Puerto Rico Stock Option and Award Plan of Fresco, Inc. is a comprehensive compensation program designed to incentivize and reward employees of the company. By offering stock options and awards, it allows eligible individuals to participate in the company's growth and success. The Puerto Rico Stock Option and Award Plan enables employees to acquire and own shares of Fresco, Inc., one of the leading companies in its industry. This plan grants eligible participants the right to purchase a specific number of company shares at a predetermined price, known as the exercise price. This arrangement gives employees the opportunity to benefit from any appreciation in the company's stock value over time. This plan is a valuable tool for attracting, motivating, and retaining talented staff members. By aligning their interests with the company's performance, employees have an added incentive to enhance their productivity and contribute to Fresco's long-term success. It also helps foster a sense of ownership and loyalty among the workforce, promoting a positive work environment that fosters innovation and growth. Under the Puerto Rico Stock Option and Award Plan, there may be different types of compensation tools offered to employees. These may include: 1. Stock options: This type of award provides employees with the right to purchase company shares at the exercise price within a specified timeframe. The exercise price is typically set at the fair market value of the stock on the grant date. Employees can later sell these shares at a potentially higher market price, realizing a profit. 2. Restricted stock units (RSS): RSS are another form of compensation that grants employees the right to receive company shares at a future date. However, unlike stock options, employees do not need to purchase the shares. Instead, they receive the shares as part of their compensation package, subject to certain vesting conditions. Once the vesting period expires, employees can sell the shares or retain them, becoming shareholders of the company. 3. Performance-based awards: In addition to stock options and RSS, the Puerto Rico Stock Option and Award Plan may also include performance-based awards. These awards are granted based on predetermined performance targets, such as revenue or profit goals. When these targets are met or exceeded, eligible employees receive additional compensation in the form of company shares, contributing to their overall compensation package. Overall, the Puerto Rico Stock Option and Award Plan of Fresco, Inc. offers employees an opportunity to participate in the company's growth and success. It encourages a strong sense of ownership, enhances employee motivation, and helps attract and retain top talent in the industry. By providing various types of awards, including stock options, RSS, and performance-based awards, Fresco fosters a culture of excellence, driving the company towards continued achievements.