South Carolina Nonemployee Directors Stock Option Plan of National Surgery Centers, Inc.

• Category: Corporations - Public - Stock Options
• State: Multi-State
• Control #: US-CC-18-185C
• Format: Word; Rich Text

Description

18-185C 18-185C . . . Non-employee Directors Stock Option Plan under which Class II Non-employee directors receive options for 5,000 shares, all fully vested; Class II Non-employee directors receive options for 7,500 shares, of which 5,000 are fully vested and 2,500 vest on date of 1997 annual stockholders meeting; and Class I Non-employee directors receive options for 10,000 shares, of which 5,000 are fully vested, 2,500 vest on date of 1997 annual stockholders meeting, and 2,500 vest on date of 1998 annual stockholders meeting. Thereafter, each Non-employee director automatically receives an option on his or her election or re-election as director. Each such option is for 7,500 shares if director is elected to full three year term, of which 2,500 is vested, 2,500 vests on first anniversary of grant, and 2,500 vests on second anniversary of grant. If director is elected to fill term of less than three years, number of shares is equal to 2,500 for each full year of his or her term

The South Carolina Nonemployee Directors Stock Option Plan of National Surgery Centers, Inc. is a comprehensive compensation structure designed to incentivize and reward nonemployee directors for their valuable contributions to the company. It offers various stock options, allowing directors to purchase company stocks at a specified price, giving them the opportunity to benefit from the company's growth and success. This stock option plan is specifically designed for nonemployee directors of National Surgery Centers, Inc. who play a crucial role in setting strategic objectives, making important corporate decisions, and providing guidance and oversight to ensure the company's long-term success. By offering stock options, the company aims to align the interests of the directors with those of the shareholders, encouraging them to act in the best interest of the company and its stakeholders. Under the South Carolina Nonemployee Directors Stock Option Plan, there are different types of stock options available to eligible directors. Some of these options may include: 1. Nonqualified Stock Options (Nests): These options allow directors to purchase company stocks at a predetermined price, also known as the exercise price. Nests provide directors with flexibility as they can be exercised at any time after a specified vesting period. 2. Incentive Stock Options (SOS): This type of stock option provides certain tax advantages to the directors. SOS come with specific requirements and restrictions, including a limit on the exercise price, holding period, and eligibility criteria. These options encourage long-term loyalty and commitment from nonemployee directors. 3. Restricted Stock Units (RSS): Unlike stock options, RSS represent a promise to deliver company shares at a future date, subject to certain performance or time-based conditions. RSS can be a form of deferred compensation, allowing directors to receive company stocks as they fulfill vesting requirements. 4. Performance-based Stock Options: These stock options are tied to specific performance metrics or goals, such as achieving certain financial targets or strategic milestones. Directors are rewarded with stock options if they meet or exceed these performance criteria, leading to a direct correlation between the company's performance and director compensation. It is important to note that the specific details, terms, and conditions of the South Carolina Nonemployee Directors Stock Option Plan may be subject to the company's bylaws, shareholder approval, and applicable legal requirements. Directors should carefully review the plan documents to understand the type of stock options available to them, the vesting schedules, exercise periods, and any limitations or restrictions associated with each option.