Form 4: Woodward Inc. Director Mary D. Petryszyn Increases Holdings in Phantom Stock

Director Mary D. Petryszyn increased her holdings in Woodward Inc. phantom stock units through deferred director retainer fees.

Summary

• On October 8, 2024, Mary D. Petryszyn, a director of Woodward, Inc., acquired 159.8 units of phantom stock.
• This acquisition was made through the investment of deferred director retainer fees under the Woodward Executive Benefit Plan.
• The phantom stock units are to be settled in common stock on a one-for-one basis at a specified distribution date or upon separation from the Issuer.
• The price of the phantom stock at the time of acquisition was $161.13 per unit.
• Following the transaction, Ms. Petryszyn directly owns 648 derivative securities.

Sentiment

Score: 6

Explanation: The document reflects a routine transaction related to director compensation. It is neither overtly positive nor negative, but indicates continued alignment of the director's interests with the company's performance.

Positives

• The director's increased investment in phantom stock may signal confidence in the company's future performance.

Future Outlook

The phantom stock units will be settled in 100% common stock on a one-for-one basis at the distribution date specified at the time of election, or if earlier, upon separation from the Issuer.

Industry Context

Directors often use deferred compensation plans to align their interests with the long-term performance of the company. Phantom stock units are a common component of such plans.

Comparison to Industry Standards

• Deferred compensation plans, including phantom stock arrangements, are widely used among publicly traded companies to incentivize and retain key executives and directors.
• The specifics of Woodward's Executive Benefit Plan, such as the distribution date and settlement terms, would need to be compared to similar plans at peer companies to assess its competitiveness.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the director's interests with the company's long-term performance.

Key Dates