Form 4: USA Compression Partners Director Acquires Restricted Units

Director William S. Waldheim acquired 4,494 restricted common units of USA Compression Partners, LP, which will vest over time.

Summary

• William S. Waldheim, a director of USA Compression Partners, LP, was granted 4,494 restricted common units.
• These units were awarded under the company's Long-Term Incentive Plan.
• The units will vest in two tranches: 60% on December 5, 2027, and 40% on December 5, 2029.
• Vesting is contingent upon Mr. Waldheim's continued service on the board or with an affiliate of USA Compression Partners, LP.
• The transaction occurred on January 2, 2025, and was reported on January 6, 2025.

Sentiment

Score: 7

Explanation: The document reflects a standard compensation practice, indicating a positive alignment of interests between the director and the company. There are no negative implications.

Positives

• The grant of restricted units aligns the director's interests with the long-term performance of the company.
• The vesting schedule encourages continued service and commitment from the director.

Risks

• The vesting of the units is contingent on continued service, which could be a risk if the director were to leave the company before the vesting dates.

Future Outlook

The document does not contain any specific forward-looking statements beyond the vesting schedule of the restricted units.

Management Comments

• The Reporting Person is a director of USA Compression GP, LLC, the general partner of the Issuer.
• The Issuer is managed by the directors and executive officers of the General Partner.

Industry Context

This type of equity compensation is common in the energy sector to align the interests of management and directors with the long-term performance of the company.

Comparison to Industry Standards

• Granting restricted stock units is a standard practice for compensating directors and executives in publicly traded partnerships like USA Compression Partners.
• Similar companies such as Energy Transfer and Enterprise Products Partners also use long-term incentive plans with vesting schedules to retain key personnel.
• The vesting schedule of 60% in 2027 and 40% in 2029 is a typical approach to encourage long-term commitment.

Stakeholder Impact

• The grant of restricted units aligns the director's interests with those of shareholders, encouraging long-term value creation.
• The vesting schedule may provide some reassurance to shareholders about the director's continued commitment to the company.

Key Dates

Keywords

restricted units, insider trading, director, USA Compression Partners, long-term incentive plan, vesting, equity compensation