Montana Stock Option Plan (SOP) is a comprehensive program designed to provide executive officers with the opportunity to acquire company stock through the grant of Incentive Stock Options (SOS) and Nonqualified Stock Options (SOS). This plan is specifically tailored for executive officers and aims to align their interests with those of the company's shareholders. SOS are a type of stock option that provides certain tax advantages to the holders. These options offer executives the ability to purchase company stock at a predetermined price, known as the exercise price, over a specified period of time. In order to qualify for favorable tax treatment, SOS must adhere to specific Internal Revenue Service (IRS) guidelines, such as a maximum grant value and a minimum holding period. On the other hand, SOS do not qualify for the same tax benefits as SOS. They offer executive officers the flexibility to purchase company stock at a predetermined exercise price, but without the strict IRS guidelines. SOS are more versatile in terms of grant value and may be exercised immediately or over a predetermined period. Montana Stock Option Plan may consist of multiple types, such as: 1. Montana Incentive Stock Option Plan: Specifically focuses on providing executive officers with SOS. It includes provisions and guidelines set forth by the IRS to qualify for favorable tax treatment. 2. Montana Nonqualified Stock Option Plan: Concentrates on granting SOS to executive officers. These options are not subject to the same IRS rules and provide more flexibility in terms of grant value and exercise period. Both types of options, Incentive Stock Options and Nonqualified Stock Options, aim to provide executive officers with a form of equity participation and incentivize them to contribute to the long-term success of the company. The specific details and terms of the Montana Stock Option Plan are outlined in the relevant plan documents and agreements provided by the company to its executive officers.