Rhode Island Long Term Performance and Restricted Stock Incentive Plan of Ipalco Enterprises, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-174D
• Format: Word; Rich Text

Description

20-174D 20-174D . . . Restricted Stock Incentive Plan under which Compensation Committee selects participants, determines number of shares of common stock covered by each grant, establishes appropriate performance measures, and chooses appropriate corporation peer group. The number of shares granted is equal to a percentage of participant's base salary for first calendar year of each three-year program. The base salary percentage target of first three-year grants range from 10% to 35%; maximum base salary grant permitted by Plan may not exceed 70% of participant's base salary. After end of a Performance Period, Committee determines adjustments, if any, that are required to be made to share grants for Performance Period based on actual results under Performance Measures (performance of corporation versus its peer group) for such Performance Period. After adjustments, restrictions on shares held by participant are lifted as to 1/3 on July 1 immediately following Performance Period and additional 1/3 increments on the first and second anniversaries of such July 1, provided participant is still employed by corporation on such date. If participant ceases to be employed by corporation before restrictions lapse on shares held by him or her, shares still subject to restrictions are immediately forfeited

The Rhode Island Long Term Performance and Restricted Stock Incentive Plan of INALCOL Enterprises, Inc. is a comprehensive stock-based compensation program designed to attract and retain top talent while aligning employee performance with the company's long-term growth objectives. This plan includes various types of equity awards, each with its own unique features and eligibility requirements. 1. Performance Stock Units (Plus): The Performance Stock Units are awarded to eligible employees based on predetermined performance criteria. These criteria may be financial, operational, or strategic in nature and are established to incentivize employees to achieve specific goals. The number of Plus granted is contingent on the level of performance achieved. Upon vesting, employees receive shares of INALCOL Enterprises, Inc. common stock. 2. Restricted Stock Awards (SAS): Restricted Stock Awards are another component of the Rhode Island Long Term Performance and Restricted Stock Incentive Plan. SAS are granted to eligible employees as an incentive to contribute to the long-term success of the company. These awards consist of a specified number of shares of INALCOL Enterprises, Inc. common stock, subject to certain restrictions such as time-based vesting or achievement of performance goals. 3. Restricted Stock Units (RSS): Similar to SAS, Restricted Stock Units are another type of equity award granted under the plan. RSS represents the right to receive a specific number of shares of INALCOL Enterprises, Inc. common stock at a future date or upon the attainment of specific performance goals. The RSS may vest over time or based on the achievement of pre-established performance targets. 4. Stock Options: The Rhode Island Long Term Performance and Restricted Stock Incentive Plan may also include stock options, which grant eligible employees the right to purchase a predefined number of shares at a predetermined price, known as the exercise price. These options generally have a vesting period and an expiration date, encouraging employees to work towards increasing the company's stock price as they have the potential to realize a profit upon exercising the options. Overall, the Rhode Island Long Term Performance and Restricted Stock Incentive Plan of INALCOL Enterprises, Inc. aims to reward employees for their contribution to the company's success while creating alignment with long-term shareholder value creation. The plan's flexibility and variety of equity awards provide different avenues for incentivizing and retaining employees based on their roles and performance metrics.