ADM (NYSE: ADM) director gains 33.748 dividend-equivalent stock units in board plan
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Archer-Daniels-Midland Co director David R. McAtee II reported an acquisition of 33.748 stock units under the company’s nonemployee director plan. These stock units were credited as dividend equivalents and are convertible into common stock on a 1-for-1 basis.
Following this award, McAtee holds a total of 5,312.466 stock units directly. The units are scheduled to be settled in connection with board service or within a specified time period under the terms of Archer-Daniels-Midland’s Stock Unit Plan for Nonemployee Directors.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
McAtee David R II
Role
null
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Stock Units | 33.748 | $0.00 | -- |
Holdings After Transaction:
Stock Units — 5,312.466 shares (Direct, null)
Footnotes (1)
- Represents stock units credited under the dividend equivalent reinvestment provision of the Archer-Daniels-Midland Company Stock Unit Plan for Nonemployee Directors. Conversion or exercise price of Derivative Security is 1-for-1. The earlier of the date five years after the end of the calendar year that includes the calendar quarter for which any stock unit is awarded to the participant, or in which such stock unit is credited to the participant as a dividend equivalent, or the date the participant ceases to be a member of the Board of Directors, in each case as may be extended pursuant to the terms of the Archer-Daniels-Midland Company's Stock Unit Plan for Nonemployee Directors.
Key Figures
Stock units granted: 33.748 units
Stock units after transaction: 5,312.466 units
Conversion ratio: 1-for-1
3 metrics
Stock units granted
33.748 units
Dividend-equivalent credit on stock units for nonemployee director
Stock units after transaction
5,312.466 units
Total stock unit holdings following award
Conversion ratio
1-for-1
Each stock unit converts into one share of common stock
Key Terms
Stock Unit Plan for Nonemployee Directors, dividend equivalent reinvestment provision, stock units, Derivative Security
4 terms
Stock Unit Plan for Nonemployee Directors financial
"under the dividend equivalent reinvestment provision of the Archer-Daniels-Midland Company Stock Unit Plan for Nonemployee Directors"
dividend equivalent reinvestment provision financial
"Represents stock units credited under the dividend equivalent reinvestment provision of the Archer-Daniels-Midland Company Stock Unit Plan"
stock units financial
"Represents stock units credited under the dividend equivalent reinvestment provision"
Stock units are individual pieces of ownership in a company, like slices of a pie that together make up the whole business. They matter to investors because each unit represents a claim on the company’s assets, profits and sometimes voting power, and changes in the number or value of these units affect ownership percentages, potential dividends and share dilution — all of which influence an investment’s worth.
Derivative Security financial
"Conversion or exercise price of Derivative Security is 1-for-1"
A derivative security is a financial contract whose value comes from the price or performance of something else, such as a stock, bond, commodity, or market index. For investors it acts like an insurance policy or a wager: it can be used to protect against losses, lock in prices, or amplify gains and losses, so it can change a portfolio’s risk and potential return without owning the underlying asset directly.
FAQ
What insider transaction did ADM director David R. McAtee II report?
ADM director David R. McAtee II reported receiving 33.748 stock units. These units were credited as dividend equivalents under Archer-Daniels-Midland’s Stock Unit Plan for Nonemployee Directors and are convertible into common stock on a one-for-one basis in the future.
How many ADM stock units does David R. McAtee II hold after this Form 4?
After this transaction, David R. McAtee II holds 5,312.466 stock units. These represent deferred equity compensation credited under Archer-Daniels-Midland’s Stock Unit Plan for Nonemployee Directors and are linked one-for-one to shares of ADM common stock.
What is the nature of the ADM stock units granted to David R. McAtee II?
The reported ADM stock units are derivative securities representing deferred stock-based compensation. They were credited as dividend equivalents under the Stock Unit Plan for Nonemployee Directors and convert into ADM common shares on a one-for-one basis according to plan terms.
Was the ADM Form 4 transaction by David R. McAtee II a market purchase or sale?
The transaction was not a market trade. It reflects a grant or award acquisition of 33.748 stock units as dividend equivalents under Archer-Daniels-Midland’s nonemployee director stock unit plan, with no open-market buying or selling involved.
How do the dividend-equivalent stock units work for ADM nonemployee directors?
Dividend-equivalent stock units credit additional units when ADM pays dividends. For nonemployee directors, these units accumulate under the Stock Unit Plan and later convert one-for-one into ADM common stock, generally after board service or specified deferral periods.