Virgin Islands 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 Virgin Islands Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive and attractive compensation program designed to offer eligible directors of the company the opportunity to acquire and retain equity ownership in Kyle Electronics. This plan is specifically tailored for directors serving on the board of Kyle Electronics and aims to align their interests with those of the company's shareholders. Under the Virgin Islands Eligible Directors' Stock Option Plan, directors are granted stock options that provide them with the right to purchase a specified number of shares of Kyle Electronics at a predetermined exercise price. These options typically have a fixed term and vesting period, incentivizing long-term commitment and performance from the directors. The plan recognizes that different directors may have varying levels of contribution and participation, thus offering different types of options within the program. These options can include: 1. Non-Qualified Stock Options: These are options that do not meet the requirements of Section 422 of the Internal Revenue Code, allowing directors to purchase shares at a predetermined price. These options are more flexible in their design and may provide tax advantages depending on the specific circumstances. 2. Incentive Stock Options: These are options that qualify for special tax treatment under Section 422 of the Internal Revenue Code. Directors can purchase shares at a favorable exercise price, and if certain holding requirements are met, the gains realized upon exercise may be subject to favorable capital gains tax rates. 3. Restricted Stock Units (RSS): In addition to stock options, the plan may also include RSS, which represent a promise to deliver a specified number of shares of Kyle Electronics stock in the future. RSS are generally subject to vesting conditions and allow directors to benefit from the potential appreciation of the company's stock over time. 4. Performance-Based Stock Options: In some cases, the plan may offer performance-based stock options, which provide an opportunity for directors to acquire additional shares based on specific performance criteria, such as achieving certain financial targets or surpassing industry benchmarks. These options often serve as additional incentives to drive the company's growth and success. The Virgin Islands Eligible Directors' Stock Option Plan of Kyle Electronics is designed to attract and retain top-tier directors, fostering a sense of ownership and alignment among the board members. By offering different types of stock options, the plan ensures flexibility and customization, allowing directors to select the option type that best suits their financial goals and circumstances. This plan serves as an effective tool for driving director performance, loyalty, and shareholder value at Kyle Electronics.

The Virgin Islands Eligible Directors' Stock Option Plan of Kyle Electronics is a comprehensive and attractive compensation program designed to offer eligible directors of the company the opportunity to acquire and retain equity ownership in Kyle Electronics. This plan is specifically tailored for directors serving on the board of Kyle Electronics and aims to align their interests with those of the company's shareholders. Under the Virgin Islands Eligible Directors' Stock Option Plan, directors are granted stock options that provide them with the right to purchase a specified number of shares of Kyle Electronics at a predetermined exercise price. These options typically have a fixed term and vesting period, incentivizing long-term commitment and performance from the directors. The plan recognizes that different directors may have varying levels of contribution and participation, thus offering different types of options within the program. These options can include: 1. Non-Qualified Stock Options: These are options that do not meet the requirements of Section 422 of the Internal Revenue Code, allowing directors to purchase shares at a predetermined price. These options are more flexible in their design and may provide tax advantages depending on the specific circumstances. 2. Incentive Stock Options: These are options that qualify for special tax treatment under Section 422 of the Internal Revenue Code. Directors can purchase shares at a favorable exercise price, and if certain holding requirements are met, the gains realized upon exercise may be subject to favorable capital gains tax rates. 3. Restricted Stock Units (RSS): In addition to stock options, the plan may also include RSS, which represent a promise to deliver a specified number of shares of Kyle Electronics stock in the future. RSS are generally subject to vesting conditions and allow directors to benefit from the potential appreciation of the company's stock over time. 4. Performance-Based Stock Options: In some cases, the plan may offer performance-based stock options, which provide an opportunity for directors to acquire additional shares based on specific performance criteria, such as achieving certain financial targets or surpassing industry benchmarks. These options often serve as additional incentives to drive the company's growth and success. The Virgin Islands Eligible Directors' Stock Option Plan of Kyle Electronics is designed to attract and retain top-tier directors, fostering a sense of ownership and alignment among the board members. By offering different types of stock options, the plan ensures flexibility and customization, allowing directors to select the option type that best suits their financial goals and circumstances. This plan serves as an effective tool for driving director performance, loyalty, and shareholder value at Kyle Electronics.