Page 804 - Bruce Ellig - The Complete Guide to Executive Compensation (2007)

Index 789

indexed-determined, 457 taxation at transfer, 416
intrinsic value, 428 tendering company stock, 440–42
IRC Sections 421–424, 80 termination of employment, 421
minimum option value method, treasury method of calculating
412–13 cost, 458
multiple-priced, 454 truncated, 437
multiples, 424–25 types of, 449–59
for non-employees, 415–16 underwater, 434–36, 558
nondiscounted, 452–53 valuation of, 411
nonqualified, 469 value of shares, 457
nonstatutory, 452–57 vesting, 419–21
number of shares, 424–30 vesting-determined, 455–56
optionee eligibility, 414–16 waiting period, 419
percent of pool, 457 wash-sale transaction, 452
percent of total, 457 yo-yo, 422
performance, 430–31 Stock ownership, 500–504, 548
performance-accelerated, 420–21, guidelines, 624
455–56 Stock performance graphs, 154
performance and promotability ratings, Stock plans
415 award size, 491–93
performance-determined, 457 combination, 515–23
performance-vested, 455–56 communication with participants,
premium-priced, 423, 453–54 498–99
present value, 429 design considerations, 530
price-per-share-determined, 452–55 design possibilities, 403
purchased, 422–23 dividends, 498
pyramiding, 441 eligibility for, 490–91
recourse loan, 440 evergreen, 497
redenominated type, 407 formal, 496–98
reload, 437–39 grant frequency, 493
reloaded, 457 as long-term incentives, 402–526
reloads, 133 market value combination, 515–18
replacement, 437 market value design issues, 487–99
repricing, 434–35 nonmarket-value combination, 518–19
rescissions, 444 performance measurements, 489–90
restoration, 437 performance of company stock, 544
rule of 72, 428 plan period, 491
share-deposit, 433 shares required, 494–96
split type, 408 vesting, 493–94
stapled, 408 Stock purchase plans, 464–73
statutory, 451–52 advantages and disadvantages of, 472–73
stock-for-stock exercise, 437–38, company matched, 467
440–42 debenture, 470
targets, 426 fixed cost and fixed basis for payment,
tax liability deferral, 444–46 465–70