Second Anniversary Grant Clause Samples

Second Anniversary Grant. As soon as reasonably practicable following the second anniversary of the Distribution, the Company will grant the Executive an additional non-qualified option to purchase a number of shares of Cavco Common Stock not less than 1% of the then issued and outstanding Cavco Common Stock. The vesting schedule of this option grant will match the vesting schedule of the initial grant. Each such option grant shall be memorialized in a written agreement. The per share exercise price will be equal to the fair market value of Cavco Common Stock on the date of the grant, as determined in accordance with the Plan. When calculating the number of outstanding shares of Cavco Common Stock for purposes of the Initial, First Anniversary and Second Anniversary Grants, the Restricted Stock awarded to the Executive in accordance with Subsection 5(d) below shall be included in the total number of outstanding shares of Cavco Common Stock.