Franklin Ohio Stock Option Plan of Hayes Wheels International, Inc., which provides for grant of Incentive Stock Options and Nonqualified Stock Options

• Category: Corporations - Public - Stock Options
• State: Multi-State
• County: Franklin
• Control #: US-CC-18-345E
• Format: Word; Rich Text

Description

18-345E 18-345E . . . Stock Option Plan which provides for grant of Incentive Stock Options and Non-qualified Stock Options and (b) initial option grants to certain named officers, employees and consultants which contain specific Time Conditions and Performance Conditions as follows: number of shares underlying each option grant is divided into five equal portions which are designated Tranche A through Tranche E. Twenty percent of shares included in each of Tranches A through E shall satisfy Time Condition if optionee is employee or consultant on January 31, 1997 and on each January 31 thereafter. One hundred percent of shares included in each of Tranches A through E satisfy Performance Condition if average per share price of common stock for any consecutive twenty trading days on principal exchange on which common stock is traded equals or exceeds following prices: Tranche A - $16 per share, Tranche B - $32 per share, Tranche C - $48 per share, Tranche D - $64 per share, Tranche E - $80 per share. Notwithstanding above, Initial Grants become fully exercisable on ninth anniversary of date of grant The Franklin Ohio Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that offers employees the opportunity to receive stock options as part of their compensation package. This plan consists of two different types of stock options: Incentive Stock Options (SOS) and Nonqualified Stock Options (SOS). SOS, also known as statutory stock options, are options that are granted with certain tax advantages. These options are typically reserved for key employees and executives and come with specific eligibility criteria and holding period requirements. The tax advantages of SOS primarily lie in the fact that they may qualify for favorable long-term capital gains tax rates when exercised and held for a specified period of time. On the other hand, SOS, also referred to as nonstatutory stock options or nonqualified options, do not offer the same tax advantages as SOS. SOS are more flexible in terms of eligibility and can be granted to employees at all levels, as well as consultants and advisers. When exercised, SOS are subject to ordinary income tax rates on the difference between the strike price and the fair market value of the stock on the exercise date. The Franklin Ohio Stock Option Plan is designed to provide employees with an opportunity to participate in the success of the company by granting them the ability to purchase company stock at a predetermined price within a specified timeframe. This incentivizes employees to contribute to the growth and profitability of Hayes Wheels International, Inc. When implementing the Franklin Ohio Stock Option Plan, Hayes Wheels International, Inc. sets specific terms and conditions such as the strike price, vesting schedule, and expiration period for both SOS and SOS. These details are outlined in the stock option agreements offered to eligible employees. In summary, the Franklin Ohio Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that includes both SOS and SOS. SOS are tailored for key employees and offer potential tax advantages, while SOS are more flexible and can be granted to employees at various levels. This plan serves as a valuable tool for attracting, retaining, and motivating talented individuals to contribute to the success of the company.

The Franklin Ohio Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that offers employees the opportunity to receive stock options as part of their compensation package. This plan consists of two different types of stock options: Incentive Stock Options (SOS) and Nonqualified Stock Options (SOS). SOS, also known as statutory stock options, are options that are granted with certain tax advantages. These options are typically reserved for key employees and executives and come with specific eligibility criteria and holding period requirements. The tax advantages of SOS primarily lie in the fact that they may qualify for favorable long-term capital gains tax rates when exercised and held for a specified period of time. On the other hand, SOS, also referred to as nonstatutory stock options or nonqualified options, do not offer the same tax advantages as SOS. SOS are more flexible in terms of eligibility and can be granted to employees at all levels, as well as consultants and advisers. When exercised, SOS are subject to ordinary income tax rates on the difference between the strike price and the fair market value of the stock on the exercise date. The Franklin Ohio Stock Option Plan is designed to provide employees with an opportunity to participate in the success of the company by granting them the ability to purchase company stock at a predetermined price within a specified timeframe. This incentivizes employees to contribute to the growth and profitability of Hayes Wheels International, Inc. When implementing the Franklin Ohio Stock Option Plan, Hayes Wheels International, Inc. sets specific terms and conditions such as the strike price, vesting schedule, and expiration period for both SOS and SOS. These details are outlined in the stock option agreements offered to eligible employees. In summary, the Franklin Ohio Stock Option Plan of Hayes Wheels International, Inc. is a comprehensive program that includes both SOS and SOS. SOS are tailored for key employees and offer potential tax advantages, while SOS are more flexible and can be granted to employees at various levels. This plan serves as a valuable tool for attracting, retaining, and motivating talented individuals to contribute to the success of the company.