Maine Stock Appreciation Right Plan is a type of employee compensation plan implemented by Helene Curtis Industries, Inc. In this plan, employees are granted Stock Appreciation Rights (SARS) as a form of incentive and reward. SARS are typically given to key employees as part of their compensation package. The Maine Stock Appreciation Right Plan is designed to provide employees with the opportunity to benefit from the appreciation in the company's stock value over a specified period. This plan aims to align the interests of employees with those of the shareholders, encouraging employees to contribute to the company's growth and success. Under this plan, employees are granted the right to receive a cash payout, equal to the increase in the company's stock value from the date of grant to the exercise date. Employees do not own actual shares of the company, but rather the right to receive the equivalent monetary value of the appreciation in stock price. There are different types of Maine Stock Appreciation Right Plans offered by Helene Curtis Industries, Inc. These variations may include: 1. Performance-Based SARS: This SARS is granted based on the achievement of specific performance goals, such as revenue targets, profitability, or market share. Employees are entitled to the appreciation in stock price only if the predetermined performance goals are met. 2. Time-Vested SARS: This type of SARS plan grants employees the right to receive the appreciation in stock value over a predefined period. The SARS may vest gradually over several years, incentivizing long-term commitment and loyalty. 3. Combination SARS: Some variations of the Maine Stock Appreciation Right Plan may combine both performance-based and time-vested SARS. This hybrid plan rewards employees for achieving specific performance targets and also recognizes their long-term commitment to the company. The Maine Stock Appreciation Right Plan aims to motivate employees to contribute to the company's growth and profitability, while also providing them with tangible rewards for their efforts. By aligning the interests of employees and shareholders, the plan encourages employees to think and act like owners, ultimately benefiting both the individuals and the company as a whole.