01—Abstract
Summary
Summary of the 10-K/A filed April 5, 2019. Cited figures are marked; the original filing is the authoritative source.
This filing is an amendment (10-K/A) to United Technologies Corporation's (UTC) 2018 annual report, filed on April 4, 2019.
The amendment serves to include previously omitted information regarding equity compensation plans, specifically detailing shares outstanding under these plans and those available for future issuance as of December 31, 2018. This information is crucial for understanding potential dilution and executive compensation structures. Investors should note that the primary purpose of this amendment is administrative, correcting an omission rather than introducing new financial performance data.
The details provided relate to stock options, stock appreciation rights, restricted stock units, and performance share units across various company plans, including those assumed from the Rockwell Collins acquisition. The majority of outstanding awards are under the UTC 2018 Long-Term Incentive Plan (LTIP), with a significant number of shares remaining available for future grants, indicating a continued focus on performance-based and long-term incentives for management and employees.
02—Key points
Key Highlights
- Amendment corrects an omission in the original 10-K filing, specifically regarding equity compensation plan information.
- As of December 31, 2018, there were 9,690,000 securities to be issued under approved equity compensation plans, with a weighted-average exercise price of $99.12 for options/warrants/rights.
- A substantial number of securities (57,752,000) remained available for future issuance under approved equity compensation plans as of December 31, 2018.
- The United Technologies Corporation 2018 Long-Term Incentive Plan (2018 LTIP) is a significant component of the equity compensation, comprising most outstanding awards.
- Awards under the LTIPs include stock options, stock appreciation rights (SARs), restricted stock units (RSUs), and performance share units (PSUs).
- The company assumed equity plans from Rockwell Collins, Inc., which contribute to the total number of shares issuable under non-approved plans.
- For SARs, the potential number of shares to be issued was calculated using the NYSE closing price of $106.48 on December 31, 2018.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-K/AFY2018filed April 5, 2019Financial Statements
FY2018 against FY2017
| Line item | FY2018FY2017 | Change |
|---|---|---|
| Revenue | $34.70B$59.84B | −42.0% |
| R&D Expenses | $1.88B$2.43B | −22.6% |
| SG&A Expenses | $2.86B$6.43B | −55.5% |
| Operating Expenses | $32.21B$53.06B | −39.3% |
| Operating Income | $2.88B$8.14B | −64.6% |
| Interest Expense | $1.03B$909.00M | +13.5% |
| Net Income | $5.27B$4.55B | +15.8% |
| EPS (Basic) | $6.58$5.76 | +14.2% |
| EPS (Diluted) | $6.50$5.70 | +14.0% |
| Shares Outstanding (Basic) | 800.40M790.00M | +1.3% |
| Shares Outstanding (Diluted) | 810.10M799.10M | +1.4% |
05—Questions
Frequently Asked Questions
What is the main reason for this amendment to the 10-K filing?
This filing is an amendment to correct an inadvertent omission from the original 10-K. The amendment specifically adds information required by Item 201(d) of Regulation S-K concerning equity compensation plan information, which was mistakenly left out.
What types of equity awards are detailed in this filing?
The filing details securities issuable upon exercise of outstanding options, warrants, and rights, as well as securities remaining available for future issuance. This includes awards under stock options, Stock Appreciation Rights (SARs), restricted stock units (RSUs), and performance share units (PSUs).
How many shares are available for future equity awards?
As of December 31, 2018, there were 57,752,000 securities remaining available for future issuance under equity compensation plans approved by shareholders. It's important to note that the calculation for reductions in available shares for full share awards (like RSUs and PSUs) is multiplied by 4.03, whereas stock options and SARs reduce the available shares on a one-for-one basis.
Does the acquisition of Rockwell Collins impact the equity compensation information?
Yes, the filing mentions that restricted stock unit awards granted under the Rockwell Collins, Inc. 2015 Long-Term Incentive Plan, which UTC assumed upon acquisition, are included in the count of securities issuable under equity compensation plans not approved by shareholders.
06—Continue