North Dakota 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 North Dakota Long Term Incentive Program for Senior Management is designed to attract and retain top talent in executive positions within companies based in North Dakota. This program offers a range of incentives to senior managers, encouraging them to commit to the long-term success and growth of the organization. One type of incentive offered through this program is stock options. Senior managers may be given the opportunity to purchase company stocks at a discounted price or may be granted stocks as part of their compensation package. These stock options provide managers with a vested interest in the company's performance, aligning their goals with those of the organization and motivating them to drive success. Another type of incentive in the program is performance-based bonuses. Senior managers who achieve predetermined objectives and meet or exceed performance targets may be eligible for financial bonuses. These bonuses can be a significant incentive for managers to consistently deliver strong results, as they directly impact their personal financial gain. Additionally, the North Dakota Long Term Incentive Program may include deferred compensation plans. These plans allow senior managers to defer a portion of their income, which is then distributed to them at a later date. This deferred compensation can provide managers with a significant financial reward upon retirement or at other predetermined milestones. The program may also embrace a "clawback" provision, which enables employers to recoup incentive compensation disbursed to senior managers if any financial misconduct or ethical violations occur. This provision acts as a safeguard for companies, encouraging senior managers to uphold high ethical standards and avoid actions that could jeopardize the organization's reputation or financial stability. To participate in the North Dakota Long Term Incentive Program for Senior Management, executives are typically required to meet certain criteria, such as years of experience, proven leadership capabilities, and a commitment to staying with the company for a specified period. This ensures that only qualified senior managers who are genuinely invested in the company's long-term success can benefit from the program. By implementing the North Dakota Long Term Incentive Program for Senior Management, companies in the state can attract and retain top talent in executive roles. These incentives not only enhance the financial well-being of senior managers but also align their interests with the organization's objectives. The program promotes a culture of long-term thinking, strategic decision-making, and performance-driven leadership, which can ultimately lead to sustainable growth and success for North Dakota businesses.

The North Dakota Long Term Incentive Program for Senior Management is designed to attract and retain top talent in executive positions within companies based in North Dakota. This program offers a range of incentives to senior managers, encouraging them to commit to the long-term success and growth of the organization. One type of incentive offered through this program is stock options. Senior managers may be given the opportunity to purchase company stocks at a discounted price or may be granted stocks as part of their compensation package. These stock options provide managers with a vested interest in the company's performance, aligning their goals with those of the organization and motivating them to drive success. Another type of incentive in the program is performance-based bonuses. Senior managers who achieve predetermined objectives and meet or exceed performance targets may be eligible for financial bonuses. These bonuses can be a significant incentive for managers to consistently deliver strong results, as they directly impact their personal financial gain. Additionally, the North Dakota Long Term Incentive Program may include deferred compensation plans. These plans allow senior managers to defer a portion of their income, which is then distributed to them at a later date. This deferred compensation can provide managers with a significant financial reward upon retirement or at other predetermined milestones. The program may also embrace a "clawback" provision, which enables employers to recoup incentive compensation disbursed to senior managers if any financial misconduct or ethical violations occur. This provision acts as a safeguard for companies, encouraging senior managers to uphold high ethical standards and avoid actions that could jeopardize the organization's reputation or financial stability. To participate in the North Dakota Long Term Incentive Program for Senior Management, executives are typically required to meet certain criteria, such as years of experience, proven leadership capabilities, and a commitment to staying with the company for a specified period. This ensures that only qualified senior managers who are genuinely invested in the company's long-term success can benefit from the program. By implementing the North Dakota Long Term Incentive Program for Senior Management, companies in the state can attract and retain top talent in executive roles. These incentives not only enhance the financial well-being of senior managers but also align their interests with the organization's objectives. The program promotes a culture of long-term thinking, strategic decision-making, and performance-driven leadership, which can ultimately lead to sustainable growth and success for North Dakota businesses.