Fairfax Virginia Stock Option Plan which provides for grant of Incentive Stock Options and Nonqualified Stock Options to executive officers

• Category: Corporations - Public - Stock Options
• State: Multi-State
• County: Fairfax
• Control #: US-CC-18-210C
• Format: Word; Rich Text

Description

18-210C 18-210C . . . Stock Option Plan which provides for grant of Incentive Stock Options and Non-qualified Stock Options to executive officers of corporation and (b) Non-qualified Stock Options to outside directors on following basis: an initial grant of option to purchase 10,000 shares of the stock plus annual grants of options to purchase 5,000 shares, provided outside director continues to serve as outside director. Each outside director also receives annual option grant of 2,000 shares for each committee on which he or she serves. Outside directors' options are not exercisable during first 12 months of their term. After 12 months they become exercisable as to 24% plus 2% for each complete month of continuous service in excess of 12 months until fully vested. Options may also be granted to executive officers residing in foreign jurisdictions. Board of Directors may adopt such supplements to Plan as may be necessary to comply with applicable laws of such foreign jurisdictions and to afford participants favorable treatment under such laws The Fairfax Virginia Stock Option Plan is a comprehensive compensation program designed to attract and retain highly skilled executive officers in Fairfax, Virginia. This plan offers two types of stock options: Incentive Stock Options (SOS) and Nonqualified Stock Options (Nests). SOS are granted with specific tax advantages for the executive officers. These options allow the recipient to purchase company stock at a predetermined price, called the exercise or strike price, within a certain timeframe. If held for a specified period, the executive officers may be eligible for long-term capital gains tax treatment upon the subsequent sale of the shares acquired through the SOS. On the other hand, Nests provide flexibility to the executive officers, as they are not subjected to the same strict tax rules as SOS. These options allow for the purchase of company stock at a predetermined price, but the difference between the exercise price and the fair market value of the stock at the time of exercise is typically considered as ordinary income for tax purposes. The Fairfax Virginia Stock Option Plan acknowledges the importance of rewarding executive officers for their contributions to the company's success and aligning their interests with those of the shareholders. By offering SOS and Nests, the plan enables executives to share in the company's potential financial growth and wealth creation. Through the Fairfax Virginia Stock Option Plan, executive officers have the opportunity to participate in the company's growth and value appreciation. This incentivizes them to drive performance and make strategic decisions, ultimately benefiting both the executives and the shareholders. Overall, the Fairfax Virginia Stock Option Plan aims to attract, motivate, and retain talented executive officers by providing them with various stock option opportunities. By aligning their interests with the company's long-term success, this plan fosters an environment of shared ownership and mutual growth.

The Fairfax Virginia Stock Option Plan is a comprehensive compensation program designed to attract and retain highly skilled executive officers in Fairfax, Virginia. This plan offers two types of stock options: Incentive Stock Options (SOS) and Nonqualified Stock Options (Nests). SOS are granted with specific tax advantages for the executive officers. These options allow the recipient to purchase company stock at a predetermined price, called the exercise or strike price, within a certain timeframe. If held for a specified period, the executive officers may be eligible for long-term capital gains tax treatment upon the subsequent sale of the shares acquired through the SOS. On the other hand, Nests provide flexibility to the executive officers, as they are not subjected to the same strict tax rules as SOS. These options allow for the purchase of company stock at a predetermined price, but the difference between the exercise price and the fair market value of the stock at the time of exercise is typically considered as ordinary income for tax purposes. The Fairfax Virginia Stock Option Plan acknowledges the importance of rewarding executive officers for their contributions to the company's success and aligning their interests with those of the shareholders. By offering SOS and Nests, the plan enables executives to share in the company's potential financial growth and wealth creation. Through the Fairfax Virginia Stock Option Plan, executive officers have the opportunity to participate in the company's growth and value appreciation. This incentivizes them to drive performance and make strategic decisions, ultimately benefiting both the executives and the shareholders. Overall, the Fairfax Virginia Stock Option Plan aims to attract, motivate, and retain talented executive officers by providing them with various stock option opportunities. By aligning their interests with the company's long-term success, this plan fosters an environment of shared ownership and mutual growth.