Maryland 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

Maryland Book Value Phantom Stock Plan of First Florida Banks, Inc. is a unique compensation plan designed for employees of the banking institution. This specialized plan allows employees to receive virtual shares, known as phantom stock, which replicate the value of actual company stock without the issuance of any real shares. The Maryland Book Value Phantom Stock Plan is primarily based on the book value of the company, which represents the net value of its assets after deducting liabilities. By utilizing this measure, employees can benefit from the overall growth and success of the company without the need for actual equity ownership. With Maryland Book Value Phantom Stock Plan, employees receive a set number of phantom shares, typically determined by their position within the organization or their level of performance. These phantom shares are linked to the book value of First Florida Banks, Inc., and increase or decrease in value based on the company's financial health and performance. One advantage of the Maryland Book Value Phantom Stock Plan is that it allows employees to gain potential financial rewards as the company prospers, similar to those holding actual company stocks. Additionally, the plan provides a sense of ownership and aligns the employees' interests with the long-term success of the organization. There are various types or variations of the Maryland Book Value Phantom Stock Plan within First Florida Banks, Inc. These may include: 1. Performance-Based Phantom Stock Plan: This variant of the plan offers employees the opportunity to earn additional phantom stock based on their individual or team performance, encouraging exceptional contributions and rewarding high achievers accordingly. 2. Seniority-Based Phantom Stock Plan: This plan grants employees a higher allocation of phantom stock based on their years of service within the company. It provides an incentive for long-term dedication and loyalty to First Florida Banks, Inc. 3. Position-Specific Phantom Stock Plan: Certain positions within the organization may be eligible for a unique variant of the Maryland Book Value Phantom Stock Plan, tailored to the specific role's responsibilities and impact on the company's success. 4. Restricted Vesting Phantom Stock Plan: In this type of plan, employees receive phantom stock with certain restrictions on its vesting. These restrictions could be based on tenure, performance goals, or other predetermined criteria. Once the conditions are met, the phantom stock is fully vested and becomes eligible for conversion into cash or company shares. The Maryland Book Value Phantom Stock Plan plays a pivotal role in attracting and retaining talented employees within First Florida Banks, Inc., fostering a strong sense of ownership and encouraging alignment of interests between employees and the company's growth objectives.