Starbucks EVP uses shares to cover tax withholding
Starbucks Corp executive Sara Kelly, EVP and chief partner officer, reported a routine tax-related share transaction.
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Form Type
4
Rhea-AI Filing Summary
Starbucks Corp executive Sara Kelly, EVP and chief partner officer, reported a routine tax-related share transaction. On the vesting of restricted stock units, 315.82 shares of common stock were withheld by Starbucks to cover tax obligations, not sold in the open market. After this withholding, Kelly directly holds 57,567.0208 Starbucks shares, including 230 shares that reflect dividend equivalents on unvested time-based restricted stock units.
Insider Trade Summary
Exercise Price or Tax Liability: 315.82 shares
Exercise Price or Tax Liability
1 txn
Insider
KELLY SARA
Role
evp, chief partner officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise Price or Tax Liability | Common Stock | 315.82 | $101.59 | $32K |
Holdings After Transaction:
Common Stock — 57,567.0208 shares (Direct)
Footnotes (2)
- F1. Shares withheld by the issuer to satisfy tax withholding obligations upon vesting of restricted stock units; not an open market transaction.
- F2. Includes 230 shares representing dividend equivalents on unvested time-based restricted stock units.
Key Figures
Shares withheld for taxes: 315.82 shares
Withholding reference price: $101.59 per share
Shares held after transaction: 57,567.0208 shares
+2 more
5 metrics
Shares withheld for taxes
315.82 shares
Withheld upon RSU vesting to satisfy tax obligations
Withholding reference price
$101.59 per share
Price used for tax-withholding disposition
Shares held after transaction
57,567.0208 shares
Direct Starbucks common stock ownership after withholding
Dividend equivalent shares
230 shares
Dividend equivalents on unvested time-based RSUs included in holdings
Tax withholding transactions
1 transaction, 315.82 shares
Summary of tax-withholding dispositions in this Form 4
Key Terms
restricted stock units, tax withholding obligations, dividend equivalents, time-based restricted stock units, +1 more
5 terms
restricted stock units financial
"Shares withheld by the issuer to satisfy tax withholding obligations upon vesting of restricted stock units"
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.
tax withholding obligations financial
"Shares withheld by the issuer to satisfy tax withholding obligations upon vesting"
dividend equivalents financial
"Includes 230 shares representing dividend equivalents on unvested time-based restricted stock units"
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.
time-based restricted stock units financial
"dividend equivalents on unvested time-based restricted stock units"
Time-based restricted stock units are a form of employee compensation where individuals are granted company shares that are earned over a set period, often as a reward for staying with the company. These shares typically become fully owned and transferable only after passing specific time milestones, encouraging long-term commitment. For investors, they highlight a company's focus on employee retention and can influence future stock supply and company stability.
tax-withholding disposition financial
"transaction_action: tax-withholding disposition"
A tax-withholding disposition is an event or transaction—such as selling or transferring securities, exercising options, or receiving compensation—that triggers a requirement to hold back part of the payment and remit it to tax authorities. It matters to investors because it reduces the cash they receive immediately and can change the timing and amount of taxable income, like a cashier taking a portion of your sale proceeds to pay taxes before you get the rest.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What did Starbucks (SBUX) executive Sara Kelly report in this Form 4?
Sara Kelly reported a tax-related share withholding tied to restricted stock unit vesting. Starbucks withheld 315.82 common shares to satisfy tax obligations, rather than selling shares in the market, and she continues to hold a substantial direct equity position afterward.
Was Sara Kelly’s Starbucks (SBUX) Form 4 transaction an open-market sale?
No, the transaction was not an open-market sale. The shares were withheld by Starbucks to satisfy tax withholding obligations when restricted stock units vested, as noted in the footnote, making it a routine compensation-related event rather than a discretionary sale into the market.
AI-generated analysis. How Rhea-AI works. Not financial advice.
