Shutterfly, Inc.
SHUTTERFLY INC (Form: 4, Received: 10/31/2017 18:08:26)
FORM 4
[ ] Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).         
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES
                                                                                  
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Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934 or Section 30(h) of the Investment Company Act of 1940
                      

1. Name and Address of Reporting Person *

POPE MICHAEL W
2. Issuer Name and Ticker or Trading Symbol

SHUTTERFLY INC [ SFLY ]
5. Relationship of Reporting Person(s) to Issuer (Check all applicable)

_____ Director                      _____ 10% Owner
__ X __ Officer (give title below)      _____ Other (specify below)
SVP & Chief Financial Officer
(Last)          (First)          (Middle)

C/O SHUTTERFLY, INC., 2800 BRIDGE PARKWAY
3. Date of Earliest Transaction (MM/DD/YYYY)

10/27/2017
(Street)

REDWOOD CITY, CA 94065
(City)        (State)        (Zip)
4. If Amendment, Date Original Filed (MM/DD/YYYY)

 
6. Individual or Joint/Group Filing (Check Applicable Line)

_ X _ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Trans. Date 2A. Deemed Execution Date, if any 3. Trans. Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4)
Code V Amount (A) or (D) Price
Common Stock   10/27/2017     M (1)    17500   A $0   17500   D    
Common Stock   10/27/2017     M (2)    17500   A $0   35000   D    
Common Stock   10/30/2017     S    15147   (3) D $41.5001   (4) 19853   D    
Common Stock   10/31/2017     S (5)    19853   D $42.5254   (6) 0   D    

Table II - Derivative Securities Beneficially Owned ( e.g. , puts, calls, warrants, options, convertible securities)
1. Title of Derivate Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Trans. Date 3A. Deemed Execution Date, if any 4. Trans. Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
6. Date Exercisable and Expiration Date 7. Title and Amount of Securities Underlying Derivative Security
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Restricted Stock Units     (7) 10/27/2017     M   (1)       17500      (8)   (8) Common Stock   17500   $0   35000   D    
Common Stock     (7) 10/27/2017     M   (2)       17500      (9)   (9) Common Stock   17500   $0   35000   D    

Explanation of Responses:
(1)  Vesting of restricted stock units ("RSUs") granted to the Reporting Person on October 27, 2015.
(2)  Vesting of performance-based RSUs granted to the Reporting Person on October 27, 2015.
(3)  Represents the aggregate number of shares of the Issuer's common stock sold by the Reporting Person to cover taxes due upon the release and settlement of the RSU's. The Reporting Person did not sell or otherwise dispose of any of the shares reported on this Form 4 for any reason other than to cover required taxes.
(4)  Represents a weighted average sales price per share. These shares were sold in multiple transactions at prices ranging from $41.50 to $41.5231 per share. The Reporting Person has provided to the Issuer, and undertakes to provide to the staff of the Securities and Exchange Commission or any security holder of the Issuer, upon request, full information regarding the number of shares purchased at each separate price within the range.
(5)  This transaction was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person.
(6)  Represents a weighted average sales price per share. These shares were sold in multiple transactions at prices ranging from $41.96 to $42.89 per share. The Reporting Person has provided to the Issuer, and undertakes to provide to the staff of the Securities and Exchange Commission or any security holder of the Issuer, upon request, full information regarding the number of shares purchased at each separate price within the range.
(7)  Each of these RSUs represents a contingent right to receive one (1) share of Issuer common stock upon settlement for no consideration.
(8)  These RSUs vest in 4 equal annual installments, subject to the Reporting Person's continuous service to the Issuer through each such vesting date. The first installment vested on October 27, 2016 and the second installment vested on October 27, 2017. Vested shares shall be settled within 30 days of the vesting date as set forth in the RSU Award Agreement. These RSUs will expire upon the earlier of the date: (i) when all are settled or (ii) when the Reporting Person ceases to provide services to the Issuer.
(9)  These RSUs vest in 4 equal annual installments, subject to achievement of the applicable performance objectives. The first installment vested on October 27, 2016 and the second installment vested on October 27, 2017. Vested shares shall be settled within 30 days of the vesting date as set forth in the RSU Award Agreement. These RSUs will expire upon the earlier of the date: (i) when all are settled or (ii) when the Reporting Person ceases to provide services to the Issuer.

Reporting Owners
Reporting Owner Name / Address
Relationships
Director 10% Owner Officer Other
POPE MICHAEL W
C/O SHUTTERFLY, INC.
2800 BRIDGE PARKWAY
REDWOOD CITY, CA 94065


SVP & Chief Financial Officer

Signatures
/s/ Jason Sebring, Attorney-in-Fact 10/31/2017
** Signature of Reporting Person Date


Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
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