Maryland Amended and Restated Stock Option Plan of Continental Materials Corp.

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-208H
• Format: Word; Rich Text

Description

18-208H 18-208H . . . Non-qualified Stock Option Plan under which committee can award reload stock options (Non-qualified Stock Options which (i) are awarded automatically upon exercise of stock option granted under Plan where option price is paid by optionee's delivery of previously owned shares of common stock, and (ii) entitle such optionee to purchase number of shares so delivered for option price equal to fair market value of a share of common stock on date original option was exercised). Plan provides that if optionee or any other person who acquires options by bequest or inheritance or by reason of his or her death proposes to sell, transfer, or otherwise dispose of shares acquired upon exercise, corporation shall have prior right to purchase all or any part of such shares at market price

Maryland Amended and Restated Stock Option Plan of Continental Materials Corp. is a comprehensive and versatile employee incentive program designed to reward and motivate employees of Continental Materials Corp., a leading company in its industry. This program offers stock options as a means to provide eligible employees with an opportunity to purchase shares of the company's stock at a predetermined price. The Maryland Amended and Restated Stock Option Plan of Continental Materials Corp. serves as a crucial tool for attracting and retaining talented professionals within the company. It ensures that employees remain committed to achieving the company's long-term goals by aligning their interests with those of the company's shareholders. There are several types of stock options available under this plan, each with its own set of unique features: 1. Non-Qualified Stock Options (Nests): These options provide employees with the ability to purchase company stock at a specific exercise price, typically the fair market value on the date of grant. Nests offer flexibility in terms of vesting schedules and exercise periods, allowing employees to exercise their options at their own discretion. 2. Incentive Stock Options (SOS): SOS are primarily intended for key employees and executives. These options come with certain tax advantages, as they allow employees to exercise their options without incurring immediate tax liabilities on the granted shares' appreciation. 3. Restricted Stock Units (RSS): RSS represent a promise to deliver shares of company stock to employees at a future date, usually upon vesting. Unlike stock options, RSS do not require an employee to make a purchase, making them an attractive alternative. RSS are typically subject to specific performance or time-based vesting conditions. 4. Performance Stock Units (Plus): Plus are similar to RSS but are tied to specified performance goals, such as company financial performance or individual milestones. These stock units offer additional incentives for employees to excel, as achieving predetermined objectives leads to the conversion of Plus into actual shares of company stock. The Maryland Amended and Restated Stock Option Plan of Continental Materials Corp. has been tailored to comply with Maryland state laws and incorporates key provisions to ensure optimal administration and governance of the program. It outlines eligibility criteria, exercise periods, vesting schedules, and defines the rights and responsibilities of both employees and the company. Overall, the Maryland Amended and Restated Stock Option Plan of Continental Materials Corp. represents a pivotal aspect of the company's compensation and employee retention strategy. It encourages employee participation, aligns their interests with the company's long-term success, and contributes to a stronger and more motivated workforce.