Robert J. Polzer - Jan 1, 2022 Form 3 Insider Report for Zoetis Inc. (ZTS)

Role: Executive Vice President
Signature: /s/ Brenda Santuccio, as Attorney-in-Fact
Stock symbol: ZTS
Transactions as of: Jan 1, 2022
Transactions value $: $0
Form type: 3
Date filed: 1/10/2022, 04:25 PM
Next filing: Jan 19, 2022

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
holding	ZTS	Phantom Stock Unit							Jan 1, 2022	Common Stock	2.31K		Direct	F1, F2
holding	ZTS	Restricted Stock Unit							Jan 1, 2022	Common Stock	964		Direct	F3, F4, F5, F6, F7
holding	ZTS	Stock Option							Jan 1, 2022	Common Stock	3.96K		Direct	F8, F9, F10, F11

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

Explanation of Responses:

Id	Content
F1	Represents 6,725.7436 phantom stock units. These phantom stock units, which were acquired pursuant to the Zoetis Supplemental Savings Plan, are settled in cash following the reporting person's separation from service and may be transferred by the reporting person into an alternative investment fund at any time, provided Zoetis may limit the timing, frequency and permissibility of transfers from one investment fund to another at any time.
F2	Each phantom stock unit represents a fraction of a phantom share of Zoetis common stock, plus a small amount of cash-equivalent investments (the cash-equivalent investments typically represent around 5% of the total value of the phantom stock unit). Accordingly, the value of each phantom stock unit is determined by reference to the market value of Zoetis common stock and the value of the cash-equivalent investments.
F3	Represents restricted stock units granted pursuant to the Zoetis Inc. 2013 Equity and Incentive Plan, and dividend equivalent units automatically issued thereon (each an "RSU" and collectively, "RSUs"). Restricted stock units vest and are settled in shares of Zoetis common stock on the third anniversary of the date of grant, subject to the reporting person's continued service through such vesting date and subject to earlier vesting and settlement upon certain specific events. Dividend equivalent units vest and are settled in shares of Zoetis common stock on the third anniversary of the date of grant of the underlying restricted stock units, subject to the reporting person's continued service through such vesting date and subject to earlier vesting and settlement upon certain specific events.
F4	Each RSU will vest and be settled in shares of Zoetis Inc. common stock on the third anniversary of the date of grant, subject to the reporting person's continued service through such vesting date and subject to earlier vesting and settlement upon certain specific events.
F5	Not applicable.
F6	The RSUs vest as follows: 434.6496 RSUs will vest on February 12, 2022; 279.6623 RSUs will vest on February 11, 2023; 249.9694 RSUs will vest on February 10, 2024.
F7	Each RSU represents a contingent right to receive one share of Zoetis Inc. common stock.
F8	Stock options (right to buy Zoetis Inc. common stock) granted pursuant to the Zoetis Inc. 2013 Equity and Incentive Plan. The options vest on the third anniversary of the date of grant.
F9	Each option vests on the third anniversary of the date of grant.
F10	Each option expires on the tenth anniversary of the date of grant.
F11	1,721 options granted February 12, 2019 at an exercise price of $87.51 per option; 1,179 options granted February 11, 2020 at an exercise price of $144.03 per option; 1,057 options granted February 10, 2021 at an exercise price of $160.62 per option.