Form 4: UFP Industries Executive Scott A. Worthington Acquires Phantom Stock Units

Scott A. Worthington, President of UFP Packaging, LLC, acquired 10 phantom stock units under the company's Deferred Compensation Plan.

Summary

• Scott A. Worthington, President of UFP Packaging, LLC, has reported a transaction involving the acquisition of 10 phantom stock units.
• These units were accrued under UFP Industries' Deferred Compensation Plan.
• The phantom stock units are payable in shares of the company's common stock upon the reporting person's death, disability, or retirement.
• The transaction occurred on November 29, 2024, and the reporting person now holds 16,140 shares including those acquired through dividend reinvestment.

Sentiment

Score: 7

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

Positives

• The acquisition of phantom stock units aligns executive compensation with long-term company performance.
• The deferred compensation plan encourages long-term commitment from the executive.

Future Outlook

The phantom stock units will be converted to common stock upon the reporting person's death, disability, or retirement.

Industry Context

This is a standard transaction for executive compensation within publicly traded companies, aligning executive interests with shareholder value through equity-based incentives.

Comparison to Industry Standards

• Many publicly traded companies use deferred compensation plans and phantom stock units as part of their executive compensation packages.
• These plans are designed to retain key executives and align their interests with the long-term performance of the company.
• Companies like West Fraser Timber Co. Ltd. and Louisiana-Pacific Corporation also use similar equity-based compensation methods for their executives.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns executive compensation with long-term company performance.
• The transaction has no direct impact on employees, customers, suppliers, or creditors.

Key Dates

Keywords

UFP Industries, Scott A. Worthington, Phantom Stock Units, Deferred Compensation Plan, Executive Compensation, Stock Ownership, SEC Form 4