Genesis Energy (NYSE: GEL) director updates phantom unit awards and 150,000 common units
Rhea-AI Filing Summary
GENESIS ENERGY LP director Kenneth M. Jastrow II reported compensation-related unit activity involving phantom units and Common Units - Class A. He settled 2,570 phantom units, which were paid in cash and deemed an acquisition of 2,570 common units and a simultaneous disposition of those common units back to the issuer at $17.88 per unit, leaving his direct common unit holdings at 150,000 units.
Jastrow also received a new award of 2,536 phantom units, bringing his phantom unit balance to 10,664 units. These phantom units will be paid in cash based on the average closing price of the common units for the 20 trading days before vesting and carry tandem distribution equivalent rights that accrue and are paid quarterly over the vesting period.
Positive
- None.
Negative
- None.
Insider Trade Summary
2,570 shares exercised/converted
Exercise
4 txns
Insider
JASTROW KENNETH M II
Role
Director
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Phantom Units | 2,570 | $0.00 | $0.00 |
| Grant/Award | Phantom Units | 2,536 | $0.00 | $0.00 |
| Exercise | Common Units - Class A | 2,570 | $0.00 | $0.00 |
| Disposition | Common Units - Class A | 2,570 | $17.88 | $46K |
Holdings After Transaction:
Phantom Units — 18,792 shares (Direct);
Common Units - Class A — 150,000 shares (Direct)
Footnotes (4)
- F1. The payment of the phantom units in cash is deemed to be a disposition of the phantom units in exchange for the acquisition of the underlying Common Units - Class A and a simultaneous disposition of the underlying Common Units - Class A to the issuer.
- F2. Upon vesting, the phantom units were paid in cash based on the average closing price of the Common Units - Class A for the 20 trading days immediately prior to the date of vesting.
- F3. The phantom units will be paid in cash based on the average closing price of the Common Units - Class A for the 20 trading days immediately prior to the vesting date.
- F4. Award includes tandem distribution equivalent rights pursuant to which the quarterly distributions paid by the partnership on each Common Unit - Class A will be accrued over the vesting period and paid quarterly.
Key Figures
Phantom units settled: 2,570 phantom units
Disposition price: $17.88 per unit
New phantom unit grant: 2,536 phantom units
+3 more
6 metrics
Phantom units settled
2,570 phantom units
Paid in cash upon vesting and deemed converted into and disposed of as common units
Disposition price
$17.88 per unit
Price used for the deemed disposition of 2,570 Common Units - Class A to the issuer
New phantom unit grant
2,536 phantom units
New award to be paid in cash based on average closing price before vesting
Common units held
150,000 units
Direct Common Units - Class A holdings following the reported transactions
Phantom units outstanding
10,664 phantom units
Total phantom units held after vesting and new grant activity
Pricing basis window
20 trading days
Average closing price period used to determine cash paid for phantom units at vesting
Key Terms
Phantom Units, Common Units - Class A, distribution equivalent rights, disposition to issuer
4 terms
Phantom Units financial
"The payment of the phantom units in cash is deemed to be a disposition of the phantom units"
Phantom units are a form of employee compensation that mimics ownership in a company without issuing real shares: recipients receive cash or stock value tied to the company’s share price or performance when the units vest. They matter to investors because phantom units align employee incentives with shareholder value while avoiding share dilution; however, they create future cash obligations and can affect a company’s financial statements and cash flow.
Common Units - Class A financial
"in exchange for the acquisition of the underlying Common Units - Class A"
distribution equivalent rights financial
"Award includes tandem distribution equivalent rights pursuant to which the quarterly distributions paid by the partnership"
disposition to issuer financial
"transaction_code_description": "Disposition to issuer""
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What insider transactions did GEL director Kenneth Jastrow report on this Form 4?
Kenneth M. Jastrow II reported settling 2,570 phantom units for cash, deemed an acquisition and simultaneous disposition of 2,570 Common Units - Class A, and receiving a new grant of 2,536 phantom units tied to future cash payments and distributions.
Did Kenneth Jastrow change his GEL common unit holdings in this filing?
His direct Common Units - Class A holdings remained effectively unchanged at 150,000 units after a deemed acquisition and simultaneous disposition of 2,570 units to the issuer in connection with a cash-settled phantom unit vesting event.
How many phantom units does GEL director Kenneth Jastrow hold after these transactions?
Following the reported transactions, Kenneth M. Jastrow II holds 10,664 phantom units. This reflects the vesting and cash settlement of 2,570 phantom units and a new grant of 2,536 phantom units that will vest later and be paid in cash.
How are GEL phantom units paid out to Kenneth Jastrow under this plan?
The phantom units are paid in cash based on the average closing price of Common Units - Class A over the 20 trading days immediately before vesting, rather than delivering actual units, creating a cash-settled, equity-linked compensation arrangement for the director.
What are tandem distribution equivalent rights attached to GEL phantom units?
The award includes tandem distribution equivalent rights, meaning quarterly distributions paid on each Common Unit - Class A are accrued for the phantom units over the vesting period and paid quarterly, mirroring the partnership’s regular distributions on actual common units.