The Kings New York Stock Option Plan is a unique program offered by Stewart Information Services Corp. specifically designed for region managers. This plan serves as a valuable incentive for the region managers, aligning their interests with the company's overall growth and success. By granting stock options, Stewart provides an opportunity for region managers to share in the company's prosperity and boost their financial prospects. The Kings New York Stock Option Plan offers several types of stock options, each designed to suit the region manager's requirements and goals. These options include: 1. Standard Stock Options: This type of option offers the region manager the right to purchase a specific number of Stewart Information Services Corp. stocks at a predetermined price, known as the exercise price. Typically, there is a vesting period for these options, ensuring that region managers remain committed to the company's long-term success. 2. Incentive Stock Options: This category of options provides additional benefits to region managers. Incentive stock options offer favorable tax treatment, allowing region managers to exercise the options and potentially pay lower tax rates on the resulting capital gains. However, specific eligibility criteria must be met to qualify for these options. 3. Restricted Stock Units (RSS): In addition to stock options, the Kings New York Stock Option Plan may include RSS. RSS grant region managers the right to receive company shares as a form of compensation during a predetermined period. These units usually have vesting schedules based on the region manager's continuing employment or the achievement of performance metrics. 4. Performance Stock Options: Designed to reward exceptional performance, these stock options are linked to specific performance targets set by Stewart Information Services Corp. They serve as an additional motivator for region managers to exceed company expectations and drive growth. Once the performance goals are met, the region managers can exercise the options and reap the associated benefits. The Kings New York Stock Option Plan caters to the unique needs of region managers, recognizing their pivotal role in driving the company's success. Through this program, Stewart Information Services Corp. not only provides a competitive compensation package but also fosters a sense of ownership and alignment with the company's vision. By combining various stock option types within this plan, region managers have the opportunity to achieve personal financial growth while contributing to the overall prosperity of the organization.