Form 4: Sonoco Products Director Accrues Additional Phantom Stock Units

Sentiment:

Insider Transaction Report


Pamela Lewis Davies, a Director at Sonoco Products Co, accrued 792.5 phantom stock units valued at $45.74 per unit under the company's deferred compensation plan.

Summary

  • Pamela Lewis Davies, a Director of Sonoco Products Co (SON), reported a transaction on July 1, 2025.
  • The transaction involved the acquisition of 792.5 phantom stock units.
  • Each phantom stock unit is economically equivalent to one share of Sonoco Products Company common stock.
  • The phantom stock units were accrued under the Sonoco Products Company directors deferred compensation plan.
  • These units are to be settled in Sonoco Products Company common stock six months after the reporting person's retirement.
  • Following this transaction, Pamela Lewis Davies beneficially owns 63,760.9 phantom stock units directly.
  • The price of the phantom stock units at the time of accrual was $45.74 per unit.

Sentiment

Score: 5

Explanation: The document reports a routine accrual of phantom stock units under a deferred compensation plan, which is a neutral event in terms of company performance or outlook.

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.
  • Each phantom stock unit is the economic equivalent of one share of Sonoco Products Company common stock.

Industry Context

This Form 4 filing represents a routine insider transaction related to director compensation, common across publicly traded companies that offer deferred compensation plans to their board members.

Corporate Governance

Change TypeDescriptionEffective DateImpact Assessment
Compensation Plan UtilizationThe accrual of phantom stock units occurred under the existing Sonoco Products Company directors deferred compensation plan, indicating the ongoing operation of this governance-related compensation structure.07/01/2025Reinforces the company's established director compensation framework, aligning director interests with long-term shareholder value through equity-linked deferred compensation.

Related Party Transactions

  • The accrual of phantom stock units by a director under the company's deferred compensation plan constitutes a related party transaction, as it involves compensation provided by the company to a member of its board.

Stakeholder Impact

  • Shareholders: The accrual of phantom stock units represents a component of director compensation, which is a standard operating expense. Future settlement in common stock could lead to minor dilution.
  • Directors: Pamela Lewis Davies's compensation package is enhanced through this accrual, aligning her long-term interests with the company's performance.

Next Steps

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

Key Dates

DateDescription
07/01/2025Date of earliest transaction, involving the accrual of phantom stock units.
07/03/2025Date the Form 4 was signed by the reporting person's Power of Attorney.

Keywords

Sonoco Products, SON, Form 4, insider transaction, phantom stock units, deferred compensation, director compensation, corporate governance

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