Michigan Long Term Incentive Program for Senior Management

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

Description

20-162L 20-162L . . . Long Term Incentive Program For Senior Management under which Compensation Committee may award (a) stock appreciation rights and (b) performance share units. Performance share units entitle holder to receive cash payment equal to (i) average market price of one share of corporation common stock during December ("Measuring Month") in third calendar year following year in which award is made, plus (ii) aggregate dividends with respect to one share of corporation common stock from January 1 of year in which award is made until last day of Measuring Month. At maturity, number of units initially awarded shall be (i) multiplied by fraction that corresponds to average annual percentage increase or decrease in book value per share of corporation common stock over four year period prior to maturity, and (ii) then further adjusted based on ratio of market value of corporation common stock to its book value as compared to that of comparable electric utility companies The Michigan Long Term Incentive Program for Senior Management is a program designed to provide additional compensation and incentives to senior executives in Michigan-based companies. This program aims to attract and retain top talent, reward long-term performance, and align the interests of executives with those of the company and its shareholders. One type of Michigan Long Term Incentive Program for Senior Management is the Stock Options Plan. Under this plan, senior executives are granted the option to purchase company stock at a predetermined price, known as the exercise price. The options typically vest over a specified period, encouraging executives to stay with the company and contribute to its long-term success. When the stock price increases above the exercise price, executives can exercise their options and profit from the appreciation. Another type of program is the Restricted Stock Unit (RSU) Plan. RSS are grants of company stock that typically vest over a certain time period or upon achieving specific performance goals. Unlike stock options, RSS do not require executives to purchase shares, as they are granted outright. The value of the RSS is linked to the company's stock price, providing an incentive for executives to drive the stock's performance. A Performance Shares Unit (PSU) Plan is another type of long-term incentive program available in Michigan. Under this plan, executives receive grants of units that represent a certain number of shares. The value of the Plus is tied to specific performance goals, such as revenue growth or profitability targets. Executives are rewarded with the actual shares or cash equivalent based on the achievement of these goals after a specified vesting period. Michigan Long Term Incentive Programs for Senior Management often include a mix of these different types of grants, allowing executives to diversify their compensation package. By incorporating these incentives, companies can motivate senior management to focus on achieving long-term strategic objectives, increase shareholder value, and enhance overall company performance. In summary, the Michigan Long Term Incentive Program for Senior Management offers various types of incentives such as stock options, restricted stock units, and performance share units. These programs aim to attract and retain top senior executives, align their interests with the company's goals, and reward their long-term performance.

The Michigan Long Term Incentive Program for Senior Management is a program designed to provide additional compensation and incentives to senior executives in Michigan-based companies. This program aims to attract and retain top talent, reward long-term performance, and align the interests of executives with those of the company and its shareholders. One type of Michigan Long Term Incentive Program for Senior Management is the Stock Options Plan. Under this plan, senior executives are granted the option to purchase company stock at a predetermined price, known as the exercise price. The options typically vest over a specified period, encouraging executives to stay with the company and contribute to its long-term success. When the stock price increases above the exercise price, executives can exercise their options and profit from the appreciation. Another type of program is the Restricted Stock Unit (RSU) Plan. RSS are grants of company stock that typically vest over a certain time period or upon achieving specific performance goals. Unlike stock options, RSS do not require executives to purchase shares, as they are granted outright. The value of the RSS is linked to the company's stock price, providing an incentive for executives to drive the stock's performance. A Performance Shares Unit (PSU) Plan is another type of long-term incentive program available in Michigan. Under this plan, executives receive grants of units that represent a certain number of shares. The value of the Plus is tied to specific performance goals, such as revenue growth or profitability targets. Executives are rewarded with the actual shares or cash equivalent based on the achievement of these goals after a specified vesting period. Michigan Long Term Incentive Programs for Senior Management often include a mix of these different types of grants, allowing executives to diversify their compensation package. By incorporating these incentives, companies can motivate senior management to focus on achieving long-term strategic objectives, increase shareholder value, and enhance overall company performance. In summary, the Michigan Long Term Incentive Program for Senior Management offers various types of incentives such as stock options, restricted stock units, and performance share units. These programs aim to attract and retain top senior executives, align their interests with the company's goals, and reward their long-term performance.