Zhang Leila 4

What Happened Zhang Leila, Chief Technology Officer of Yum China Holdings (YUMC), converted/exercised 3,023 derivative units on 2026-02-08 and had 1,361 of those shares withheld to satisfy tax withholding (valued at $57.95 each, total $78,870). On 2026-02-06 she also received a grant of 6,903 derivative shares (RSUs) at no cash cost. The conversion was one-for-one (F1). Net shares retained from this conversion: 1,662 shares (3,023 converted − 1,361 withheld).

Key Details

• Transaction dates: Grant on 2026-02-06; conversion/exercise and withholding on 2026-02-08. Filing date: 2026-02-10 (timely).
• Prices/values: Tax withholding price $57.95/share; 1,361 shares withheld → $78,870.
• Shares retained after this conversion: 1,662 shares (calculated from the filing). Total unvested award: 6,903 RSUs granted 2/6/2026.
• Notable footnotes: F1 = 1:1 conversion; F2 = the 6,903-share grant vests 1/3 per year beginning one year from 2/6/2026; F3 = that grant has no expiration; F4 = the converted units relate to an earlier award with vesting 1/3 per year beginning 2/8/2024.
• Filing timeliness: Filed 2026-02-10 covering 2/6 and 2/8 transactions — appears timely (Form 4 required within two business days).

Context This was primarily a conversion/award event, not an open-market sale. The 1,361-share disposition reflects routine tax withholding (a common cashless mechanism) rather than a market sale for cash. The 6,903-share RSU grant is subject to multi-year vesting (1/3 per year) and does not imply immediate additional selling. The filing does not disclose Zhang’s total beneficial ownership of Yum China common stock beyond the reported items.