Wake North Carolina Eligible Directors' Stock Option Plan of Wyle Electronics

• Category: Corporations - Public - Stock Options
• State: Multi-State
• County: Wake
• Control #: US-CC-18-362C
• Format: Word; Rich Text

Description

18-362C 18-362C . . . Eligible Directors' Stock Option Plan under which (a) each outside director who was in office on October 1, 1996 was granted, subject to stockholder approval of Plan, option to purchase 4,000 shares of stock and each outside director who first takes office after October 1, 1996 will receive a one-time initial option to purchase 10,000 shares of stock, and (b) each outside director in office on October 1, 1996 will be granted an option on April 1 of each year commencing in 1997 to purchase 4,000 shares of stock provided he or she is in office on date of grant, and each outside director who takes office after October 1, 1996 will be granted an option on April 1 of each year to purchase 6,000 shares of stock provided he or she is in office on date of grant. Exercise price of all options is fair market value on date of grant. All options are exercisable six months after date of grant The Wake North Carolina Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive compensation program designed specifically for eligible directors of the company. This plan offers an opportunity to purchase company stocks at a predetermined price, allowing directors to benefit from the potential growth and success of Kyle Electronics. The key purpose of the Wake North Carolina Eligible Directors' Stock Option Plan is to incentivize eligible directors to contribute their expertise and guidance to the company by aligning their interests with the shareholders. This program also serves as a powerful tool for attracting and retaining top-notch talent in the board of directors. Under the plan, eligible directors are granted stock options, which provide the right to purchase a specific number of shares of Kyle Electronics stock at a predetermined price, known as the exercise price. The exercise price is typically set equal to the market price of the stock on the date of the grant. The Wake North Carolina Eligible Directors' Stock Option Plan may have different types, depending on the terms and conditions set by Kyle Electronics. These types may include: 1. Non-Qualified Stock Options: These options do not meet specific requirements outlined by the Internal Revenue Code for preferential tax treatment. However, they still offer directors the opportunity to purchase company stocks at a favorable price. 2. Incentive Stock Options: These options are granted with the intention of qualifying for favorable taxation treatment under the Internal Revenue Code. They often come with additional requirements, such as a holding period before the stocks can be sold. 3. Restricted Stock Units: In certain cases, the plan may offer restricted stock units instead of traditional stock options. Restricted stock units represent a promise to deliver shares of Kyle Electronics stock at a specific future date, provided that certain conditions, like continued service as a director, are met. It is important for eligible directors to carefully review the terms and conditions of the Wake North Carolina Eligible Directors' Stock Option Plan to fully understand the rights and obligations associated with their stock options. Additionally, directors should consult with professional advisors to ensure compliance with any applicable tax or regulatory considerations. Overall, the Wake North Carolina Eligible Directors' Stock Option Plan is an integral component of Kyle Electronics' corporate governance structure, providing a valuable mechanism to reward and inspire its eligible directors while fostering shareholder alignment and value creation within the company.

The Wake North Carolina Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive compensation program designed specifically for eligible directors of the company. This plan offers an opportunity to purchase company stocks at a predetermined price, allowing directors to benefit from the potential growth and success of Kyle Electronics. The key purpose of the Wake North Carolina Eligible Directors' Stock Option Plan is to incentivize eligible directors to contribute their expertise and guidance to the company by aligning their interests with the shareholders. This program also serves as a powerful tool for attracting and retaining top-notch talent in the board of directors. Under the plan, eligible directors are granted stock options, which provide the right to purchase a specific number of shares of Kyle Electronics stock at a predetermined price, known as the exercise price. The exercise price is typically set equal to the market price of the stock on the date of the grant. The Wake North Carolina Eligible Directors' Stock Option Plan may have different types, depending on the terms and conditions set by Kyle Electronics. These types may include: 1. Non-Qualified Stock Options: These options do not meet specific requirements outlined by the Internal Revenue Code for preferential tax treatment. However, they still offer directors the opportunity to purchase company stocks at a favorable price. 2. Incentive Stock Options: These options are granted with the intention of qualifying for favorable taxation treatment under the Internal Revenue Code. They often come with additional requirements, such as a holding period before the stocks can be sold. 3. Restricted Stock Units: In certain cases, the plan may offer restricted stock units instead of traditional stock options. Restricted stock units represent a promise to deliver shares of Kyle Electronics stock at a specific future date, provided that certain conditions, like continued service as a director, are met. It is important for eligible directors to carefully review the terms and conditions of the Wake North Carolina Eligible Directors' Stock Option Plan to fully understand the rights and obligations associated with their stock options. Additionally, directors should consult with professional advisors to ensure compliance with any applicable tax or regulatory considerations. Overall, the Wake North Carolina Eligible Directors' Stock Option Plan is an integral component of Kyle Electronics' corporate governance structure, providing a valuable mechanism to reward and inspire its eligible directors while fostering shareholder alignment and value creation within the company.