District of Columbia Stock Option and Dividend Equivalent Plan with exhibits of UGI Corp.

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-305
• Format: Word; Rich Text

Description

18-305 18-305 . . . Stock Option and Dividend Equivalent Plan which provides for issuance of Non-qualified Stock Options and Dividend Equivalents. From date of grant of option until earlier of (a) end of period selected by Committee over which total return realizable by stockholder of corporation on a share of stock is compared to that realizable by stockholders of companies in a Comparison Group ("Performance Period") or (b) date of participant's disability, death or termination of employment, corporation shall keep records for such participant ("Account") and shall credit Account with an amount equal to Dividend Equivalent associated with such option. Committee will determine measurable criteria pursuant to which total return realizable by stockholder on share of stock over applicable Performance Period can be compared to that realizable over same Performance Period by stockholders of Comparison Group. Extent to which participant receives payment of Dividend Equivalents will be determined by comparing such total return realizable by stockholder of the corporation to that realizable by stockholders of Comparison Group

The District of Columbia Stock Option and Dividend Equivalent Plan is an employee benefit program offered by UGI Corp., a leading global distributor and provider of energy products and services. This plan allows eligible employees of UGI Corp. to participate in stock option and dividend equivalent programs, providing them with the opportunity to benefit from the company's financial success. Stock Option Program: The Stock Option Program under the District of Columbia Stock Option and Dividend Equivalent Plan offers employees the right to purchase UGI Corp. common stock at a predetermined price, known as the exercise price, within a specified timeframe. The plan allows employees to acquire an ownership stake in the company and potentially profit from a rise in the stock price over time. Dividend Equivalent Program: The Dividend Equivalent Program within the District of Columbia Stock Option and Dividend Equivalent Plan provides eligible employees with the opportunity to receive cash payments equivalent to the dividends paid on UGI Corp. common stock. This program ensures that employees can benefit from the company's dividend distributions, even if they do not directly own the stock. Exhibits of UGI Corp.: Within the District of Columbia Stock Option and Dividend Equivalent Plan, UGI Corp. may provide exhibits to further clarify the terms, conditions, and administration of the program. These exhibits often include: 1. Plan Document: This exhibit entails the official documentation, which outlines the rules, processes, and eligibility criteria of the District of Columbia Stock Option and Dividend Equivalent Plan. It includes information on stock option grant agreements, exercise terms, vesting schedules, and dividend equivalent calculations. 2. Exercise Price Schedule: This exhibit details the predetermined exercise prices at which employees can purchase UGI Corp. common stock under the Stock Option Program. It may show options prices for different time periods or offer varying exercise price based on employee rank or tenure. 3. Dividend Equivalent Calculation: This exhibit explains how the dividend equivalent payments are determined for eligible employees participating in the Dividend Equivalent Program. It factors in the dividend rate and timing to ascertain the cash equivalent payable to the employee. 4. Vesting Schedule: The vesting schedule exhibit illustrates the timeline over which employees' rights to exercise stock options or receive dividend equivalents become non-forfeitable. It may specify different vesting periods based on criteria like employee roles, duration of service, or performance benchmarks. 5. Tax Implications: UGI Corp. may include an exhibit addressing the tax implications associated with the District of Columbia Stock Option and Dividend Equivalent Plan. It informs employees about potential tax consequences, such as when exercising stock options, selling shares acquired through the plan, or receiving dividend equivalents. By implementing the District of Columbia Stock Option and Dividend Equivalent Plan, UGI Corp. aims to attract and retain top talent, align employee interests with company growth, and reward employees for their contributions to the company's success. It provides employees with an opportunity to share in the company's financial achievements and fosters a sense of ownership and commitment within the UGI Corp. workforce.