Form 4: Verizon Executive Acquires Phantom Stock Units Through Deferred Compensation Plan

A Verizon executive, Sowmyanarayan Sampath, acquired phantom stock units equivalent to 162.786 shares of common stock through a deferred compensation plan.

Summary

• Sowmyanarayan Sampath, an Executive Vice President and Group CEO at Verizon, acquired 162.786 units of phantom stock.
• The phantom stock was acquired through a deferred compensation plan.
• Each unit of phantom stock is equivalent to a portion of one share of common stock and will be settled in cash.
• The phantom stock becomes payable upon events established by the reporting person in accordance with the deferred compensation plan.
• The transaction occurred on November 21, 2024.
• Following the transaction, Mr. Sampath beneficially owns 112,712.897 units of phantom stock through the deferred compensation plan, which includes phantom stock acquired through dividend reinvestment.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation transaction, which is generally neutral to positive. It indicates alignment of executive interests with company performance.

Positives

• The acquisition of phantom stock through a deferred compensation plan aligns executive interests with the long-term performance of the company.
• The deferred compensation plan allows for tax-advantaged savings and investment.

Future Outlook

The phantom stock units will be settled in cash upon events established by the reporting person in accordance with the deferred compensation plan.

Industry Context

Executive compensation through phantom stock and deferred compensation plans is a common practice in large public companies like Verizon to align management interests with shareholder value.

Comparison to Industry Standards

• Many large telecommunications companies use similar deferred compensation and phantom stock plans for their executives.
• Companies like AT&T and T-Mobile also utilize stock-based compensation to incentivize their leadership teams.
• The specific terms and conditions of these plans can vary, but the general structure is consistent with industry norms.

Stakeholder Impact

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

Key Dates

Keywords

phantom stock, deferred compensation, executive compensation, Verizon, Sowmyanarayan Sampath, stock units, insider trading