Colorado Stock Option Plan of Hayes Wheels International, Inc., which provides for grant of Incentive Stock Options and Nonqualified Stock Options

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-345E
• Format: Word; Rich Text

Description

18-345E 18-345E . . . Stock Option Plan which provides for grant of Incentive Stock Options and Non-qualified Stock Options and (b) initial option grants to certain named officers, employees and consultants which contain specific Time Conditions and Performance Conditions as follows: number of shares underlying each option grant is divided into five equal portions which are designated Tranche A through Tranche E. Twenty percent of shares included in each of Tranches A through E shall satisfy Time Condition if optionee is employee or consultant on January 31, 1997 and on each January 31 thereafter. One hundred percent of shares included in each of Tranches A through E satisfy Performance Condition if average per share price of common stock for any consecutive twenty trading days on principal exchange on which common stock is traded equals or exceeds following prices: Tranche A - $16 per share, Tranche B - $32 per share, Tranche C - $48 per share, Tranche D - $64 per share, Tranche E - $80 per share. Notwithstanding above, Initial Grants become fully exercisable on ninth anniversary of date of grant Colorado Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that is designed to provide employees with stock options as part of their compensation package. The plan offers a range of options, including Incentive Stock Options (SOS) and Nonqualified Stock Options (SOS), to eligible participants. Incentive Stock Options (SOS) are a type of stock option granted to employees that can offer certain tax advantages. These options are typically granted at a specific price, known as the exercise price or strike price, and can only be exercised after a predetermined period of time. To enjoy the favorable tax treatment, SOS must be held for at least one year from the date of exercise and two years from the date of grant. On the other hand, Nonqualified Stock Options (SOS) are stock options that do not qualify for the same tax advantages as SOS. While SOS do not have the same restrictions regarding exercise and holding periods, they are typically subject to ordinary income tax upon exercise. Hayes Wheels International, Inc.'s Colorado Stock Option Plan allows eligible employees to receive either Incentive Stock Options or Nonqualified Stock Options, depending on their individual circumstances and the company's discretion. This flexibility ensures that employees can benefit from stock ownership by tailoring the stock option type to their specific needs and financial goals. The plan also outlines the terms and conditions for granting, exercising, and vesting of stock options, as well as any restrictions or limitations that may apply. Participants in the plan can typically exercise their stock options once they have vested, subject to certain rules and regulations defined in the plan documents. Overall, the Colorado Stock Option Plan of Hayes Wheels International, Inc. aims to incentivize and reward employees by providing them with the opportunity to share in the company's success through stock ownership. By offering both Incentive Stock Options and Nonqualified Stock Options, the plan allows employees to choose an option type that aligns with their financial objectives and maximizes their potential benefits.

Colorado Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that is designed to provide employees with stock options as part of their compensation package. The plan offers a range of options, including Incentive Stock Options (SOS) and Nonqualified Stock Options (SOS), to eligible participants. Incentive Stock Options (SOS) are a type of stock option granted to employees that can offer certain tax advantages. These options are typically granted at a specific price, known as the exercise price or strike price, and can only be exercised after a predetermined period of time. To enjoy the favorable tax treatment, SOS must be held for at least one year from the date of exercise and two years from the date of grant. On the other hand, Nonqualified Stock Options (SOS) are stock options that do not qualify for the same tax advantages as SOS. While SOS do not have the same restrictions regarding exercise and holding periods, they are typically subject to ordinary income tax upon exercise. Hayes Wheels International, Inc.'s Colorado Stock Option Plan allows eligible employees to receive either Incentive Stock Options or Nonqualified Stock Options, depending on their individual circumstances and the company's discretion. This flexibility ensures that employees can benefit from stock ownership by tailoring the stock option type to their specific needs and financial goals. The plan also outlines the terms and conditions for granting, exercising, and vesting of stock options, as well as any restrictions or limitations that may apply. Participants in the plan can typically exercise their stock options once they have vested, subject to certain rules and regulations defined in the plan documents. Overall, the Colorado Stock Option Plan of Hayes Wheels International, Inc. aims to incentivize and reward employees by providing them with the opportunity to share in the company's success through stock ownership. By offering both Incentive Stock Options and Nonqualified Stock Options, the plan allows employees to choose an option type that aligns with their financial objectives and maximizes their potential benefits.