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PC Connection (NASDAQ: CNXN) CEO exercises 10,000 RSUs, 3,935 shares withheld for taxes

Filing Impact
(Neutral)
Filing Sentiment
(Neutral)
Form Type
4

Rhea-AI Filing Summary

PC Connection, Inc. President & CEO Timothy J. McGrath exercised restricted stock units that converted into 10,000 shares of common stock on a one-for-one basis. These units were part of an award granted in February 2018 that vested in tranches through April 2027.

Of the newly acquired shares, 3,935 shares were withheld at $59.98 per share to cover tax obligations, a non-market transaction classified as a tax-withholding disposition. After these actions, McGrath directly holds 290,343 shares of PC Connection common stock, reflecting a routine compensation-related vesting and exercise event rather than an open-market trade.

Positive

  • None.

Negative

  • None.
Insider MCGRATH TIMOTHY J
Role President & CEO
Type Security Shares Price Value
Exercise Restricted Stock Units 10,000 $0.00 --
Exercise Common Stock 10,000 $0.00 --
Tax Withholding Common Stock 3,935 $59.98 $236K
Holdings After Transaction: Restricted Stock Units — 10,000 shares (Direct); Common Stock — 294,278 shares (Direct)
Footnotes (1)
  1. The restricted stock units convert into common stock on a one-for-one basis. The restricted stock units were granted under the PC Connection, Inc. Amended and Restated 2007 Stock Incentive Plan on February 13, 2018. 10,000 of the shares vested on April 1, 2026, and the remaining shares are scheduled to vest on April 1, 2027.
RSUs exercised 10,000 shares Restricted stock units converted into common stock on April 1, 2026
Tax withholding shares 3,935 shares Shares withheld to cover tax at $59.98 per share
Tax withholding price $59.98 per share Value used for tax-withholding disposition of 3,935 shares
Shares held after transactions 290,343 shares Common stock directly owned by CEO after April 1, 2026 transactions
Exercise shares per transaction summary 10,000 shares Total derivative exercise shares reported in transactionSummary
Restricted Stock Units financial
"The restricted stock units convert into common stock on a one-for-one basis."
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
tax-withholding disposition financial
"Payment of exercise price or tax liability by delivering securities"
A tax-withholding disposition is an event or transaction—such as selling or transferring securities, exercising options, or receiving compensation—that triggers a requirement to hold back part of the payment and remit it to tax authorities. It matters to investors because it reduces the cash they receive immediately and can change the timing and amount of taxable income, like a cashier taking a portion of your sale proceeds to pay taxes before you get the rest.
Amended and Restated 2007 Stock Incentive Plan financial
"The restricted stock units were granted under the PC Connection, Inc. Amended and Restated 2007 Stock Incentive Plan"
SEC Form 4
FORM 4UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940
OMB APPROVAL
OMB Number:3235-0287
Estimated average burden
hours per response:0.5
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.
1. Name and Address of Reporting Person*
MCGRATH TIMOTHY J

(Last)(First)(Middle)
730 MILFORD ROAD

(Street)
MERRIMACK NEW HAMPSHIRE 03054

(City)(State)(Zip)

UNITED STATES

(Country)
2. Issuer Name and Ticker or Trading Symbol
PC CONNECTION INC [ CNXN ]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
Director10% Owner
XOfficer (give title below)Other (specify below)
President & CEO
2a. Foreign Trading Symbol
3. Date of Earliest Transaction (Month/Day/Year)
04/01/2026
6. Individual or Joint/Group Filing (Check Applicable Line)
XForm filed by One Reporting Person
Form filed by More than One Reporting Person
4. If Amendment, Date of Original Filed (Month/Day/Year)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year)2A. Deemed Execution Date, if any (Month/Day/Year)3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4)
CodeVAmount(A) or (D)Price
Common Stock04/01/2026M10,000A$0.00(1)294,278D
Common Stock04/01/2026F3,935D$59.98290,343D
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year)3A. Deemed Execution Date, if any (Month/Day/Year)4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 6. Date Exercisable and Expiration Date (Month/Day/Year)7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4)
CodeV(A)(D)Date ExercisableExpiration DateTitleAmount or Number of Shares
Restricted Stock Units(1)04/01/2026M10,000 (2) (2)Common Stock10,000$0.0010,000D
Explanation of Responses:
1. The restricted stock units convert into common stock on a one-for-one basis.
2. The restricted stock units were granted under the PC Connection, Inc. Amended and Restated 2007 Stock Incentive Plan on February 13, 2018. 10,000 of the shares vested on April 1, 2026, and the remaining shares are scheduled to vest on April 1, 2027.
Remarks:
/s/Timothy J. McGrath04/02/2026
** Signature of Reporting PersonDate
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.
* Form 4: SEC 1474 (03-26)

FAQ

What did PC Connection (CNXN) CEO Timothy McGrath report in this Form 4?

Timothy McGrath reported exercising restricted stock units that converted into 10,000 common shares. The award was part of long-term equity compensation, with shares vesting over multiple years under PC Connection’s Amended and Restated 2007 Stock Incentive Plan.

How many PC Connection (CNXN) shares did the CEO receive and retain?

The CEO acquired 10,000 common shares through RSU conversion and, after tax withholding, directly held 290,343 common shares. This reflects his post-transaction ownership position as reported in the filing for April 1, 2026.

Were any of the PC Connection (CNXN) CEO’s shares sold on the open market?

No open-market sale is reported. Instead, 3,935 shares were withheld at $59.98 per share to satisfy tax obligations. This tax-withholding disposition is a standard, non-market mechanism tied to equity compensation vesting.

What are the terms of the PC Connection (CNXN) restricted stock units involved?

The restricted stock units convert into common stock on a one-for-one basis. They were granted on February 13, 2018 under the company’s Amended and Restated 2007 Stock Incentive Plan, with tranches vesting on April 1, 2026 and April 1, 2027.

Does this PC Connection (CNXN) Form 4 indicate a trading decision by the CEO?

The filing reflects a derivative exercise and tax withholding, not an open-market trade. It documents routine vesting of long-term equity awards rather than discretionary buying or selling of PC Connection shares in the market.