Donovan John 4

What Happened
John Donovan, a non-employee director of Lockheed Martin (LMT), was granted 260.504 phantom stock units on February 13, 2026. The units were valued at $652.58 each (total value ≈ $170,000). These are derivative awards (phantom stock) that convert one-for-one into common shares upon settlement; the grant is compensation rather than an open-market purchase.

Key Details

• Transaction date: 2026-02-13; Filing date: 2026-02-18 (filed within the required 2 business days).
• Award type/code: A (grant of phantom stock units); acquired at $652.58 per unit.
• Units granted: 260.504 phantom stock units — approximate aggregate value ~$170,000.
• Vesting: 50% vests on the June 30 following the award date and 50% on the December 31 following the award date. Unvested awards vest in full on retirement (due to age limits), death, disability, or change in control; one-third vests if the director fails to stand for reelection.
• Settlement: Units convert one-for-one to common stock; settlement may be in cash or stock (director election) upon termination of service. Non-employee directors meeting ownership guidelines may delay payment until the first business day of April following vesting.
• Plan/Exemption: Award made under the Lockheed Martin Amended and Restated Directors Equity Plan and is exempt under Rule 16b-3 (typical director compensation).
• Shares owned after transaction: Not specified in the filing.
• Related note: Footnote also references previously acquired deferred phantom units under the Directors Deferred Compensation Plan that settle on retirement/termination.

Context: This is a routine director compensation award (derivative grant), not an open-market purchase or sale. Such grants are common for non-employee directors and reflect standard equity-based pay rather than a direct insider signal about company prospects.