Alaska Employee Stock Purchase Plan of Charming Shoppes, Inc.

• Category: Corporations - Public - Employees
• State: Multi-State
• Control #: US-CC-19-119
• Format: Word; Rich Text

Description

19-119 19-119 . . . Employee Stock Purchase Plan under which each employee can contribute from 1% to 10% of earnings through payroll deductions, and contributions are credited to account maintained on behalf of each employee by brokerage firm designated as custodian under Plan. So long as Plan is operated as "discount plan", corporation will sell shares directly to custodian at a price equal to lesser of 85% of fair market value of common stock at beginning of offering period or 85% of fair market value of common stock on purchase date. If Board designates Plan as a "matching plan", such discounted sales by corporation would be discontinued, but corporation instead would make matching contribution equal to 15% of employees' payroll contributions to be used by custodian to make market purchases of common stock at or promptly after purchase date

The Alaska Employee Stock Purchase Plan of Charming Shoppes, Inc. is a unique employee benefit program that offers employees the opportunity to purchase company stocks at a discounted price. This plan is designed to encourage employee participation and allow them to become shareholders in the company. Charming Shoppes, Inc., a renowned retail company, operates various brands, including Lane Bryant, Catherine's, and Fashion Bug. Each brand may have its own specific variant of the Alaska Employee Stock Purchase Plan, tailoring it to meet their individual requirements and goals. The Alaska Employee Stock Purchase Plan provides employees in Alaska with a chance to purchase company stocks through payroll deductions. Employees can allocate a certain percentage of their pre-tax earnings to buy the company's stocks at a lower market price, usually with a discount ranging from 5% to 15%. This program not only serves as an additional employee benefit but also allows employees to invest in their company's success and potentially benefit from its growth. By owning company stocks, employees become more financially engaged and connected with the overall performance of Charming Shoppes, Inc. Some key features of the Alaska Employee Stock Purchase Plan may include: 1. Enrollment Periods: Charming Shoppes, Inc. typically sets specific enrollment periods during which employees can opt to participate in the plan. This ensures proper coordination and administration of the program. 2. Pricing: The discounted price at which employees can purchase the company stocks is often determined based on the market price at a specified date or through a predetermined formula. This allows employees to acquire stocks at a more favorable rate compared to the public. 3. Vesting Schedule: Depending on the plan's terms, employees may need to wait for a specific period before they can fully own the stocks they have purchased. This ensures that employees maintain a long-term commitment to the company's success. 4. Limited Offering Periods: The Alaska Employee Stock Purchase Plan may have specific offering periods when employees can buy the company's stocks. These periods are typically set at regular intervals throughout the year, providing employees with multiple opportunities to participate. 5. Dividend Reinvestment: In some cases, employees may have the option to reinvest dividends paid on the purchased stocks back into additional shares. This feature allows for potential compounding growth in their stock holdings. It is essential for employees to thoroughly review and understand the specific terms and provisions of the Alaska Employee Stock Purchase Plan offered by Charming Shoppes, Inc. This will help them make informed decisions regarding their participation and potential benefits from the program.