Otis (NYSE: OTIS) director granted new deferred stock units as board compensation
Rhea-AI Filing Summary
Otis Worldwide Corp director John H. Walker reported receiving a grant of deferred stock units as part of his compensation for service as a non-employee director. On May 27, 2026, he was awarded 4,805.683 deferred stock units, each tied to Otis common stock.
These units were granted under the Board of Directors Deferred Stock Unit Plan, which allows directors to take a portion or all of their annual compensation in deferred stock units. Upon retirement or termination, the units convert on a one-for-one basis into shares of common stock, which can be distributed in a lump sum or in installments. Following this grant, Walker’s deferred stock unit balance increased to 34,456.943 units, and the units also accrue dividend equivalents over time.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
WALKER JOHN H
Role
Director
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Deferred Stock Units | 4,805.683 | $71.79 | $345K |
Holdings After Transaction:
Deferred Stock Units — 34,456.943 shares (Direct)
Footnotes (1)
- F1. The reporting person acquired these deferred stock units (DSUs) under the Board of Directors Deferred Stock Unit Plan (the Plan) for service as a non-employee director. The Plan provides for payment of a portion or all of the annual director compensation in DSUs. Upon retirement or termination, the DSUs in the director's account under the Plan are converted into an equal number of shares of common stock that, at the director's previous election, are distributed either in a lump-sum or in installments. DSUs accrue dividend equivalents.
Key Figures
Deferred stock units granted: 4,805.683 units
Reference price per unit: $71.7900 per unit
Deferred stock units after grant: 34,456.943 units
+2 more
5 metrics
Deferred stock units granted
4,805.683 units
Awarded on May 27, 2026 to director John H. Walker
Reference price per unit
$71.7900 per unit
Transaction price per deferred stock unit on grant date
Deferred stock units after grant
34,456.943 units
Total deferred stock unit holdings following the transaction
Underlying common stock
4,805.683 shares
One Otis common share for each deferred stock unit granted
Conversion price
$0.0000
Deferred stock units convert into common shares without additional payment
Key Terms
Deferred Stock Units, dividend equivalents, non-employee director, Grant, award, or other acquisition
4 terms
Deferred Stock Units financial
"The reporting person acquired these deferred stock units (DSUs) under the Board of Directors Deferred Stock Unit Plan"
Deferred stock units are promises from a company to give an employee shares of stock at a future date, often after certain conditions are met or after leaving the company. They function like a form of delayed compensation, allowing employees to earn shares over time. For investors, they represent potential future ownership in the company, but do not provide immediate voting rights or dividends until the shares are actually received.
dividend equivalents financial
"Upon retirement or termination, the DSUs ... are converted ... DSUs accrue dividend equivalents."
Payments tied to employee or contractor equity awards that mirror the cash dividends paid on the company’s stock; they give the holder the same economic benefit as owning the shares without transferring actual shares—often paid in cash or additional award units when the award becomes payable. Investors care because these payments affect a company’s compensation costs, cash flow and potential share dilution, and they signal how management is being rewarded and aligned with shareholders.
non-employee director financial
"under the Board of Directors Deferred Stock Unit Plan (the Plan) for service as a non-employee director."
Grant, award, or other acquisition financial
"transaction_code_description: Grant, award, or other acquisition"
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What did Otis (OTIS) director John H. Walker report on this Form 4?
John H. Walker reported receiving a grant of deferred stock units as part of his non-employee director compensation. He was awarded 4,805.683 deferred stock units linked to Otis common stock on May 27, 2026, increasing his deferred stock unit holdings under the company’s director plan.
How many deferred stock units did the Otis (OTIS) director receive?
The director received 4,805.683 deferred stock units on May 27, 2026. These units were granted under Otis’s Board of Directors Deferred Stock Unit Plan and represent future rights to an equal number of common shares, rather than an immediate cash or stock purchase transaction in the market.
What is the purpose of the Otis (OTIS) Board of Directors Deferred Stock Unit Plan?
The plan allows non-employee directors to receive a portion or all of their annual compensation in deferred stock units. These units convert into an equal number of Otis common shares upon the director’s retirement or termination, with distributions made as a lump sum or in installments, and they accrue dividend equivalents.
How many deferred stock units does the Otis (OTIS) director hold after this grant?
After the May 27, 2026 grant, John H. Walker holds a total of 34,456.943 deferred stock units. This represents his accumulated compensation taken in stock unit form under the director plan, all of which are ultimately convertible into the same number of Otis common shares in the future.
Do the Otis (OTIS) deferred stock units pay dividends to the director?
The deferred stock units themselves do not pay cash dividends directly, but they accrue dividend equivalents. This means that when Otis pays dividends on its common stock, equivalent value is credited to the director’s deferred stock unit account, to be reflected when units are converted and distributed.