Vermont Restricted Stock Plan of Guilford Mills, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-170A
• Format: Word; Rich Text

Description

20-170A 20-170A . . . Restricted Stock Plan under which Compensation Committee grants awards of shares of common stock in accordance with terms and conditions set forth in agreement between corporation and participant. Each Stock Agreement contains such individual and corporate performance goals, restrictions, terms and conditions as Compensation Committee may require including price, if any, which participant shall be required to pay for shares

The Vermont Restricted Stock Plan of Guilford Mills, Inc. is a comprehensive employee compensation program that combines the benefits of stock ownership with certain restrictions. This plan is designed to reward and incentivize employees of Guilford Mills, Inc., a textile manufacturer based in Vermont. By granting restricted stock to eligible employees, the company seeks to align their interests with broader business goals and promote long-term growth. Under the Vermont Restricted Stock Plan, employees receive shares of Guilford Mills, Inc.'s stock as a part of their compensation package. However, these shares are subject to specific restrictions, which are outlined in the plan documentation. The restrictions vary depending on the type of plan, as described below: 1. Performance-Based Restricted Stock: Guilford Mills, Inc. may offer performance-based restricted stock to high-performing employees who meet predetermined performance targets or goals. This type of restricted stock is typically granted in addition to regular compensation and aims to reward exceptional achievements. The vesting of these shares may be contingent upon meeting specific financial, operational, or individual performance metrics. 2. Time-Based Restricted Stock: Another type of restricted stock offered under the Vermont plan is time-based restricted stock. Eligible employees may receive these shares as part of their compensation during the course of their employment. However, the shares are subject to a vesting schedule, which means employees must remain with Guilford Mills, Inc. for a specific period before they can exercise their ownership rights freely. The vesting period may be determined by the employee's tenure or performance milestones. 3. Change in Control Restricted Stock: In the event of a change in control or acquisition of Guilford Mills, Inc., the plan may include a provision for change in control restricted stock. This type of restricted stock is designed to protect employee interests during a significant corporate event. It ensures that employees retain their right to any financial benefits resulting from the transaction, even if their employment status changes as a result. It is important to note that the specific terms of the Vermont Restricted Stock Plan, including vesting schedules, restrictions, and eligibility criteria, are outlined in the plan's official documents. Employees are encouraged to thoroughly review this documentation to understand the unique aspects of their individual grants. Additionally, the plan will usually specify the procedures for the exercise, transfer, or sale of shares once they have vested. Overall, the Vermont Restricted Stock Plan represents Guilford Mills, Inc.'s commitment to recognizing and rewarding employee contributions while fostering a sense of ownership and commitment among its workforce. Through the combination of stock-based compensation with strategic restrictions, the company aims to maximize employee motivation and align their long-term interests with the company's success.