Form 4: CEO Stivala's Future SPH Unit Transactions Detailed

Suburban Propane Partners LP's President and CEO, Michael A. Stivala, filed a Form 4 detailing planned acquisitions and dispositions of common and phantom units in November 2025.

Summary

• Michael A. Stivala, President & CEO of Suburban Propane Partners LP, reported planned transactions involving common and phantom units under a Rule 10b5-1 plan.
• On November 14, 2025, Stivala is scheduled to dispose of 22,442 common units at $18.83 to cover tax liabilities related to the vesting of previously granted restricted units.
• Also on November 14, 2025, 13,791 phantom units are set to convert into 13,791 common units, followed by a disposition of these 13,791 common units at $18.83.
• On November 15, 2025, Stivala is scheduled to acquire 48,224 common units at a price of $0.0000, indicating a grant or award.
• Additionally, on November 15, 2025, Stivala is scheduled to acquire 16,075 phantom units at a price of $0.0000.
• Following these planned transactions, Stivala's direct beneficial ownership of common units will be 336,981, and phantom units will be 31,290.
• Phantom units vest one-third annually on each of the first three anniversaries of the grant date, subject to continuous employment, and convert to cash based on the average of the highest and lowest trading prices of the Issuer's Common Units on the vesting date.

Sentiment

Score: 6

Explanation: The filing indicates routine insider transactions, including both dispositions for tax and significant new grants of common and phantom units, suggesting ongoing executive compensation and alignment with company performance. The net effect is an increase in beneficial ownership of common units, which is generally positive.

Positives

• Planned acquisition of 48,224 common units at $0.0000, indicating a significant grant or award, which will increase direct beneficial ownership.
• Planned acquisition of 16,075 phantom units at $0.0000, increasing potential future equity or cash compensation.
• The overall net effect of the planned transactions is an increase in Michael A. Stivala's direct beneficial ownership of common units from 288,757 (after initial tax disposition) to 336,981.

Negatives

• Planned disposition of 22,442 common units at $18.83 to cover tax liabilities, which reduces direct ownership.
• Planned disposition of 13,791 common units at $18.83, potentially related to the conversion of phantom units, also reducing direct ownership.

Risks

• Market price fluctuations could impact the value of common units disposed for tax liability.
• The cash value received from vesting phantom units is subject to the trading prices of common units on the vesting date, introducing market price risk.

Future Outlook

The filing details planned equity transactions for Michael A. Stivala in November 2025, including the vesting schedule for phantom units which convert to cash over three years, subject to continuous employment. These transactions are likely part of a pre-arranged Rule 10b5-1 trading plan.

Industry Context

This Form 4 filing reflects routine insider equity compensation and tax-related transactions for a senior executive at a publicly traded energy company. Such filings are common across industries and provide transparency into executive stock ownership and compensation structures, aligning management interests with shareholders.

Stakeholder Impact

• Shareholders: Provides transparency into executive stock ownership and compensation, potentially signaling management's confidence through new grants and routine tax planning through dispositions.
• Employees: Reflects the company's executive compensation practices, which can influence broader compensation strategies and morale.

Next Steps

• The planned transactions are scheduled to occur on November 14, 2025, and November 15, 2025.
• Phantom units will vest one-third on each of the first three anniversaries of their grant date, converting to cash upon vesting.

Key Dates

Recommendation

This Form 4 details planned insider transactions, including both dispositions for tax purposes and significant new equity grants. While the grants increase the CEO's beneficial ownership, the transactions are routine for executive compensation and tax planning, likely under a 10b5-1 plan. They do not present new fundamental information about the company's operational performance or strategic direction that would warrant a change in investment thesis. Therefore, a 'hold' recommendation is appropriate, maintaining current positions while awaiting more substantive corporate news.

Keywords

Suburban Propane Partners LP, SPH, Form 4, Insider Trading, Michael A. Stivala, Common Units, Phantom Units, Equity Compensation, Stock Grant, Tax Withholding, Rule 10b5-1