Key Tronic (KTCC) EVP Chad Orebaugh Exercises RSUs, Sells 1,482 Shares

What Happened

• Chad Thomas Orebaugh, EVP of Engineering at Key Tronic (KTCC), had 5,995 restricted stock units (RSUs) convert to common stock on Aug 27, 2026 (reported as a derivative conversion). He immediately sold 1,482 of those shares in the open market at $3.73 per share, generating $5,528 in proceeds to satisfy tax withholding obligations. The RSU conversion shows $0 cash paid (these were vested/converted awards, not a cash purchase).
• Net of the sale, 4,513 shares from this conversion remained with the reporting person (5,995 converted minus 1,482 sold).

Key Details

• Transaction date: Aug 27, 2026.
• Conversion: 5,995 RSUs -> 5,995 shares (reported as derivative conversion; no cash payment).
• Sale: 1,482 shares disposed at $3.73 per share, total proceeds $5,528.
• Shares owned after transaction: the Form 4 does not state total holdings; the filing shows 4,513 shares retained from this conversion and notes 1,142 shares were acquired under the registrant's 401(k) plan between Sept 3, 2025 and Aug 27, 2026 (footnote F3).
• Footnotes of note:
  • F1: Each RSU represents a contingent right to one share.
  • F2: The open-market sale was to satisfy tax withholding on vested RSUs.
  • F4: The RSUs vest in three equal annual installments (Aug 21, 2026/2027/2028) subject to time vesting.
• Filing timeliness: Reported on Aug 31, 2026 for an Aug 27, 2026 transaction — filed within the standard two-business-day Form 4 window.

Context

• This was a conversion/vesting of RSUs followed by a partial sale to cover tax withholding — a routine administrative transaction rather than a cash purchase or market-driven sale. Conversions of RSUs are not purchases (no cash outlay) and the small open-market sale ($5.5k) was for taxes, not necessarily a signal of sentiment.
• For clarity: code "M" on Form 4 denotes exercise or conversion of a derivative security; here it reflects RSU vesting/conversion into shares.