ARR Chairman Daniel C. Staton Converts 2,380 Phantom Shares to Stock

What Happened

• Daniel C. Staton, Chairman of the Board and a director of Armour Residential REIT, converted vested phantom stock into 2,380 shares of Armour common stock on August 21, 2026. The filing shows conversions of 1,900 shares and 480 shares at $0.00 per share (total value $0), reported under derivative exercise code M. These were conversions of previously granted phantom stock units, not open-market purchases or sales.

Key Details

• Transaction date: August 21, 2026; Form 4 filed August 25, 2026 (filing was late).
• Instruments and prices: conversion of phantom units (derivative code M) — 1,900 shares @ $0.00 and 480 shares @ $0.00.
• Total shares converted: 2,380 common shares; total cash exchanged: $0.
• Shares owned after transaction: not specified in the provided filing.
• Notable footnotes:
  • The 1,900 and 480 shares converted were vested phantom stock units reported as vesting in prior Form 4s (related to five-year and six-and-a-half-year vesting schedules).
  • Each phantom stock unit is the economic equivalent of one common share.
  • Some shares are held indirectly through DM Staton Family Limited Partnership; the reporting person has a pecuniary interest in those shares.
• Transaction code meaning: M indicates exercise/conversion of a derivative (here, phantom stock), not a market sale or purchase.

Context

• This was a conversion of vested phantom stock into actual common shares — a non‑cash, routine equity award settlement — and does not represent an open-market buy or sale. The presence of both “acquired” and “disposed” derivative lines on the Form 4 reflects the conversion mechanics (removal of the phantom unit and issuance of the underlying share), not a sale of the underlying shares.