STATON DANIEL C 4

What Happened

• Daniel C. Staton, Chairman of the Board and a director of Armour Residential (ARR), elected on May 21, 2026 to convert vested phantom stock into common shares. He converted 1,900 phantom units and 480 phantom units for a total of 2,380 ARMOUR common shares. The reported price per share is $0.00 because these were conversions of vested phantom stock (no cash payment reported).
• The Form 4 shows both the acquisition of 2,380 common shares and the simultaneous disposition of the equivalent derivative phantom units (reported as derivative dispositions). Total cash value reported for the transactions is $0.

Key Details

• Transaction date: May 21, 2026; Form 4 filed May 26, 2026 (filed after the typical 2-business-day deadline).
• Pieces converted: 1,900 phantom shares (related to phantom stock vesting reported in prior Form 4s) and 480 phantom shares (from an earlier phantom grant vesting schedule).
• Price: $0.00 per share (conversion of vested phantom units into common stock).
• Shares owned after transaction: not specified in the filing.
• Footnotes: units are "phantom stock" (each unit equals the economic equivalent of one common share); conversions relate to previously reported vesting schedules; some shares are held indirectly through DM Staton Family Limited Partnership (Staton is a general and limited partner and has a pecuniary interest).
• Timeliness: The filing was submitted five days after the transaction date — later than the usual 2-business-day Form 4 deadline.

Context

• This was a conversion of vested phantom stock (a derivative/award), not an open-market purchase or sale. Such conversions typically reflect previously granted compensation that has vested; no cash paid was reported.
• Because this is an award/derivative conversion rather than a purchase, it should not be interpreted as a direct market buy or sell signal.