Michael Xie - May 1, 2022 Form 4 Insider Report for Fortinet, Inc. (FTNT)

Role
VP, Engineering & CTO, Director
Signature
/s/ Robert Turner, by power of attorney
Stock symbol
FTNT
Transactions as of
May 1, 2022
Transactions value $
-$470,219
Form type
4
Date filed
5/3/2022, 04:56 PM
Previous filing
Mar 6, 2023
Next filing
May 10, 2022

Transactions Table

Type Sym Class Transaction Value $ Shares Change % * Price $ Shares After Date Ownership Footnotes
transaction FTNT Common Stock Options Exercise $0 +1.35K +0.02% $0.00 5.96M May 1, 2022 Direct F1
transaction FTNT Common Stock Options Exercise $0 +1.02K +0.02% $0.00 5.96M May 1, 2022 Direct F1
transaction FTNT Common Stock Options Exercise $0 +911 +0.02% $0.00 5.96M May 1, 2022 Direct F1
transaction FTNT Common Stock Tax liability -$470K -1.63K -0.03% $289.01 5.96M May 1, 2022 Direct F2
holding FTNT Common Stock 1.99M May 1, 2022 See footnote F3
holding FTNT Common Stock 3.41M May 1, 2022 See footnote F4

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 FTNT Restricted Stock Units Options Exercise $0 -1.35K -25% $0.00 4.05K May 1, 2022 Common Stock 1.35K $0.00 Direct F1, F5, F6, F7
transaction FTNT Restricted Stock Units Options Exercise $0 -1.02K -12.5% $0.00 7.13K May 1, 2022 Common Stock 1.02K $0.00 Direct F1, F5, F7, F8, F9
transaction FTNT Restricted Stock Units Options Exercise $0 -911 -8.34% $0.00 10K May 1, 2022 Common Stock 911 $0.00 Direct F1, F5, F7, F10
* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id Content
F1 Vesting of restricted stock units ("RSUs") previously granted to the Reporting Person.
F2 Exempt transaction pursuant to Section 16b-3(e) - payment of exercise price or tax liability by delivering or withholding securities incident to the receipt, exercise or vesting of a security issued in accordance with Rule 16b-3. All of the shares reported as disposed of in this Form 4 were relinquished by the Reporting Person and cancelled by the Issuer in exchange for the Issuer's agreement to pay federal and state tax withholding obligations of the Reporting Person resulting from the vesting of restricted stock units.
F3 Shares held directly by the 2010 K.A. Family Trust dated May 3, 2010, for which the Reporting Person serves as a trustee.
F4 Shares held directly by The K.A. Children's Trust dated February 9, 2011, for which the Reporting Person serves as a trustee.
F5 Each RSU represents a contingent right to receive one share of the Issuer's common stock upon vesting.
F6 25% of the RSUs vested on February 1, 2020, then the remaining 75% of the RSUs vest in equal installments on each quarterly anniversary thereafter until the RSUs are 100% vested, subject to the continuing employment of the Reporting Person on each vesting date. Shares of the Issuer's common stock will be delivered to the Reporting Person upon vesting.
F7 RSUs do not expire; they either vest or are canceled prior to the vesting date.
F8 25% of the RSUs vested on February 1, 2021, and the remaining 75% of the RSUs will vest in equal installments on each quarterly anniversary thereafter, until such time as the RSUs are 100% vested, subject to the Reporting Person's provision of service to the Issuer on each vesting date. Shares of the Issuer's common stock will be delivered to the Reporting Person upon vesting.
F9 The total RSUs held by the Reporting Person following the vesting of 1,019 RSUs as reported on Form 4 filed February 3, 2022 was incorrectly reported. The Reporting Person held 8,147 RSUs following the vesting and release of 1,019 RSUs as reported on Form 4 filed on February 3, 2022.
F10 25% of the RSUs vested on February 1, 2022, and the remaining 75% of the RSUs will vest in equal installments on each quarterly anniversary thereafter, until such time as the RSUs are 100% vested, subject to the Reporting Person's provision of service to the Issuer on each vesting date. Shares of the Issuer's common stock will be delivered to the Reporting Person upon vesting.