Virginia 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 Virginia Nonemployee Directors Stock Option Plan is a compensation plan offered by National Surgery Centers, Inc. to its nonemployee directors in Virginia. This plan allows these directors to receive stock options as a form of remuneration for their service. Stock options are the right to buy company stock at a predetermined price within a specified time period. Under the Virginia Nonemployee Directors Stock Option Plan, nonemployee directors of National Surgery Centers, Inc. are granted the opportunity to purchase company stock at a discounted price. This serves as an incentive to encourage their involvement in the company's decision-making process and align their interests with the success of the organization. One type of Virginia Nonemployee Directors Stock Option Plan available to participants is the Non-Qualified Stock Option (NO). Nests offer directors the flexibility to purchase company stock at a predetermined price, regardless of its market value. This option is typically subject to income tax upon exercise and is often used as a tax-efficient compensation strategy. Another type of stock option plan within the Virginia Nonemployee Directors Stock Option Plan may include Incentive Stock Options (SOS). SOS are tax-advantaged stock options that provide directors with potential tax benefits when exercised. To qualify for these options, certain criteria must be met, such as holding the stock for a specific period after exercise. SOS can provide directors with potential capital gains treatment, subject to meeting specific requirements. The Virginia Nonemployee Directors Stock Option Plan of National Surgery Centers, Inc. offers an attractive compensation package for nonemployee directors, helping attract and retain top talent. By providing stock options, the company incentivizes directors to actively contribute to the success of the organization, supporting long-term growth and shareholder value. Keywords: Virginia Nonemployee Directors Stock Option Plan, National Surgery Centers, Inc., compensation plan, stock options, nonemployee directors, Virginia, remuneration, company stock, discounted price, incentive, decision-making process, tax-efficient, Non-Qualified Stock Option (NO), Incentive Stock Options (SOS), tax-advantaged, tax benefits, capital gains treatment, attract talent, retain talent, long-term growth, shareholder value.