Ellis Gary Lee 4

What Happened

• Ellis Gary Lee, a director of The Toro Company, exercised 4,951 stock options (derivative code M) at an exercise price of $47.17 per share (cost $233,539) on 2026-06-09 and immediately sold those 4,951 shares in an open-market transaction at $91.91 per share for gross proceeds of $455,046. The exercise/ conversion of the options is also reported as a derivative disposition (listed at $0.00).

Key Details

• Transaction date: 2026-06-09; Form 4 filed 2026-06-10 (timely filing).
• Exercise price: $47.17; sale price: $91.91.
• Shares exercised: 4,951; shares sold: 4,951.
• Gross sale proceeds: $455,046; cost to exercise: $233,539; approximate pre-tax spread/proceeds: $221,507.
• No net change in beneficial ownership from these transactions (the exercised shares were sold).
• Footnote F1: Includes 35.086 common stock units acquired under the Deferred Compensation Plan’s dividend reinvestment since the last report.
• Footnote F2: The option vested in three equal annual installments beginning Nov 1, 2016 (confirming the options were vested and exercisable).

Context

• This was a cashless-style exercise: options were exercised and the resulting shares were immediately sold in the open market. Such transactions commonly provide liquidity or satisfy tax obligations and do not by themselves indicate the director’s view of the company’s future performance.