Paul D. Underwood - Nov 18, 2021 Form 4 Insider Report for Cloudflare, Inc. (NET)

Role: Chief Accounting Officer
Signature: /s/ Lindsey Cochran, by power of attorney
Stock symbol: NET
Transactions as of: Nov 18, 2021
Transactions value $: -$421,880
Form type: 4
Date filed: 11/22/2021, 05:44 PM
Previous filing: Oct 19, 2021
Next filing: Dec 20, 2021

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
transaction	NET	Class A Common Stock	Conversion of derivative security		+2K	+14.8%		15.5K	Nov 18, 2021	Direct	F1, F2
transaction	NET	Class A Common Stock	Sale	-$422K	-2K	-12.89%	$210.94	13.5K	Nov 18, 2021	Direct	F3
transaction	NET	Class A Common Stock	Conversion of derivative security		+10K	+74.2%		23.5K	Nov 19, 2021	Direct	F1

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	NET	Employee Stock Option (right to buy)	Options Exercise	$0	-2K	-2.45%	$0.00	79.5K	Nov 18, 2021	Class B Common Stock	2K	$9.97	Direct	F4
transaction	NET	Class B Common Stock	Options Exercise	$0	+2K		$0.00	2K	Nov 18, 2021	Class A Common Stock	2K		Direct	F1
transaction	NET	Class B Common Stock	Conversion of derivative security	$0	-2K	-100%	$0.00^*	0	Nov 18, 2021	Class A Common Stock	2K		Direct	F1
transaction	NET	Employee Stock Option (right to buy)	Options Exercise	$0	-10K	-8.36%	$0.00	110K	Nov 19, 2021	Class B Common Stock	10K	$9.97	Direct	F5
transaction	NET	Class B Common Stock	Options Exercise	$0	+10K		$0.00	10K	Nov 19, 2021	Class B Common Stock	10K		Direct	F1
transaction	NET	Class B Common Stock	Conversion of derivative security	$0	-10K	-100%	$0.00^*	0	Nov 19, 2021	Class B Common Stock	10K		Direct	F1

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	Each share of Class B Common Stock is convertible at any time into Class A Common Stock on a one-to-one basis at the reporting person's election and has no expiration date.
F2	Includes 232 shares of Class A Common Stock acquired under the Issuer's employee stock purchase plan on November 15, 2021.
F3	The sale reported in this Form 4 was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on May 12, 2021.
F4	The option is subject to an early exercise provision and is immediately exercisable. Shares subject to the option vest in 48 equal monthly installments beginning on September 13, 2019.
F5	The option is subject to an early exercise provision and is immediately exercisable. 1/4th of the shares vested on March 11, 2020 and 1/16th of the shares vest in 12 equal quarterly installments thereafter.