Rhode Island Eligible Directors' Stock Option Plan of Wyle Electronics

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-362C
• Format: Word; Rich Text

Description

18-362C 18-362C . . . Eligible Directors' Stock Option Plan under which (a) each outside director who was in office on October 1, 1996 was granted, subject to stockholder approval of Plan, option to purchase 4,000 shares of stock and each outside director who first takes office after October 1, 1996 will receive a one-time initial option to purchase 10,000 shares of stock, and (b) each outside director in office on October 1, 1996 will be granted an option on April 1 of each year commencing in 1997 to purchase 4,000 shares of stock provided he or she is in office on date of grant, and each outside director who takes office after October 1, 1996 will be granted an option on April 1 of each year to purchase 6,000 shares of stock provided he or she is in office on date of grant. Exercise price of all options is fair market value on date of grant. All options are exercisable six months after date of grant The Rhode Island Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive compensation program designed specifically for eligible directors serving on the board of Kyle Electronics in Rhode Island. This stock option plan provides a means of incentivizing and rewarding directors for their contributions to the company's success. Under this plan, eligible directors are granted the opportunity to purchase a specified number of company shares at a predetermined exercise price. These stock options are typically granted as part of the overall director compensation package and serve as an effective tool for aligning the interests of directors with those of the company's shareholders. The Rhode Island Eligible Directors' Stock Option Plan provides several key benefits for eligible directors. Firstly, it allows directors to participate in the company's financial performance and share in the potential growth of the company's stock value. This incentivizes directors to work towards the long-term success and profitability of Kyle Electronics. Secondly, these stock options offer a tax advantage for eligible directors. Depending on the plan, directors may be able to defer the tax liability associated with the stock options until they exercise their rights and sell the stock. This can provide significant tax savings for directors, enhancing the overall value of their compensation package. Furthermore, the Rhode Island Eligible Directors' Stock Option Plan typically includes vesting provisions, which means that directors must meet certain criteria, such as remaining on the board for a specified period of time, before they can exercise their stock options. This helps to ensure that directors are committed to the company's long-term success and motivates them to continue serving on the board. It's important to mention that there may be different types of Rhode Island Eligible Directors' Stock Option Plans, each with its unique terms and conditions. Some plans may have a graded vesting schedule, where the percentage of stock options exercisable increases over time. Other plans may have performance-based criteria that must be met before directors can exercise their stock options. These variations in the plan design allow for flexibility in tailoring the compensation package to suit the specific needs and objectives of Kyle Electronics. In conclusion, the Rhode Island Eligible Directors' Stock Option Plan is a valuable component of Kyle Electronics' director compensation program, offering eligible directors the opportunity to benefit from the company's success and aligning their long-term interests with those of the company and its shareholders.

The Rhode Island Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive compensation program designed specifically for eligible directors serving on the board of Kyle Electronics in Rhode Island. This stock option plan provides a means of incentivizing and rewarding directors for their contributions to the company's success. Under this plan, eligible directors are granted the opportunity to purchase a specified number of company shares at a predetermined exercise price. These stock options are typically granted as part of the overall director compensation package and serve as an effective tool for aligning the interests of directors with those of the company's shareholders. The Rhode Island Eligible Directors' Stock Option Plan provides several key benefits for eligible directors. Firstly, it allows directors to participate in the company's financial performance and share in the potential growth of the company's stock value. This incentivizes directors to work towards the long-term success and profitability of Kyle Electronics. Secondly, these stock options offer a tax advantage for eligible directors. Depending on the plan, directors may be able to defer the tax liability associated with the stock options until they exercise their rights and sell the stock. This can provide significant tax savings for directors, enhancing the overall value of their compensation package. Furthermore, the Rhode Island Eligible Directors' Stock Option Plan typically includes vesting provisions, which means that directors must meet certain criteria, such as remaining on the board for a specified period of time, before they can exercise their stock options. This helps to ensure that directors are committed to the company's long-term success and motivates them to continue serving on the board. It's important to mention that there may be different types of Rhode Island Eligible Directors' Stock Option Plans, each with its unique terms and conditions. Some plans may have a graded vesting schedule, where the percentage of stock options exercisable increases over time. Other plans may have performance-based criteria that must be met before directors can exercise their stock options. These variations in the plan design allow for flexibility in tailoring the compensation package to suit the specific needs and objectives of Kyle Electronics. In conclusion, the Rhode Island Eligible Directors' Stock Option Plan is a valuable component of Kyle Electronics' director compensation program, offering eligible directors the opportunity to benefit from the company's success and aligning their long-term interests with those of the company and its shareholders.