lululemon (LULU) CFO Frank Meghan Receives Award; Withholds Shares

What Happened

• Frank Meghan, CFO and Interim Co‑CEO of lululemon (LULU), had 3,754 performance-based shares issued on March 30, 2026 upon settlement/vesting of performance share units. The conversion reported at $0.00 per share reflects award settlement rather than a cash purchase.
• To cover tax obligations, 1,977 shares were withheld (valued at $145.83 each = $288,306) and an additional 201 shares were withheld (also $145.83 each = $29,312), for total withholding of 2,178 shares and $317,618. Net newly issued shares retained from this award: 3,754 − 2,178 = 1,576 shares.
• These actions are routine tax withholdings tied to award settlement, not an open‑market sale or discretionary trade.

Key Details

• Transaction date: March 30, 2026. Form 4 filed April 1, 2026 (timely filing).
• Conversion/exercise entries reported at $0.00 per share (code M = conversion/exercise of derivative award).
• Withheld shares reported at $145.83 per share (code F = payment of tax liability via share withholding).
• Net shares retained from this vesting event: 1,576 shares.
• Footnotes: F1 = withholding for performance share units; F2 = withholding for restricted stock units; F3 = PSUs were granted March 30, 2023 for a three‑year performance period ending fiscal 2025, certification of results occurred March 13, 2026, and PSUs vested March 30, 2026.

Context

• This was an award settlement and tax withholding (often called a cashless or net share settlement) — common and does not necessarily indicate a change in insider sentiment. The conversion at $0.00 simply reflects settlement of performance units into shares; the withholding entries reflect payment of tax obligations.