Maine Stock Option and Dividend Equivalent Plan with exhibits of UGI Corp.

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-305
• Format: Word; Rich Text

Description

18-305 18-305 . . . Stock Option and Dividend Equivalent Plan which provides for issuance of Non-qualified Stock Options and Dividend Equivalents. From date of grant of option until earlier of (a) end of period selected by Committee over which total return realizable by stockholder of corporation on a share of stock is compared to that realizable by stockholders of companies in a Comparison Group ("Performance Period") or (b) date of participant's disability, death or termination of employment, corporation shall keep records for such participant ("Account") and shall credit Account with an amount equal to Dividend Equivalent associated with such option. Committee will determine measurable criteria pursuant to which total return realizable by stockholder on share of stock over applicable Performance Period can be compared to that realizable over same Performance Period by stockholders of Comparison Group. Extent to which participant receives payment of Dividend Equivalents will be determined by comparing such total return realizable by stockholder of the corporation to that realizable by stockholders of Comparison Group Maine Stock Option and Dividend Equivalent Plan (MSO DEP) is an employee benefit plan offered by UGI Corp., a leading global energy company. This plan enables eligible employees of UGI Corp., including its subsidiaries and affiliated companies in Maine, to purchase company stock and participate in dividend equivalent payments. The MSO DEP provides employees with the opportunity to acquire company stock at a predetermined price, known as the exercise price. This option is generally granted as part of the employee's compensation package and allows them to purchase company shares at a predetermined future date, known as the vesting period. By granting stock options, UGI Corp. aims to align the interests of its employees with the company's performance and enhance employee retention. In addition to stock options, the MSO DEP also offers a dividend equivalent component, allowing eligible employees to receive cash payments equivalent to the dividends paid to shareholders on their granted stock options. This feature ensures that participating employees who hold in-the-money options, where the exercise price is lower than the stock's current market price, can still benefit from any dividends declared during the vesting period. The MSO DEP plays a crucial role in UGI Corp.'s overall compensation strategy, encouraging long-term commitment and motivation among its employees. By providing a direct link between employee rewards and shareholder value creation, UGI Corp. aims to foster a shared sense of ownership and incentivize employees to drive company growth and success. Exhibit A: Sample MSO DEP Agreement To illustrate the structure and terms of the MSO DEP, see the attached exhibit (Exhibit A). This exhibit outlines the important provisions of the plan, including the exercise price, vesting period, payment terms, and eligibility criteria. It also specifies the dividend equivalent component and how it is calculated and disbursed. Exhibit B: MSO DEP Tiered Option Structure UGI Corp. offers different tiers or categories of stock options within the MSO DEP. Exhibit B provides an overview of these tiers, outlining the varying exercise prices, vesting periods, and other parameters associated with each category. This exhibit emphasizes the diverse options available to employees based on their job level or tenure within the organization. Exhibit C: Historical Performance and Employee Benefit To showcase the potential value of participating in the MSO DEP, Exhibit C presents a historical performance graph depicting UGI Corp.'s stock price over a specific period. Additionally, this exhibit highlights the monetary benefits reaped by employees who exercised their stock options during the illustrated period, including any dividend equivalent payments received. In conclusion, the Maine Stock Option and Dividend Equivalent Plan (MSO DEP) offered by UGI Corp. is a comprehensive employee benefit plan that allows eligible employees to acquire and benefit from company stock. This plan combines stock options with dividend equivalent payments, ensuring both capital appreciation and participation in company dividends. UGI Corp. establishes various tiers of stock options within the MSO DEP, tailoring the program to different employee profiles. The mentioned exhibits provide an in-depth understanding of the plan's structure, agreements, and potential benefits, empowering employees with essential information for financial planning and decision-making.

Maine Stock Option and Dividend Equivalent Plan (MSO DEP) is an employee benefit plan offered by UGI Corp., a leading global energy company. This plan enables eligible employees of UGI Corp., including its subsidiaries and affiliated companies in Maine, to purchase company stock and participate in dividend equivalent payments. The MSO DEP provides employees with the opportunity to acquire company stock at a predetermined price, known as the exercise price. This option is generally granted as part of the employee's compensation package and allows them to purchase company shares at a predetermined future date, known as the vesting period. By granting stock options, UGI Corp. aims to align the interests of its employees with the company's performance and enhance employee retention. In addition to stock options, the MSO DEP also offers a dividend equivalent component, allowing eligible employees to receive cash payments equivalent to the dividends paid to shareholders on their granted stock options. This feature ensures that participating employees who hold in-the-money options, where the exercise price is lower than the stock's current market price, can still benefit from any dividends declared during the vesting period. The MSO DEP plays a crucial role in UGI Corp.'s overall compensation strategy, encouraging long-term commitment and motivation among its employees. By providing a direct link between employee rewards and shareholder value creation, UGI Corp. aims to foster a shared sense of ownership and incentivize employees to drive company growth and success. Exhibit A: Sample MSO DEP Agreement To illustrate the structure and terms of the MSO DEP, see the attached exhibit (Exhibit A). This exhibit outlines the important provisions of the plan, including the exercise price, vesting period, payment terms, and eligibility criteria. It also specifies the dividend equivalent component and how it is calculated and disbursed. Exhibit B: MSO DEP Tiered Option Structure UGI Corp. offers different tiers or categories of stock options within the MSO DEP. Exhibit B provides an overview of these tiers, outlining the varying exercise prices, vesting periods, and other parameters associated with each category. This exhibit emphasizes the diverse options available to employees based on their job level or tenure within the organization. Exhibit C: Historical Performance and Employee Benefit To showcase the potential value of participating in the MSO DEP, Exhibit C presents a historical performance graph depicting UGI Corp.'s stock price over a specific period. Additionally, this exhibit highlights the monetary benefits reaped by employees who exercised their stock options during the illustrated period, including any dividend equivalent payments received. In conclusion, the Maine Stock Option and Dividend Equivalent Plan (MSO DEP) offered by UGI Corp. is a comprehensive employee benefit plan that allows eligible employees to acquire and benefit from company stock. This plan combines stock options with dividend equivalent payments, ensuring both capital appreciation and participation in company dividends. UGI Corp. establishes various tiers of stock options within the MSO DEP, tailoring the program to different employee profiles. The mentioned exhibits provide an in-depth understanding of the plan's structure, agreements, and potential benefits, empowering employees with essential information for financial planning and decision-making.