[Form 4] HUNTINGTON INGALLS INDUSTRIES, INC. Insider Trading Activity
Rhea-AI Filing Summary
Huntington Ingalls Industries director Victoria D. Harker received dividend-equivalent shares under the companys long-term incentive plans. The Form 4 reports an acquisition of 37.745 director stock units (SUAs) credited as dividend equivalents at $0 per unit, which increases her reported beneficial ownership of company common stock to 7,718.335 shares (direct). The filing explains SUAs convert to one share each and are generally payable after a director ceases board service; the number credited is computed by dividing aggregate dividends on SUAs by the closing stock price on the dividend payment date. No cash purchase or exercise price was paid in this transaction.
Positive
- Dividend-equivalent SUAs credited increased the reporting persons direct share position without cash outlay
- Clear disclosure of LTISP mechanics explaining how SUAs are calculated and when they become payable
Negative
- None.
Insights
TL;DR: Director received dividend-equivalent SUAs, modestly increasing direct holdings with no cash outlay.
The reported credit of 37.745 SUAs represents non-cash compensation tied to the companys quarterly dividend policy under its LTISPs. This increases the directors direct beneficial position to 7,718.335 shares, which is a small, routine adjustment rather than a material change to ownership stakes. The transaction carries no immediate cash impact for the reporting person and reflects standard director compensation mechanics.
TL;DR: Transaction is a standard, plan-driven grant of dividend equivalents to a non-employee director.
The entry documents the automatic crediting of dividend equivalents to director stock units under the 2012 and 2022 LTISPs. Such credits are procedural and align directors economic exposure with shareholders via dividend-linked units that convert to shares after service ends. The disclosure is consistent with typical governance practices and provides transparency on director compensation mechanics.