HII (HII) CEO Christopher Kastner awarded 86 dividend-linked Restricted Stock Rights
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Huntington Ingalls Industries Director, President & CEO Christopher D. Kastner reported an acquisition of 86.003 Restricted Stock Rights (RSRs) tied to company common stock. These RSRs represent dividend equivalent rights credited after payment of the company’s quarterly cash dividend.
Each RSR corresponds to a contingent right to receive an equivalent number of HII common shares or, at the compensation committee’s discretion, cash or a mix of cash and shares. Following this grant, Kastner holds a reported total of 18,637.924 RSRs directly, which continue to vest under the company’s 2022 Long-Term Incentive Stock Plan.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Kastner Christopher D
Role
Director, President & CEO
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Restricted Stock Rights | 86.003 | $0.00 | -- |
Holdings After Transaction:
Restricted Stock Rights — 18,637.924 shares (Direct, null)
Footnotes (1)
- Each Restricted Stock Right ("RSR") represents a contingent right to receive an equivalent number of shares of Company common stock, or, at the discretion of the Company's Compensation Committee, cash or a combination of cash and Company common stock. The RSRs were granted under the 2022 Long-Term Incentive Stock Plan ("LTISP") and vest ratably in three equal installments upon each of the first, second and third anniversaries of the grant date. The amount acquired represents dividend equivalent rights on the RSRs, which are credited following payment of the Company's quarterly cash dividend. Pursuant to the LTISP, the number of dividend equivalent rights acquired is calculated by dividing the aggregate amount of the dividend paid on the total number of RSRs held by the reporting person by the closing price of a share of Company common stock on the dividend payment date.
Key Figures
Restricted Stock Rights granted: 86.003 rights
Total Restricted Stock Rights after grant: 18,637.924 rights
Transaction price per right: $0.0000 per right
3 metrics
Restricted Stock Rights granted
86.003 rights
Dividend equivalent rights credited on RSRs
Total Restricted Stock Rights after grant
18,637.924 rights
Holdings following the reported transaction
Transaction price per right
$0.0000 per right
Non-cash grant/award acquisition
Key Terms
Restricted Stock Rights, dividend equivalent rights, 2022 Long-Term Incentive Stock Plan, quarterly cash dividend
4 terms
Restricted Stock Rights financial
"Each Restricted Stock Right ("RSR") represents a contingent right to receive an equivalent number of shares"
Restricted stock rights are ownership claims in company shares that come with limits on when or how they can be sold or transferred, often tied to time-based or performance conditions. For investors, these rights matter because they affect when insiders truly own or can monetize shares — influencing future share supply, executive incentives, and potential stock price pressure much like a savings account that only becomes withdrawable after meeting set conditions.
dividend equivalent rights financial
"The amount acquired represents dividend equivalent rights on the RSRs, which are credited following payment of the Company's quarterly cash dividend."
Dividend equivalent rights are promises that mirror the cash payments shareholders get from a company’s profits, but they are paid to holders of certain awards (like stock options or restricted stock units) rather than to actual shares. Think of them as a paycheck top‑up that matches dividends while the award is not yet a real stock, and they matter to investors because they add to employee compensation costs and potential share dilution, affecting company profitability and per‑share value.
2022 Long-Term Incentive Stock Plan financial
"The RSRs were granted under the 2022 Long-Term Incentive Stock Plan ("LTISP") and vest ratably in three equal installments"
quarterly cash dividend financial
"dividend equivalent rights on the RSRs, which are credited following payment of the Company's quarterly cash dividend."
A quarterly cash dividend is a payment made by a company to its shareholders four times a year, usually based on its profits. It is like a regular bonus or reward for owning the company's stock, providing shareholders with income. Many investors see these payments as a sign of the company's stability and its ability to generate consistent profits.
FAQ
What insider transaction did HII CEO Christopher Kastner report on this Form 4?
Christopher D. Kastner reported receiving 86.003 Restricted Stock Rights as a dividend-related award. These rights are additional derivative units linked to Huntington Ingalls Industries common stock, granted under the company’s long-term incentive plan rather than through an open-market stock purchase.
How many Restricted Stock Rights does HII’s CEO hold after this transaction?
After this transaction, Christopher D. Kastner holds 18,637.924 Restricted Stock Rights. These rights represent contingent claims on an equivalent number of HII common shares or cash, subject to the terms and vesting schedule of the company’s 2022 Long-Term Incentive Stock Plan.
What are Restricted Stock Rights in the context of HII (HII) compensation?
Restricted Stock Rights at HII are derivative awards that can settle in common stock, cash, or both. Each RSR represents a contingent right to receive an equivalent number of shares, generally vesting over time under the company’s 2022 Long-Term Incentive Stock Plan for executives.
Why did HII’s CEO receive 86.003 additional Restricted Stock Rights?
The 86.003 additional Restricted Stock Rights represent dividend equivalent rights credited after HII paid its quarterly cash dividend. The award size is calculated by dividing aggregate dividends on existing RSRs by the closing price of HII common stock on the dividend payment date.
Does this HII Form 4 reflect an open-market stock purchase or sale?
No, this Form 4 reflects a grant of dividend-related Restricted Stock Rights, not an open-market trade. The transaction code “A” indicates a grant or award acquisition, and the price per right is reported as 0.0000, consistent with non-cash equity compensation.