Form 4: Vulcan Materials CEO J. Thomas Hill Executes Stock Appreciation Rights and Sells Shares Under 10b5-1 Plan
SEC Form 4
Vulcan Materials CEO J. Thomas Hill exercised stock appreciation rights and sold shares of common stock on October 31, 2024, under a pre-arranged Rule 10b5-1 trading plan.
Summary
- On October 31, 2024, J. Thomas Hill, Chairman & CEO of Vulcan Materials Co., executed stock appreciation rights and sold shares of the company's common stock.
- The transactions were carried out under a Rule 10b5-1 trading plan adopted on March 14, 2024.
- Hill exercised stock appreciation rights for 30,800 shares at a price of $79.41.
- He then sold 10,962 shares at a weighted average price of $275.46, with prices ranging from $275.00 to $275.96.
- An additional 1,250 shares were sold at a weighted average price of $276.29, with prices ranging from $276.05 to $276.45.
- 18,588 shares were sold to cover tax-withholding purposes and the cost of the options at $276.23.
- Following these transactions, Hill directly owns 29,530.665 shares of common stock and indirectly owns 34,447.574 shares through a 401k.
- He also holds no derivative securities.
Sentiment
Score: 5
Explanation: The document reports routine transactions related to executive compensation and stock sales under a pre-arranged plan, indicating a neutral sentiment.
Industry Context
Executive stock transactions are a common occurrence in publicly traded companies, often governed by pre-arranged trading plans like Rule 10b5-1 to avoid accusations of insider trading. The exercise of stock appreciation rights and subsequent sale of shares is a typical form of executive compensation.
Comparison to Industry Standards
- Executive compensation packages often include stock options and stock appreciation rights to align management's interests with those of shareholders.
- Rule 10b5-1 trading plans are widely used by corporate insiders to manage their stock sales in a transparent and compliant manner.
- Companies like Martin Marietta Materials (MLM) and Cemex (CXM) also have executives who utilize similar strategies for managing their equity compensation.
Stakeholder Impact
- The transactions may have a minor impact on shareholders due to the increased supply of shares in the market.
- The exercise of stock appreciation rights and sale of shares is part of the executive's compensation, impacting their personal financial situation.
Key Dates
| Date | Description |
|---|---|
| 02/12/2016 | Stock-Only Stock Appreciation Rights vested in four equal annual installments beginning on this date. |
| 02/14/2023 | Date of Power of Attorney execution. |
| 03/14/2024 | Date the reporting person adopted a Rule 10b5-1 trading plan. |
| 10/31/2024 | Date of the reported transactions (exercise of stock appreciation rights and sale of shares). |
| 02/12/2025 | Expiration date of the Stock Appreciation Right. |
| 11/01/2024 | Date of signature of the report by Attorney-In-Fact. |
Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.