Director of Dorman Products (DORM) reports small 33-share tax withholding
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Dorman Products, Inc. director Kelly A. Romano reported a small, routine tax-related share disposition. On the vesting of restricted stock units, 33 shares of common stock were withheld by the company at $116.16 per share to satisfy tax withholding obligations, which is treated as a disposition under Section 16. After this withholding, Romano directly holds 10,828 shares of Dorman Products common stock.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Romano Kelly A
Role
null
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Tax Withholding | Common Stock | 33 | $116.16 | $4K |
Holdings After Transaction:
Common Stock — 10,828 shares (Direct, null)
Footnotes (1)
- [object Object]
Key Figures
Tax-withholding shares: 33 shares
Tax-withholding price: $116.16 per share
Shares held after transaction: 10,828 shares
+1 more
4 metrics
Tax-withholding shares
33 shares
Shares withheld on RSU vesting for tax obligations
Tax-withholding price
$116.16 per share
Value applied to withheld shares
Shares held after transaction
10,828 shares
Post-transaction direct ownership by Kelly A. Romano
Tax-withholding transactions
1 transaction
Form 4 transaction count classified as tax withholding
Key Terms
restricted stock units, tax withholding obligations, Section 16
3 terms
restricted stock units financial
"These shares were withheld by the Issuer upon the vesting of restricted stock units to satisfy the Reporting Person's tax withholding obligations."
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 obligations financial
"These shares were withheld by the Issuer upon the vesting of restricted stock units to satisfy the Reporting Person's tax withholding obligations."
Section 16 regulatory
"Such withholding is treated as a disposition of securities under Section 16 of the Securities Exchange Act of 1934, as amended."
Section 16 is a U.S. securities law rule that governs the trading and disclosure obligations of company insiders — typically officers, directors and large shareholders — to promote transparency and deter unfair profit-taking. It requires insiders to publicly report their stock trades and allows companies or the issuer to reclaim quick, short-term profits from certain insider trades, like a scoreboard and a refund policy that help investors see and limit possible insider advantage.
FAQ
What insider transaction did Dorman Products (DORM) director Kelly A. Romano report?
Kelly A. Romano reported a tax-related disposition of 33 Dorman Products shares. The company withheld the shares upon restricted stock unit vesting to cover tax obligations, a routine non-market event treated as a disposition under Section 16.
Was the Dorman Products (DORM) Form 4 transaction an open-market sale?
No, the Form 4 shows a tax-withholding disposition, not an open-market sale. Dorman Products withheld 33 shares when Romano’s restricted stock units vested to satisfy tax obligations, which is reported as a disposition under Section 16 rules.
Why is the Dorman Products (DORM) tax withholding reported as a disposition under Section 16?
Section 16 rules treat share withholding for taxes as a reportable disposition. When Dorman Products withheld 33 shares at restricted stock unit vesting to cover Romano’s tax obligations, that event had to be disclosed on Form 4 as a disposition transaction.