New Jersey Employee Stock Purchase Plan of Charming Shoppes, Inc.

• Category: Corporations - Public - Employees
• State: Multi-State
• Control #: US-CC-19-119
• Format: Word; Rich Text

Description

19-119 19-119 . . . Employee Stock Purchase Plan under which each employee can contribute from 1% to 10% of earnings through payroll deductions, and contributions are credited to account maintained on behalf of each employee by brokerage firm designated as custodian under Plan. So long as Plan is operated as "discount plan", corporation will sell shares directly to custodian at a price equal to lesser of 85% of fair market value of common stock at beginning of offering period or 85% of fair market value of common stock on purchase date. If Board designates Plan as a "matching plan", such discounted sales by corporation would be discontinued, but corporation instead would make matching contribution equal to 15% of employees' payroll contributions to be used by custodian to make market purchases of common stock at or promptly after purchase date

The New Jersey Employee Stock Purchase Plan of Charming Shoppes, Inc. (now part of Ascent Retail Group) was a company-sponsored program that allowed eligible employees in New Jersey to purchase company stock at a discounted rate. This plan was designed to offer employees a convenient and attractive way to become shareholders and benefit from the company's success. The New Jersey Employee Stock Purchase Plan provided employees with the opportunity to acquire Charming Shoppes' common stock through payroll deductions. The stock was offered at a discounted price, typically at a percentage below the market value, making it a cost-effective option for employees to participate in the company's growth. There may be different types or variants of the New Jersey Employee Stock Purchase Plan of Charming Shoppes, Inc. based on specific eligibility criteria or plan features. However, specific names or details of these different types could not be found during research. Participating in the New Jersey Employee Stock Purchase Plan was voluntary, allowing employees to choose the percentage of their pre-tax pay they wanted to contribute towards purchasing company stock. This allowed employees to build ownership in the company over time while potentially gaining financial advantages. The plan provided employees with several advantages, including the ability to accumulate shares in a tax-advantaged manner and potentially benefit from future stock price appreciation. Additionally, the purchase price discount presented an immediate savings opportunity for participating employees. It was an effective way for employees to align their interests with those of the company and reap potential financial rewards as the business prospered. Overall, with the New Jersey Employee Stock Purchase Plan of Charming Shoppes, Inc., qualified employees had the chance to become shareholders in the company and reap the rewards of their investment as the stock price and company performance improved. The plan was designed to incentivize and engage employees, fostering a sense of ownership and commitment to the success of the business.