Bexar Texas Eligible Directors' Stock Option Plan of Wyle Electronics

• Category: Corporations - Public - Stock Options
• State: Multi-State
• County: Bexar
• 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 Bexar Texas Eligible Directors' Stock Option Plan is a specific stock option plan designed for directors of Kyle Electronics, a prominent company in the electronics industry. This plan provides eligible directors with stock options as part of their compensation package. Under this plan, eligible directors are granted the opportunity to purchase a specified number of company shares at a predetermined price, known as the exercise price. These stock options are typically subject to vesting periods, which means directors must remain with the company for a certain period of time before they can exercise their options and acquire the shares. The Bexar Texas Eligible Directors' Stock Option Plan aims to align the interests of directors with those of shareholders by providing them with an ownership stake in the company. By allowing directors to purchase company shares at a set price, the plan incentivizes them to make decisions that drive the company's long-term success, ultimately benefiting shareholders. One potential type of the Bexar Texas Eligible Directors' Stock Option Plan offered by Kyle Electronics is the Non-Qualified Stock Option Plan. This type of plan offers stock options that are not eligible for special tax treatment under the Internal Revenue Code. Directors who receive non-qualified stock options may be subject to ordinary income tax on the difference between the exercise price and the fair market value of the shares at the time of exercise. Another variant could be an Incentive Stock Option Plan. This type of plan allows eligible directors to receive stock options that may qualify for special tax treatment. Incentive stock options typically have additional requirements, such as a limit on the maximum number of shares that can be granted to an individual director and holding periods for favorable tax treatment. In conclusion, the Bexar Texas Eligible Directors' Stock Option Plan of Kyle Electronics is a compensation program that grants eligible directors the opportunity to purchase company shares at a specified price. It aims to align directors' interests with those of shareholders and may have different types such as the Non-Qualified Stock Option Plan and the Incentive Stock Option Plan.

The Bexar Texas Eligible Directors' Stock Option Plan is a specific stock option plan designed for directors of Kyle Electronics, a prominent company in the electronics industry. This plan provides eligible directors with stock options as part of their compensation package. Under this plan, eligible directors are granted the opportunity to purchase a specified number of company shares at a predetermined price, known as the exercise price. These stock options are typically subject to vesting periods, which means directors must remain with the company for a certain period of time before they can exercise their options and acquire the shares. The Bexar Texas Eligible Directors' Stock Option Plan aims to align the interests of directors with those of shareholders by providing them with an ownership stake in the company. By allowing directors to purchase company shares at a set price, the plan incentivizes them to make decisions that drive the company's long-term success, ultimately benefiting shareholders. One potential type of the Bexar Texas Eligible Directors' Stock Option Plan offered by Kyle Electronics is the Non-Qualified Stock Option Plan. This type of plan offers stock options that are not eligible for special tax treatment under the Internal Revenue Code. Directors who receive non-qualified stock options may be subject to ordinary income tax on the difference between the exercise price and the fair market value of the shares at the time of exercise. Another variant could be an Incentive Stock Option Plan. This type of plan allows eligible directors to receive stock options that may qualify for special tax treatment. Incentive stock options typically have additional requirements, such as a limit on the maximum number of shares that can be granted to an individual director and holding periods for favorable tax treatment. In conclusion, the Bexar Texas Eligible Directors' Stock Option Plan of Kyle Electronics is a compensation program that grants eligible directors the opportunity to purchase company shares at a specified price. It aims to align directors' interests with those of shareholders and may have different types such as the Non-Qualified Stock Option Plan and the Incentive Stock Option Plan.