Texas Stock Appreciation Rights Plan of The Todd-AO Corporation

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-403A
• Format: Word; Rich Text

Description

18-403A 18-403A . . . Stock Appreciation Rights Plan which provides for granting of (a) SARs to employees, directors and consultants and (b) limited stock appreciation rights to persons who are subject to Section 16 of Exchange Act. Limited rights have same terms and conditions as SARs except that limited rights are automatically exercised on date established, without any action on part of grantee, which is at least six months after grant of limited right. To extent limited right is exercised, related SAR is canceled and vice versa. The purpose of limited right is to provide grantees who are subject to short swing profit recovery provisions of Exchange Act with benefits associated with exercise of SARs even though exercise occurs outside of "window period" prescribed by SEC The Texas Stock Appreciation Rights Plan of The Todd-AO Corporation is a comprehensive compensation program designed to incentivize and reward key employees. This plan provides eligible participants with stock appreciation rights (SARS) that grant them the opportunity to profit from the increase in the company's stock price over a certain period. Under this plan, employees are granted SARS, which are essentially a form of derivatives. These rights are issued by the company and allow participants to receive a cash payment equal to the appreciation in the company's stock value between the grant date and the exercise date. The value of this SARS is determined by the increase in the market price of the company's stock during the specified period. The Texas Stock Appreciation Rights Plan of The Todd-AO Corporation offers various types of SARS, each with its own unique features and conditions. These types may include Phantom SARS, Tandem SARS, Reload SARS, and Deferred SARS. 1. Phantom SARS: Phantom SARS do not grant actual ownership of company stock, but they entitle participants to receive cash payments based on the stock price appreciation. 2. Tandem SARS: Tandem SARS are granted in combination with stock options. They allow participants to choose between exercising the SARS or exercising the stock options. 3. Reload SARS: Reload SARS allow participants to receive additional SARS upon the exercise of previously granted SARS. This feature ensures that participants can continue to benefit from stock price appreciation even after exercising their initial SARS. 4. Deferred SARS: Deferred SARS provide participants with the flexibility to delay the exercise of their SARS until a predetermined future date. This allows participants to potentially benefit from further stock price appreciation. The Texas Stock Appreciation Rights Plan is carefully structured to align the interests of key employees with the company's performance and shareholder value. By granting participants the opportunity to benefit from stock price appreciation, the plan serves as a powerful motivational tool and encourages employees to contribute to the long-term success and growth of The Todd-AO Corporation.

The Texas Stock Appreciation Rights Plan of The Todd-AO Corporation is a comprehensive compensation program designed to incentivize and reward key employees. This plan provides eligible participants with stock appreciation rights (SARS) that grant them the opportunity to profit from the increase in the company's stock price over a certain period. Under this plan, employees are granted SARS, which are essentially a form of derivatives. These rights are issued by the company and allow participants to receive a cash payment equal to the appreciation in the company's stock value between the grant date and the exercise date. The value of this SARS is determined by the increase in the market price of the company's stock during the specified period. The Texas Stock Appreciation Rights Plan of The Todd-AO Corporation offers various types of SARS, each with its own unique features and conditions. These types may include Phantom SARS, Tandem SARS, Reload SARS, and Deferred SARS. 1. Phantom SARS: Phantom SARS do not grant actual ownership of company stock, but they entitle participants to receive cash payments based on the stock price appreciation. 2. Tandem SARS: Tandem SARS are granted in combination with stock options. They allow participants to choose between exercising the SARS or exercising the stock options. 3. Reload SARS: Reload SARS allow participants to receive additional SARS upon the exercise of previously granted SARS. This feature ensures that participants can continue to benefit from stock price appreciation even after exercising their initial SARS. 4. Deferred SARS: Deferred SARS provide participants with the flexibility to delay the exercise of their SARS until a predetermined future date. This allows participants to potentially benefit from further stock price appreciation. The Texas Stock Appreciation Rights Plan is carefully structured to align the interests of key employees with the company's performance and shareholder value. By granting participants the opportunity to benefit from stock price appreciation, the plan serves as a powerful motivational tool and encourages employees to contribute to the long-term success and growth of The Todd-AO Corporation.