Sanghi Steve 4

What Happened

• Steve Sanghi, President, CEO and Chairman of Microchip Technology Inc., received equity awards on July 1, 2026 consisting of 14,658 restricted stock units (RSUs) and 21,986 performance stock units (PSUs), a total of 36,644 contingent units. The units were granted at $0.00 (derivative awards) and therefore show no cash purchase or sale value on the Form 4.
• RSUs each represent a right to one share and PSUs represent a contingent right to one share, with PSUs earned based on Microchip’s cumulative non‑GAAP operating margin over a 12‑quarter period ending June 30, 2029. Vested shares will be delivered upon vesting.

Key Details

• Transaction date(s): July 1, 2026; Form filed July 6, 2026 (reporting period 2026-07-01).
• Award amounts and prices: 14,658 RSUs @ $0.00; 21,986 PSUs @ $0.00 (total 36,644 units; derivative awards).
• Shares owned after transaction: beneficial ownership reported as 9,410,407 shares (includes 3,504,535 held by The Sanghi Trust and 5,905,872 held by The Sanghi Family Limited Partnership). (Footnote F1)
• Vesting / performance: RSUs vest in full on August 15, 2030 subject to continued service (F3). PSUs vest on August 15, 2030 and payout depends on achieving cumulative non‑GAAP operating margin targets (target basis shown is 33.5% for the measurement period; actual payout may be higher or lower) (F2, F4, F5).
• Plan: PSUs granted under the Microchip 2004 Equity Incentive Plan (F5).
• Filing timeliness: Form filed within days after the grant (no late filing indicated).

Context

• These are equity awards (not open‑market purchases or sales). Awards at $0 reflect grant of contingent units rather than a cash transaction; they do not represent shares received today and are subject to service and, for PSUs, performance conditions. Such grants are common as long‑term incentives and do not, by themselves, indicate an immediate change in insider buying/selling sentiment.