Enterprise Products (NYSE: EPD) co-CEO settles phantom units, withholds for tax
Rhea-AI Filing Summary
Enterprise Products Partners’ co-CEO AJ Teague reported multiple compensation-related transactions involving phantom units and common units on February 16, 2026. Several batches of phantom units were exercised and settled into common units, each phantom unit being the economic equivalent of one EPD common unit.
Some of the resulting common units were then withheld to cover tax obligations at a price of $36.75 per unit, coded as tax-withholding dispositions rather than open-market sales. After these transactions, Teague held 3,083,226 common units directly, along with additional indirect holdings through a trust, spouse, and minor children. Footnotes also describe remaining phantom units that vest annually beginning on February 16, 2026 and February 16, 2027, settling into an equal number of common units as they vest.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Buyer: 174,366 shares
Net Buy
16 txns
Insider
TEAGUE AJ
Role
CO-CHIEF EXECUTIVE OFFICER
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Phantom Units | 66,250 | $0.00 | $0.00 |
| Exercise | Phantom Units | 75,000 | $0.00 | $0.00 |
| Exercise | Phantom Units | 77,500 | $0.00 | $0.00 |
| Exercise | Phantom Units | 68,750 | $0.00 | $0.00 |
| Exercise | Common Units Representing Limited Partnership Interests | 66,250 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Units Representing Limited Partnership Interests | 26,070 | $36.75 | $958K |
| Exercise | Common Units Representing Limited Partnership Interests | 75,000 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Units Representing Limited Partnership Interests | 29,513 | $36.75 | $1.08M |
| Exercise | Common Units Representing Limited Partnership Interests | 77,500 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Units Representing Limited Partnership Interests | 30,497 | $36.75 | $1.12M |
| Exercise | Common Units Representing Limited Partnership Interests | 68,750 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Units Representing Limited Partnership Interests | 27,054 | $36.75 | $994K |
| holding | Phantom Units | -- | -- | -- |
| holding | Common Units Representing Limited Partnership Interests | -- | -- | -- |
| holding | Common Units Representing Limited Partnership Interests | -- | -- | -- |
| holding | Common Units Representing Limited Partnership Interests | -- | -- | -- |
Holdings After Transaction:
Phantom Units — 731,250 shares (Direct);
Common Units Representing Limited Partnership Interests — 3,083,226 shares (Direct);
Common Units Representing Limited Partnership Interests — 74,911 shares (Indirect, By Trust);
Common Units Representing Limited Partnership Interests — 41,155 shares (Indirect, By Spouse);
Common Units Representing Limited Partnership Interests — 6,060 shares (Indirect, By Minor Children)
Footnotes (7)
- F1. Each phantom unit is the economic equivalent of one EPD common unit.
- F2. These phantom units vested in one remaining annual installment on February 16, 2026. The remaining annual installment expired upon vesting and settlement thereof in exchange for an equal number of EPD common units.
- F3. These phantom units vest in two remaining equal annual installments beginning on February 16, 2026. Each remaining annual installment will expire upon vesting and settlement thereof in exchange for an equal number of EPD common units.
- F4. These phantom units vest in three remaining equal annual installments beginning on February 16, 2026. Each remaining annual installment will expire upon vesting and settlement thereof in exchange for an equal number of EPD common units.
- F5. These phantom units vest in four equal annual installments beginning on February 16, 2026. Each annual installment will expire upon vesting and settlement thereof in exchange for an equal number of EPD common units.
- F6. These phantom units vest in four equal annual installments beginning on February 16, 2027. Each annual installment will expire upon vesting and settlement thereof in exchange for an equal number of EPD common units.
- F7. The power of attorney under which this form was signed is on file with the Commission.
FAQ
What did EPD’s AJ Teague report in this Form 4 filing?
AJ Teague reported exercises of phantom units that settled into common units and related tax-withholding dispositions. These are compensation and tax events, not open-market trades, and adjust his reported ownership in Enterprise Products Partners common units.
How many Enterprise Products Partners units does AJ Teague hold directly after these transactions?
After the reported transactions, AJ Teague directly holds 3,083,226 common units of Enterprise Products Partners. This figure reflects multiple phantom unit settlements into common units and subsequent unit withholding to satisfy tax obligations associated with those equity awards.
Were any of AJ Teague’s EPD unit disposals open-market sales?
The filing shows disposals coded “F”, meaning units were withheld to pay taxes at $36.75 per unit. This code indicates tax-withholding dispositions, not open-market sales, so no elective selling into the market is reported here.
What are phantom units in the context of EPD’s compensation plans?
For Enterprise Products Partners, each phantom unit is the economic equivalent of one common unit. As phantom units vest, they are settled in an equal number of common units, and the phantom units then expire upon settlement according to the vesting footnotes.
What are the vesting terms for AJ Teague’s remaining phantom units at EPD?
Footnotes state certain phantom units vest in four equal annual installments beginning February 16, 2026, and another grant vests in four installments beginning February 16, 2027. Each installment converts into the same number of common units upon vesting.
Does AJ Teague have indirect ownership of EPD common units?
Yes. The Form 4 lists indirect holdings of common units held by a trust, by his spouse, and by minor children. These categories reflect different ownership types compared with the units he holds directly in his own name.
AI-generated analysis. How Rhea-AI works. Not financial advice.
