New Mexico 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 Mexico Employee Stock Purchase Plan offered by Charming Shoppes, Inc. (now part of Ascent Retail Group) allowed eligible employees in the state of New Mexico to purchase company stock at a discounted price. Through this plan, employees could acquire shares of Charming Shoppes, Inc. stock, giving them a sense of ownership and an opportunity to benefit from the company's performance. The New Mexico Employee Stock Purchase Plan was designed to benefit employees by providing a convenient and affordable way to invest in their organization. The plan aimed to encourage employee participation and promote long-term commitment and loyalty. By allowing employees to purchase company stock, Charming Shoppes, Inc. sought to align their interests with shareholders' and foster a sense of shared success. The New Mexico Employee Stock Purchase Plan may have offered different types of stock purchase options, providing flexibility to participants. These options could have included a traditional stock purchase plan, where employees could buy shares at a discounted price either through payroll deductions or lump sum contributions. Another potential option may have been an employee stock purchase program, enabling employees to invest a certain percentage of their paycheck to acquire company stock at a discounted price. Participating in the New Mexico Employee Stock Purchase Plan provided employees with potential financial growth and an opportunity to build long-term wealth. By purchasing stock at a discount, employees could potentially sell their shares at a later date, potentially benefiting from any increase in the stock's value. Additionally, if Charming Shoppes, Inc. offered dividends, employees would have received these payments as well. The New Mexico Employee Stock Purchase Plan was subject to certain eligibility requirements, including length of service and continuous employment. Additionally, there may have been limitations on the maximum percentage of an employee's salary that could be contributed towards stock purchases. Participants would have been provided with detailed guidelines and instructions on how to enroll, contribute, and manage their stock options. In conclusion, the New Mexico Employee Stock Purchase Plan of Charming Shoppes, Inc. was a valuable benefit offered to eligible employees in the state of New Mexico. Through this plan, employees had the opportunity to purchase company stock at a discounted price, align their interests with the company's success, and potentially benefit from the stock's future performance.