Yuan Eric S. 4

What Happened

• Eric S. Yuan, CEO of Zoom (ZM), had restricted stock units (RSUs) convert to 115,277 shares on July 8–9, 2026 (68,455 shares on 7/8 and 46,822 shares on 7/9). These conversions are reported as "exercise or conversion of derivative" (code M) at $0.00 per share because they reflect RSU vesting/conversion rather than a cash purchase.
• To satisfy tax withholding, the issuer withheld 58,655 of those shares (34,831 shares on 7/8 at $85.68 = $2,984,320; 23,824 shares on 7/9 at $87.40 = $2,082,218), totaling approximately $5,066,538. Several zero-dollar derivative disposals were also reported reflecting conversion of Class B into Class A common stock (no cash proceeds).

Key Details

• Transaction dates: July 8, 2026 and July 9, 2026.
• RSU conversions (acquired): 68,455 shares (7/8) and 46,822 shares (7/9) at $0.00.
• Shares withheld for taxes (disposed): 34,831 @ $85.68 (7/8) and 23,824 @ $87.40 (7/9); total cash value ≈ $5.07M.
• Derivative conversions: zero-dollar disposals of Class B → Class A shares matching the converted RSU amounts (per footnote).
• Notable footnotes: F2 = shares withheld by issuer to satisfy tax withholding; F3–F6 = RSU award descriptions and vesting schedules; F7 = Class B shares are convertible into Class A shares.
• Filing: Reported period 2026-07-08 and filed 2026-07-10 (appears timely under the typical two-business-day Form 4 window).

Context

• This was a tax-withholding transaction tied to RSU vesting (issuer withheld shares to cover taxes), not an open-market sale — a routine administrative disposition rather than a deliberate stock sale for investment reasons.
• The conversions labeled as derivative disposals reflect conversion of Class B common stock into Class A common stock (per footnote), which is a non-cash corporate/ownership-structure action.
• No evidence in this filing of a 10b5-1 plan or other cash sale; the cash reported relates only to the value of shares withheld for tax obligations.