Harris Texas Proposed book value phantom stock plan with appendices for First Florida Bank, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• County: Harris
• Control #: US-CC-20-161K
• Format: Word; Rich Text

Description

This is a multi-state form covering the subject matter of the title. Title: Understanding the Harris Texas Proposed Book Value Phantom Stock Plan for First Florida Bank, Inc. Keywords: Harris Texas, proposed book value phantom stock plan, First Florida Bank, Inc., appendices, detailed description, types Introduction: The Harris Texas Proposed Book Value Phantom Stock Plan is a comprehensive strategy designed specifically for First Florida Bank, Inc. This article aims to provide a detailed description of the plan while exploring its appendices. We will delve into the different types and components of this proposed phantom stock plan. 1. Harris Texas Proposed Book Value Phantom Stock Plan Overview: The plan proposed by Harris Texas for First Florida Bank, Inc. revolves around the concept of phantom stock. It is an equity-based incentive program that rewards eligible employees with hypothetical stock units tied to the bank's book value. The phantom stock plan provides a way to incentivize and motivate employees while not diluting actual shareholder ownership. 2. Key Objectives of the Proposed Plan: The Harris Texas Proposed Book Value Phantom Stock Plan seeks to achieve the following objectives for First Florida Bank, Inc.: — Motivate and retain talented employees by offering a reward program linked to the bank's book value — Align employee interests with the performance and success of the organization — Foster a sense of ownership, commitment, and loyalty among employees — Enhance the bank's overall competitiveness in attracting top talent 3. Detailed Description of the Proposed Plan: a. Eligibility Criteria: The plan outlines specific criteria for employees to participate, including tenure, position, and performance benchmarks. Only qualified employees meeting these criteria will be considered for inclusion in the phantom stock plan. b. Calculation Methodology: The plan provides a detailed calculation methodology to determine the phantom stock units allocated to each eligible employee. The book value of First Florida Bank, Inc. serves as the fundamental basis for calculating the value of the phantom stock units. c. Vesting and Distribution: The plan defines the vesting period during which employees must remain with the bank to earn their allocated phantom stock units fully. It also outlines distribution mechanisms, be it in cash or a future conversion into actual stock options upon certain exit events like an IPO or acquisition. 4. Appendices within the Plan: a. Sample Phantom Stock Agreement: The plan includes an appendix with a sample agreement that outlines the terms and conditions of participation, vesting schedule, and the eventual conversion of phantom stock units into actual shares. b. Employee Communication and Education: To facilitate a smooth transition and ensure employees understand the plan, an appendix provides written communication and educational material for participants, explaining the mechanics, benefits, and potential tax implications of the Phantom Stock Plan. c. Financial Impact Analysis: This appendix outlines a detailed analysis projecting the financial impact on First Florida Bank, Inc.'s financial statements, including the anticipated expense recognition, tax implications, and potential dilution to existing shareholders. Conclusion: The Harris Texas Proposed Book Value Phantom Stock Plan is a strategic incentive program tailored to fit the needs of First Florida Bank, Inc. Through its appendices, the plan offers comprehensive support, ranging from sample agreements to financial impact analysis, ensuring a well-rounded implementation process. By utilizing this innovative approach, the bank aims to reward and motivate its employees while fueling its overall growth and success.

Title: Understanding the Harris Texas Proposed Book Value Phantom Stock Plan for First Florida Bank, Inc. Keywords: Harris Texas, proposed book value phantom stock plan, First Florida Bank, Inc., appendices, detailed description, types Introduction: The Harris Texas Proposed Book Value Phantom Stock Plan is a comprehensive strategy designed specifically for First Florida Bank, Inc. This article aims to provide a detailed description of the plan while exploring its appendices. We will delve into the different types and components of this proposed phantom stock plan. 1. Harris Texas Proposed Book Value Phantom Stock Plan Overview: The plan proposed by Harris Texas for First Florida Bank, Inc. revolves around the concept of phantom stock. It is an equity-based incentive program that rewards eligible employees with hypothetical stock units tied to the bank's book value. The phantom stock plan provides a way to incentivize and motivate employees while not diluting actual shareholder ownership. 2. Key Objectives of the Proposed Plan: The Harris Texas Proposed Book Value Phantom Stock Plan seeks to achieve the following objectives for First Florida Bank, Inc.: — Motivate and retain talented employees by offering a reward program linked to the bank's book value — Align employee interests with the performance and success of the organization — Foster a sense of ownership, commitment, and loyalty among employees — Enhance the bank's overall competitiveness in attracting top talent 3. Detailed Description of the Proposed Plan: a. Eligibility Criteria: The plan outlines specific criteria for employees to participate, including tenure, position, and performance benchmarks. Only qualified employees meeting these criteria will be considered for inclusion in the phantom stock plan. b. Calculation Methodology: The plan provides a detailed calculation methodology to determine the phantom stock units allocated to each eligible employee. The book value of First Florida Bank, Inc. serves as the fundamental basis for calculating the value of the phantom stock units. c. Vesting and Distribution: The plan defines the vesting period during which employees must remain with the bank to earn their allocated phantom stock units fully. It also outlines distribution mechanisms, be it in cash or a future conversion into actual stock options upon certain exit events like an IPO or acquisition. 4. Appendices within the Plan: a. Sample Phantom Stock Agreement: The plan includes an appendix with a sample agreement that outlines the terms and conditions of participation, vesting schedule, and the eventual conversion of phantom stock units into actual shares. b. Employee Communication and Education: To facilitate a smooth transition and ensure employees understand the plan, an appendix provides written communication and educational material for participants, explaining the mechanics, benefits, and potential tax implications of the Phantom Stock Plan. c. Financial Impact Analysis: This appendix outlines a detailed analysis projecting the financial impact on First Florida Bank, Inc.'s financial statements, including the anticipated expense recognition, tax implications, and potential dilution to existing shareholders. Conclusion: The Harris Texas Proposed Book Value Phantom Stock Plan is a strategic incentive program tailored to fit the needs of First Florida Bank, Inc. Through its appendices, the plan offers comprehensive support, ranging from sample agreements to financial impact analysis, ensuring a well-rounded implementation process. By utilizing this innovative approach, the bank aims to reward and motivate its employees while fueling its overall growth and success.