Illinois Book Value Phantom Stock Plan of First Florida Banks, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-162A
• Format: Word; Rich Text

Description

20-162A 20-162A . . . Book Value Phantom Stock Plan under which Committee of Board of Directors may, from time to time, grant quantity of phantom shares to selected employees, each share being equivalent to one share of corporation common stock. Phantom shares may be exercised at any time within ten years of date of grant (subject to certain limitations in event of termination of employment) Upon exercise, employee is paid cash equal to increase in underlying net book value per share on fully diluted basis of shares between date of grant and date of exercise The Illinois Book Value Phantom Stock Plan of First Florida Banks, Inc. is a unique compensation plan that provides an opportunity for employees to participate in the growth of the company through a phantom stock ownership model. Here is a detailed description and breakdown of this plan, highlighting its features, benefits, and variations: The Illinois Book Value Phantom Stock Plan is designed to incentivize and reward employees of First Florida Banks, Inc. based in Illinois. This plan is centered around the concept of phantom stock, which is a type of equity-based compensation wherein participants receive hypothetical shares that mirror the actual shares of the company. It allows employees to reap the benefits of stock appreciation and align their interests with the company's long-term goals. Under the Illinois Book Value Phantom Stock Plan, eligible employees are granted a certain number of phantom shares, generally tied to their performance or tenure within the organization. These phantom shares represent a notional ownership stake in the company's stock and are subject to vesting schedules, ensuring that employees remain committed to their roles and contribute positively to the bank's growth. One key feature of this plan is that the valuation of phantom shares is based on the book value of the company. Book value represents the net asset value calculated by subtracting total liabilities from total assets. The use of book value as the valuation metric in this plan offers simplicity and a clear benchmark for determining the growth and value of the phantom stock over time. The Illinois Book Value Phantom Stock Plan provides several advantages to employees. Firstly, it allows them to participate in the growth and success of First Florida Banks, Inc. without actually owning physical company stock. Secondly, the plan provides a sense of ownership that can enhance employee engagement, loyalty, and motivation, leading to increased productivity and job satisfaction. Although the Illinois Book Value Phantom Stock Plan is mainly based on book value, there might be variations or subtypes within the plan to cater to specific employee needs or organizational requirements. Some possible types of Illinois Book Value Phantom Stock Plans of First Florida Banks, Inc. could include: 1. Performance-based Phantom Stock Plan: This variant links the vesting and payout of phantom shares to predefined performance goals or milestones. Employees need to achieve specific targets, such as revenue growth or cost savings, to unlock the full value of their phantom stock units. 2. Tenure-based Phantom Stock Plan: This type of plan rewards employees based on their length of service with the bank. The longer an employee remains with the company, the greater the number of phantom shares granted, reflecting the bank's recognition of loyalty and dedication. 3. Executive Phantom Stock Plan: Tailored specifically for key executives or senior management, this variant of the Illinois Book Value Phantom Stock Plan offers larger allocations of phantom shares, additional performance metrics, and sometimes accelerated vesting schedules. It aims to retain top talent, align executive interests with those of the company, and drive strategic decision-making. In summary, the Illinois Book Value Phantom Stock Plan of First Florida Banks, Inc. is an innovative compensation program that utilizes book value as the benchmark for valuing phantom stock. It provides employees an opportunity to share in the company's growth and success by aligning their interests with the overall performance of the bank. With potential variations such as performance-based, tenure-based, and executive plans, this program offers flexibility to meet the diverse needs of employees in different roles and levels within the organization.

The Illinois Book Value Phantom Stock Plan of First Florida Banks, Inc. is a unique compensation plan that provides an opportunity for employees to participate in the growth of the company through a phantom stock ownership model. Here is a detailed description and breakdown of this plan, highlighting its features, benefits, and variations: The Illinois Book Value Phantom Stock Plan is designed to incentivize and reward employees of First Florida Banks, Inc. based in Illinois. This plan is centered around the concept of phantom stock, which is a type of equity-based compensation wherein participants receive hypothetical shares that mirror the actual shares of the company. It allows employees to reap the benefits of stock appreciation and align their interests with the company's long-term goals. Under the Illinois Book Value Phantom Stock Plan, eligible employees are granted a certain number of phantom shares, generally tied to their performance or tenure within the organization. These phantom shares represent a notional ownership stake in the company's stock and are subject to vesting schedules, ensuring that employees remain committed to their roles and contribute positively to the bank's growth. One key feature of this plan is that the valuation of phantom shares is based on the book value of the company. Book value represents the net asset value calculated by subtracting total liabilities from total assets. The use of book value as the valuation metric in this plan offers simplicity and a clear benchmark for determining the growth and value of the phantom stock over time. The Illinois Book Value Phantom Stock Plan provides several advantages to employees. Firstly, it allows them to participate in the growth and success of First Florida Banks, Inc. without actually owning physical company stock. Secondly, the plan provides a sense of ownership that can enhance employee engagement, loyalty, and motivation, leading to increased productivity and job satisfaction. Although the Illinois Book Value Phantom Stock Plan is mainly based on book value, there might be variations or subtypes within the plan to cater to specific employee needs or organizational requirements. Some possible types of Illinois Book Value Phantom Stock Plans of First Florida Banks, Inc. could include: 1. Performance-based Phantom Stock Plan: This variant links the vesting and payout of phantom shares to predefined performance goals or milestones. Employees need to achieve specific targets, such as revenue growth or cost savings, to unlock the full value of their phantom stock units. 2. Tenure-based Phantom Stock Plan: This type of plan rewards employees based on their length of service with the bank. The longer an employee remains with the company, the greater the number of phantom shares granted, reflecting the bank's recognition of loyalty and dedication. 3. Executive Phantom Stock Plan: Tailored specifically for key executives or senior management, this variant of the Illinois Book Value Phantom Stock Plan offers larger allocations of phantom shares, additional performance metrics, and sometimes accelerated vesting schedules. It aims to retain top talent, align executive interests with those of the company, and drive strategic decision-making. In summary, the Illinois Book Value Phantom Stock Plan of First Florida Banks, Inc. is an innovative compensation program that utilizes book value as the benchmark for valuing phantom stock. It provides employees an opportunity to share in the company's growth and success by aligning their interests with the overall performance of the bank. With potential variations such as performance-based, tenure-based, and executive plans, this program offers flexibility to meet the diverse needs of employees in different roles and levels within the organization.