Crediting Phantom Units Sample Clauses
The 'Crediting Phantom Units' clause defines how phantom units—synthetic equity awards that mimic the value of company shares without conferring actual ownership—are credited to participants. Typically, this clause outlines the conditions under which phantom units are granted, such as performance milestones or continued employment, and specifies the timing and method of crediting these units to an individual's account. Its core function is to ensure a clear and consistent process for awarding phantom units, thereby aligning employee incentives with company performance while avoiding the complexities of actual equity issuance.
Crediting Phantom Units. The Annual Deferral shall be credited in equal quarterly installments to the Participant’s Mandatory Deferred Compensation Account in the form of Phantom Units, each installment to be credited on the date of the regular quarterly meeting of the Board for such quarter; provided, however, that the Annual Deferral for 2019 shall be credited in one installment of $10,000 on the date of the regular quarterly meeting of the Board for the fourth quarter of 2019. The number of Phantom Units (or fractions thereof) to be credited to the Participant’s Mandatory Deferred Compensation Account shall be determined by dividing the amount of each quarterly installment by the closing price for common units (“Common Units”) of the Partnership as published in The Wall Street Journal or in Yahoo Finance for the trading day immediately prior to the first day of such regular quarterly Board meeting. Notwithstanding the foregoing, in the event that there is no meeting of the Board during any calendar quarter, the crediting shall occur on such date as is designated by the Company. Crediting of Phantom Units (or fractions thereof) to the Participant’s Mandatory Deferred Compensation Account shall not entitle the Participant to the rights of a limited partner of the Partnership or a holder of Units. The term “quarterly”, as used in this Agreement, refers to calendar quarters.
Crediting Phantom Units. The Annual Deferral shall be credited in four (4) equal quarterly installments to the Participant’s Mandatory Deferred Compensation Account in the form of Phantom Units, each installment to be credited on the date of the regular quarterly meeting of the Board for such quarter. The number of Phantom Units (or fractions thereof) to be credited to the Participant’s Mandatory Deferred Compensation Account shall be determined by dividing the amount of each quarterly installment by the closing price for Common Units of the Partnership as published in The Wall Street Journal or in Yahoo Finance for the trading day immediately prior to the first day of such regular quarterly Board meeting. Notwithstanding the foregoing, in the event that there is no meeting of the Board during any calendar quarter, the crediting shall occur on such date as is designated by the Company. Crediting of Phantom Units (or fractions thereof) to the Participant’s Mandatory Deferred Compensation Account shall not entitle the Participant to the rights of a limited partner of the Partnership or a holder of Units. The term “quarterly”, as used in this Agreement, refers to calendar quarters.
Crediting Phantom Units. The Phantom Units shall be credited, effective this date, to a Mandatory Deferred Compensation Account established for the Participant (in the form of Phantom Units)