Rhode Island Restricted Stock Plan and Trust Agreement of Home Federal Savings and Loan Assoc.

• Category: Corporations - Shareholders and Stock
• State: Multi-State
• Control #: US-CC-18-202D
• Format: Word; Rich Text

Description

18-202D 18-202D . . . Restricted Stock Plan and Trust Agreement for federal savings and loan association ("corporation") under which (a) corporation will contribute funds to Restricted Stock Plan ("Plan") and Plan will (i) purchase common stock in open market or (ii) purchase authorized but unissued shares of common stock from corporation, and (b) committee of Board of Directors can grant Restricted Stock Awards to directors, officers and key employees, Twenty percent of such Awards are earned and become non-forfeitable on one-year anniversary of date of grant and an additional 20% are earned and become non-forfeitable annually thereafter; provided that recipient of Award remains an employee or director of corporation during such period. Dividends paid on Restricted Stock Awards are held in arrears and distributed on date such applicable Restricted Stock Awards are earned

The Rhode Island Restricted Stock Plan and Trust Agreement of Home Federal Savings and Loan Assoc. Is a legal document that governs the management and distribution of restricted stock within the organization. This agreement outlines the specific terms and conditions under which employees or other parties receive ownership of company shares, subject to certain restrictions and conditions. Key terms and provisions within this plan and trust agreement include: 1. Restricted Stock: This refers to company shares that are awarded to employees or participants under the plan and are subject to certain restrictions or conditions. 2. Vesting: The agreement typically specifies a vesting schedule, which determines when and how the restricted stock becomes fully owned by the participant. Vesting may occur over a specified period of time, or it may be based on achievement of certain performance goals. 3. Transfer Restrictions: The agreement may impose limitations on the transferability of the restricted stock, such as prohibiting sales or transfers until certain conditions are met. 4. Forfeiture: The agreement could outline circumstances under which the participant's rights to the restricted stock may be forfeited, such as termination of employment or violation of certain covenants or agreements. 5. Trust Agreement: This component establishes the creation of a trust to hold and administer the restricted stock on behalf of the participants. The trust is responsible for managing the shares and ensuring compliance with the terms of the plan. 6. Dividends and Voting Rights: The agreement may specify whether participants are entitled to receive dividends and exercise voting rights on the restricted stock during the vesting period. Different types or variations of the Rhode Island Restricted Stock Plan and Trust Agreement of Home Federal Savings and Loan Assoc. May include: 1. Employee Stock Ownership Plan (ESOP): This type of plan allows employees to acquire ownership interest in the company through the allocation of restricted stock as a form of retirement benefit. 2. Performance-Based Restricted Stock Plan: This plan awards restricted stock to employees based on achieving certain performance objectives or milestones, incentivizing them to contribute to the company's growth and success. 3. Director Stock Plan: This type of plan is specifically designed for company directors, granting them restricted stock as a form of compensation for their service on the board. 4. Executive Equity Incentive Plan: Particularly applicable to executives and senior management, this plan aims to align their interests with the company's performance by offering restricted stock as an incentive or bonus. Overall, the Rhode Island Restricted Stock Plan and Trust Agreement of Home Federal Savings and Loan Assoc. Serves as a crucial framework for the distribution, management, and ownership of restricted stock within the organization, ensuring compliance with state law and protecting the interests of both the company and the plan participants.