Texas Book Value Phantom Stock Plan of First Florida Banks, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-162A
• Format: Word; Rich Text

Description

20-162A 20-162A . . . Book Value Phantom Stock Plan under which Committee of Board of Directors may, from time to time, grant quantity of phantom shares to selected employees, each share being equivalent to one share of corporation common stock. Phantom shares may be exercised at any time within ten years of date of grant (subject to certain limitations in event of termination of employment) Upon exercise, employee is paid cash equal to increase in underlying net book value per share on fully diluted basis of shares between date of grant and date of exercise Texas Book Value Phantom Stock Plan is a type of compensation plan offered by First Florida Banks, Inc. to its employees. This plan is designed to reward and incentivize employees based on the performance and growth of the company. It operates similarly to traditional stock options or restricted stock plans but with certain unique characteristics. In a Texas Book Value Phantom Stock Plan, employees are granted "phantom" or notional shares that mirror the value of the company's stock. The value of these phantom shares is based on the book value of the company's assets, specifically those located in Texas. This means that the plan is tailored to reflect the performance and growth of the company's Texas operations, allowing employees to have a direct stake in the success of this specific branch. The plan utilizes the concept of book value, which represents the net worth of a company based on its financial statements. Book value takes into consideration the company's assets, liabilities, and equity. By linking the phantom shares to the book value of Texas assets, First Florida Banks, Inc. aims to align the interests of its employees with the company's growth and profitability in this particular market. The Texas Book Value Phantom Stock Plan provides employees with an opportunity to earn additional compensation based on the increase in the book value of the company's Texas assets. Employees may receive cash or stock-based payouts at specified periods, determined by the company's discretion, or upon meeting specific performance targets. This plan encourages employees to enhance the company's performance and profitability by driving the growth of its Texas operations. By optimizing key business metrics such as revenue, market share, or asset quality in Texas, employees can indirectly impact the book value and consequently boost their compensation through the phantom stock grants. It's important to note that the Texas Book Value Phantom Stock Plan may have different variations based on the specific terms set by First Florida Banks, Inc. Some variations may include: 1. Performance-based Phantom Stock Plan: This version of the plan links the payout not only to the book value of Texas assets but also to the achievement of predefined performance targets. These targets may include metrics such as return on assets, market share growth, or customer satisfaction ratings. 2. Vesting Schedule: The plan may have a vesting schedule that determines when employees can fully realize the value of their phantom stock grants. This schedule typically spans over several years and encourages employees to stay with the company for a longer duration to maximize their benefits. 3. Retirement or Exit Provisions: The plan may outline provisions for employees who retire or leave the company prior to the full vesting of their phantom stock. These provisions may determine whether the employee can retain a portion of their grants or forfeit them entirely. Overall, the Texas Book Value Phantom Stock Plan serves as a powerful tool for First Florida Banks, Inc. to motivate and retain talented employees while aligning their interests with the company's growth in the Texas market. By offering a stake in the financial success of the company's Texas operations, the plan fosters a sense of ownership and incentivizes employees to contribute to the long-term success of the organization.

Texas Book Value Phantom Stock Plan is a type of compensation plan offered by First Florida Banks, Inc. to its employees. This plan is designed to reward and incentivize employees based on the performance and growth of the company. It operates similarly to traditional stock options or restricted stock plans but with certain unique characteristics. In a Texas Book Value Phantom Stock Plan, employees are granted "phantom" or notional shares that mirror the value of the company's stock. The value of these phantom shares is based on the book value of the company's assets, specifically those located in Texas. This means that the plan is tailored to reflect the performance and growth of the company's Texas operations, allowing employees to have a direct stake in the success of this specific branch. The plan utilizes the concept of book value, which represents the net worth of a company based on its financial statements. Book value takes into consideration the company's assets, liabilities, and equity. By linking the phantom shares to the book value of Texas assets, First Florida Banks, Inc. aims to align the interests of its employees with the company's growth and profitability in this particular market. The Texas Book Value Phantom Stock Plan provides employees with an opportunity to earn additional compensation based on the increase in the book value of the company's Texas assets. Employees may receive cash or stock-based payouts at specified periods, determined by the company's discretion, or upon meeting specific performance targets. This plan encourages employees to enhance the company's performance and profitability by driving the growth of its Texas operations. By optimizing key business metrics such as revenue, market share, or asset quality in Texas, employees can indirectly impact the book value and consequently boost their compensation through the phantom stock grants. It's important to note that the Texas Book Value Phantom Stock Plan may have different variations based on the specific terms set by First Florida Banks, Inc. Some variations may include: 1. Performance-based Phantom Stock Plan: This version of the plan links the payout not only to the book value of Texas assets but also to the achievement of predefined performance targets. These targets may include metrics such as return on assets, market share growth, or customer satisfaction ratings. 2. Vesting Schedule: The plan may have a vesting schedule that determines when employees can fully realize the value of their phantom stock grants. This schedule typically spans over several years and encourages employees to stay with the company for a longer duration to maximize their benefits. 3. Retirement or Exit Provisions: The plan may outline provisions for employees who retire or leave the company prior to the full vesting of their phantom stock. These provisions may determine whether the employee can retain a portion of their grants or forfeit them entirely. Overall, the Texas Book Value Phantom Stock Plan serves as a powerful tool for First Florida Banks, Inc. to motivate and retain talented employees while aligning their interests with the company's growth in the Texas market. By offering a stake in the financial success of the company's Texas operations, the plan fosters a sense of ownership and incentivizes employees to contribute to the long-term success of the organization.