ServiceNow (NYSE: NOW) accounting chief vests 485 RSUs
Rhea-AI Filing Summary
ServiceNow, Inc. (NOW) reported that Principal Accounting Officer Danielle Fontaine had 485 Restricted Stock Units vest on August 17, 2026, each converting into one share of common stock. Of the resulting shares, 168 were withheld by the issuer at $117.70 per share to cover federal and state tax withholding obligations, in accordance with Rule 16b-3. After this vesting event, Fontaine holds 975 Restricted Stock Units directly, which continue to vest in 16 equal quarterly installments that began on May 17, 2023, subject to continued service.
Positive
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Negative
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Insider Trade Summary
Net Buyer: 317 shares
Net Buy
3 txns
Insider
Fontaine Danielle
Role
Principal Accounting Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units F2, F3 | 485 | $0.00 | $0.00 |
| Exercise | Common Stock | 485 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F1 | 168 | $117.70 | $20K |
Holdings After Transaction:
Restricted Stock Units — 975 shares (Direct);
Common Stock — 10,887 shares (Direct)
Footnotes (3)
- F1. Represents shares relinquished by the Reporting Person in exchange for the Issuer's payment of federal and state tax withholding obligations of the Reporting Person resulting from the vesting of RSUs, in accordance with Rule 16b-3.
- F2. Each restricted stock unit represents a contingent right to receive one share of Issuer's common stock.
- F3. The restricted stock units vest in 16 equal quarterly installments, with the first vesting having occurred on May 17, 2023, and subject to the Reporting Person's continued service to the Issuer on each vesting date.
Key Figures
RSUs vested and converted: 485 shares
Shares withheld for taxes: 168 shares
Tax withholding price: $117.70 per share
+3 more
6 metrics
RSUs vested and converted
485 shares
Restricted Stock Units converting into common stock on August 17, 2026
Shares withheld for taxes
168 shares
Common shares relinquished to satisfy tax withholding from RSU vesting
Tax withholding price
$117.70 per share
Value applied to shares withheld for tax liability (code F transaction)
RSUs remaining after transaction
975 units
Restricted Stock Units directly held following the August 17, 2026 vesting event
RSU vesting installments
16 quarterly installments
Equal quarterly vesting schedule for the RSU award
First vesting date
May 17, 2023
Initial vesting date for the 16-installment RSU schedule
Key Terms
Restricted Stock Units, Rule 16b-3, contingent right, vesting
4 terms
Restricted Stock Units financial
"Represents shares relinquished by the Reporting Person in exchange for the Issuer's payment"
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.
Rule 16b-3 regulatory
"payment of federal and state tax withholding obligations ... in accordance with Rule 16b-3"
Rule 16b-3 is a Securities and Exchange Commission regulation that exempts certain routine, pre-approved transactions by company insiders from automatic liability for short-term trading profits. It acts like a safe harbor: if an insider follows a formal plan or the board approves specific transactions in advance, profits from buying and selling company stock within six months are not automatically reclaimed. Investors care because the rule clarifies when insider trades are permissible and reduces uncertainty about potential clawbacks.
contingent right financial
"Each restricted stock unit represents a contingent right to receive one share"
vesting financial
"resulting from the vesting of RSUs, in accordance with Rule 16b-3"
Vesting is the process by which you earn full ownership of something, like company stock or a retirement benefit, over time. It’s like earning the right to keep a gift piece by piece the longer you stay with a company, making sure employees stay committed before they receive all the benefits.
FAQ
What insider equity transaction did ServiceNow (NOW) disclose for Danielle Fontaine?
ServiceNow disclosed that 485 RSUs for Principal Accounting Officer Danielle Fontaine vested and converted into common shares. A portion of these shares was then withheld to satisfy tax withholding obligations associated with the vesting event.
What RSU balance does Danielle Fontaine retain after this ServiceNow (NOW) transaction?
Following the August 17, 2026 vesting, Danielle Fontaine holds 975 Restricted Stock Units directly. Each RSU represents a contingent right to receive one share of ServiceNow common stock, subject to the continued vesting schedule and service conditions.
What is the vesting schedule of Danielle Fontaine’s RSUs at ServiceNow (NOW)?
The RSUs vest in 16 equal quarterly installments, with the first vesting occurring on May 17, 2023. Continued vesting is subject to Fontaine’s continued service to ServiceNow on each scheduled vesting date, as described in the footnotes.
Was the ServiceNow (NOW) insider transaction an open-market sale by Danielle Fontaine?
The filing does not report an open-market sale; instead, it shows RSUs vesting into shares and 168 shares withheld for tax obligations. The tax-related disposition is described as occurring under Rule 16b-3, not as a market trade.
AI-generated analysis. How Rhea-AI works. Not financial advice.
