Form 4: Verizon Executive Reports Acquisition of Phantom Stock Units

Joseph J. Russo, EVP & President of Global Networks & Technology at Verizon, reported the acquisition of phantom stock units equivalent to 78.037 shares of common stock through a deferred compensation plan.

Summary

• On March 28, 2024, Joseph J. Russo, an executive at Verizon Communications Inc., reported acquiring 78.037 units of phantom stock.
• These phantom stock units are economically equivalent to shares of Verizon common stock and will be settled in cash upon certain events as per the deferred compensation plan.
• Following this transaction, Russo's holdings include 47,595.02 units of phantom stock, including those acquired through dividend reinvestment.
• The price of the phantom stock was $11.98.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing. The sentiment is neutral, reflecting standard executive compensation practices.

Positives

• The acquisition of phantom stock units by a high-ranking executive could be interpreted as a sign of confidence in the company's future performance.

Future Outlook

The phantom stock becomes payable upon events established by the reporting person in accordance with the deferred compensation plan.

Industry Context

Executive compensation in the form of phantom stock is a common practice in publicly traded companies, aligning executive interests with shareholder value by linking payouts to company performance.

Comparison to Industry Standards

• Many companies, including Verizon's competitors like AT&T and T-Mobile, use similar equity-based compensation plans for their executives.
• These plans often include stock options, restricted stock units (RSUs), and performance-based bonuses tied to specific financial or operational targets.
• The prevalence of these plans reflects a broader trend in corporate governance to incentivize executives to drive long-term value creation.

Stakeholder Impact

• The acquisition of phantom stock units by an executive can have a minor positive impact on shareholder sentiment, as it aligns executive interests with company performance.

Key Dates