Pima Arizona Book Value Phantom Stock Plan of First Florida Banks, Inc.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• County: Pima
• Control #: US-CC-20-162A
• Format: Word; Rich Text

Description

20-162A 20-162A . . . Book Value Phantom Stock Plan under which Committee of Board of Directors may, from time to time, grant quantity of phantom shares to selected employees, each share being equivalent to one share of corporation common stock. Phantom shares may be exercised at any time within ten years of date of grant (subject to certain limitations in event of termination of employment) Upon exercise, employee is paid cash equal to increase in underlying net book value per share on fully diluted basis of shares between date of grant and date of exercise The Lima Arizona Book Value Phantom Stock Plan is a unique incentive program implemented by First Florida Banks, Inc. It is designed to reward and motivate employees by providing them with the opportunity to share in the company's success and growth. This plan grants participants a virtual ownership in the bank, known as phantom stock, which tracks the book value of the company. Phantom stock is a non-equity compensation plan that mirrors the price and value of actual company stock without conferring stock ownership rights. Through this plan, employees receive phantom stock units that represent a proportionate interest in the book value of the bank. By linking the payout to the book value, employees are rewarded based on the financial performance of the company. The book value is the net value of assets minus liabilities, providing a clear measure of First Florida Banks, Inc.'s financial health and stability. One of the distinguishing features of the Lima Arizona Book Value Phantom Stock Plan is its flexibility. It allows employees to benefit from the bank's success while avoiding certain risks typically associated with owning actual company stock. Since the program is based on book value, it focuses on the company's intrinsic worth rather than market fluctuations, providing employees with a sense of stability. The Lima Arizona Book Value Phantom Stock Plan may have different variations or tiers, depending on factors such as an employee's position, tenure, or performance. This can include executive-level plans, wherein key executives receive a higher allocation of phantom stock based on their contributions to the organization. Furthermore, the plan may include vesting periods, ensuring that employees remain with the company over a specified period to receive the full benefit of their awarded phantom stock. In conclusion, the Lima Arizona Book Value Phantom Stock Plan offered by First Florida Banks, Inc. is a well-thought-out initiative to reward and incentivize its employees. By granting phantom stock units linked to the book value of the bank, this plan aligns the interests of the employees with the company's success and financial performance. It demonstrates the bank's commitment to valuing its workforce and fostering a culture of ownership and shared success.

The Lima Arizona Book Value Phantom Stock Plan is a unique incentive program implemented by First Florida Banks, Inc. It is designed to reward and motivate employees by providing them with the opportunity to share in the company's success and growth. This plan grants participants a virtual ownership in the bank, known as phantom stock, which tracks the book value of the company. Phantom stock is a non-equity compensation plan that mirrors the price and value of actual company stock without conferring stock ownership rights. Through this plan, employees receive phantom stock units that represent a proportionate interest in the book value of the bank. By linking the payout to the book value, employees are rewarded based on the financial performance of the company. The book value is the net value of assets minus liabilities, providing a clear measure of First Florida Banks, Inc.'s financial health and stability. One of the distinguishing features of the Lima Arizona Book Value Phantom Stock Plan is its flexibility. It allows employees to benefit from the bank's success while avoiding certain risks typically associated with owning actual company stock. Since the program is based on book value, it focuses on the company's intrinsic worth rather than market fluctuations, providing employees with a sense of stability. The Lima Arizona Book Value Phantom Stock Plan may have different variations or tiers, depending on factors such as an employee's position, tenure, or performance. This can include executive-level plans, wherein key executives receive a higher allocation of phantom stock based on their contributions to the organization. Furthermore, the plan may include vesting periods, ensuring that employees remain with the company over a specified period to receive the full benefit of their awarded phantom stock. In conclusion, the Lima Arizona Book Value Phantom Stock Plan offered by First Florida Banks, Inc. is a well-thought-out initiative to reward and incentivize its employees. By granting phantom stock units linked to the book value of the bank, this plan aligns the interests of the employees with the company's success and financial performance. It demonstrates the bank's commitment to valuing its workforce and fostering a culture of ownership and shared success.