Wat Joey 4

What Happened

• Joey Wat, CEO of Yum China (YUMC), exercised/converted 43,198 derivative units into common shares on Feb 8, 2026 and had 3,971 shares withheld to satisfy tax withholding (~$230,119). On Feb 6, 2026 she was granted 86,282 derivative units (award) that vest over time and have no expiration date per the filing.
• Transaction values: tax withholding reported as 3,971 shares × $57.95 = $230,119. The exercised/converted shares and the award are reported at $0.00 per share in the Form 4 (derivative conversion/award entries).

Key Details

• Transaction dates: Award granted 2026-02-06; exercise/conversion and tax withholding occurred 2026-02-08.
• Prices/values: Tax withholding price = $57.95; withholding value ≈ $230,119. Award and conversion shown at $0.00 (derivative conversion/award reporting convention).
• Shares owned after transaction: Not specified in the provided filing excerpt.
• Footnotes of note:
  • F1: Conversion occurs on a one-for-one basis (each derivative converts to one common share).
  • F2/F4: Vesting schedules — the Feb 6, 2026 award vests 1/3 per year beginning one year from 2/6/2026; another vesting note references 1/3 per year from 2/8/2024 (as disclosed in the filing).
  • F3: The 2/6/2026 grant has no expiration date.
  • F code entry indicates shares were withheld to satisfy tax liability (common net-share settlement).
• Filing timeliness: Form filed 2026-02-10 for transactions on 2/06 and 2/08; no late-filing flag was indicated in the provided details.

Context

• This was essentially an exercise/conversion of derivative units with a net-share tax withholding — a routine way executives satisfy tax obligations when options or RSUs convert to stock. The filing also reports a new award (86,282 units) that vests over multiple years and does not expire. These entries are procedural and do not, by themselves, indicate the CEO is broadly buying or selling shares on the open market.