ServiceNow (NOW) President Paul Fipps Exercises RSUs, Sells Shares for Taxes

What Happened
Paul Fipps, President, Global Customer Operations at ServiceNow (NOW), had restricted stock units convert into common shares on August 7, 2026. The filing shows conversion/exercise of 5,435 derivative units into shares (no cash exercise price). To satisfy withholding obligations, he relinquished 2,172 of those shares at an effective price of $124.88 per share, representing approximately $271,238 in value. Net shares received from the conversion were 3,263.

Key Details

• Transaction date: August 7, 2026; Form 4 filed August 11, 2026 (timely within SEC two-business-day window).
• Conversions/exercises (Code M): 4,120 + 910 + 330 + 75 = 5,435 shares acquired at $0.00 (these reflect RSU conversions).
• Shares surrendered for tax withholding (Code F): 1,646 + 364 + 132 + 30 = 2,172 shares disposed at $124.88, total ≈ $271,238.
• Net increase in shares from this event: 5,435 − 2,172 = 3,263 shares.
• Notable footnotes: F2 indicates shares were relinquished to cover federal/state tax withholding; F3–F8 describe that the instruments are restricted stock units (RSUs), vesting schedules, and that some units were performance-based (F5). F1 references a small ESPP acquisition on July 31, 2026.
• Filing timeliness: Reported within the required two business days.

Context
This was a standard RSU conversion with a tax-withholding share surrender (a common cashless-withholding mechanism), not an open-market sale for cash—so the disposed shares reflect tax payment rather than a discretionary sale. The filing is informational and does not on its own indicate qualitative intent beyond fulfilling tax obligations.