shares of Sonoco Products Company common stock.
• The rights to these dividend equivalents were acquired quarterly and will be settled upon Mr. Coker's retirement or other termination of service.
• The transaction involved 678.6000 dividend equivalent units at a price of $51.46 per unit, totaling $15,173.10.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation practice, which is generally viewed neutrally to slightly positive as it aligns executive interests with shareholder value.

Industry Context

This type of compensation is common for executives in publicly traded companies, aligning their interests with those of shareholders.

Comparison to Industry Standards

• Many companies use restricted stock units and dividend equivalents as part of executive compensation packages.
• The value of the grant is relatively small compared to the overall compensation packages of CEOs at similar sized companies.
• Companies like International Paper and WestRock also use similar compensation methods for their executives.

Stakeholder Impact

• The grant of dividend equivalents aligns the CEO's interests with those of shareholders by linking a portion of his compensation to the company's performance and dividend payouts.

Key Dates

Keywords

dividend equivalents, restricted stock units, executive compensation, Sonoco Products Co., R. Howard Coker