Form 4: UL Solutions CEO Accrues RSU Dividend Rights

UL Solutions Inc. CEO Jennifer F. Scanlon reported the accrual of dividend equivalent rights on her restricted stock units.

Summary

• Jennifer F. Scanlon, President and CEO of UL Solutions Inc., reported transactions on December 8, 2025.
• These transactions involved the accrual of dividend equivalent rights on her restricted stock units (RSUs).
• Two separate accruals of 71 dividend equivalent rights each were reported.
• Following these transactions, Scanlon beneficially owns 42,761 and 42,726 derivative securities, which include RSUs and accrued dividend equivalent rights.
• The dividend equivalent rights vest proportionately with the underlying RSUs.
• One set of related RSUs vests in three equal installments on the first, second, and third anniversaries of May 1, 2024.
• Another set of related RSUs vests in three equal installments on the first, second, and third anniversaries of April 1, 2025.

Sentiment

Score: 6

Explanation: Neutral to slightly positive. This is a routine insider transaction reporting the accrual of equity compensation, which is a standard part of executive pay and aligns management interests with shareholders. It's not a direct stock purchase, but rather an accrual of rights.

Positives

• Accrual of dividend equivalent rights indicates ongoing equity participation and alignment of executive interests with shareholders.
• The vesting schedule for RSUs provides a long-term incentive for management performance.

Future Outlook

The vesting schedules for the Restricted Stock Units extend into future years, indicating a long-term incentive structure for the President and CEO.

Industry Context

This is a routine insider transaction filing, common for executives receiving equity compensation. It reflects standard corporate governance practices for aligning executive incentives with shareholder value over time.

Comparison to Industry Standards

• The use of Restricted Stock Units with dividend equivalent rights and multi-year vesting schedules is a common practice in executive compensation across various industries, including the business services and safety science sector where UL Solutions operates.
• This aligns with typical long-term incentive plans designed to retain key executives and link their compensation to company performance and shareholder returns.
• No specific comparable companies or projects are mentioned in this filing.

Stakeholder Impact

• Shareholders: The accrual of dividend equivalent rights on RSUs aligns the CEO's long-term interests with shareholder value creation.

Next Steps

• Continued vesting of Restricted Stock Units on the anniversaries of May 1, 2024, and April 1, 2025.
• Future Form 4 filings will report subsequent transactions or vesting events related to these equity awards.

Key Dates

Recommendation

This Form 4 filing details a routine accrual of dividend equivalent rights on restricted stock units as part of executive compensation. It does not indicate any significant change in the company's operational performance, financial health, or strategic direction that would warrant a change in investment recommendation. It primarily serves to disclose executive equity holdings and compensation structure, which is generally a neutral event for stock price movement.

Keywords

UL Solutions, ULS, Jennifer F. Scanlon, Form 4, Insider Transaction, Restricted Stock Units, RSU, Dividend Equivalent Rights, Executive Compensation, Equity Compensation