Puerto Rico Directors' Stock Deferral Plan for Norwest Corp.

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-111C
• Format: Word; Rich Text

Description

20-111C 20-111C . . . Directors' Stock Deferral Plan which allow participants to defer to later year certain compensation which would otherwise be includable in income for tax purposes in year in which it would have been paid. The Plans also provide for investment of such compensation in deferred stock account in form of shares of corporation common stock

The Puerto Rico Directors' Stock Deferral Plan for Nor west Corp. is a comprehensive program designed for directors of Nor west Corporation who wish to defer a portion of their stock-based compensation. This plan provides directors with flexibility and tax advantages by enabling them to delay the receipt of certain equity awards until a future date, usually upon retirement or termination. Under this plan, directors have the opportunity to defer the receipt of stock options, restricted stock units, or other equity-based compensation granted by Nor west Corp. By choosing to participate in the program, directors can effectively manage their personal financial planning, aligning the receipt of compensation with their long-term objectives. One of the main benefits of the Puerto Rico Directors' Stock Deferral Plan is the ability to defer taxes on the equity awards. By deferring the receipt of stock-based compensation, directors can postpone the recognition of income for tax purposes until they actually receive the stock. This deferral allows directors to potentially defer paying taxes at a higher rate, resulting in potential tax savings and increased flexibility in managing their personal finances. Furthermore, the plan offers various investment options for the deferred amounts. Directors can choose to invest their deferred compensation in various investment vehicles, such as mutual funds, stocks, or bonds, based on their individual investment preferences and risk appetite. This feature offers directors the opportunity to potentially grow their deferred compensation through investments over time. It is important to note that the Puerto Rico Directors' Stock Deferral Plan for Nor west Corp. may have different variations or sub-plans tailored to meet the unique circumstances or preferences of individual directors. These variations may include different vesting schedules, payout options upon retirement, or additional restrictions or qualifications for participation. Overall, the Puerto Rico Directors' Stock Deferral Plan for Nor west Corp. provides an attractive avenue for directors to defer the receipt of stock-based compensation, potentially defer taxes, and effectively manage their personal financial planning. The plan offers flexibility, tax advantages, and investment opportunities, enabling directors to align their compensation with their long-term objectives and enhance their financial well-being.