Consolidated-Tomoka Land Co. (NYSE AMEX: CTO) entered into a Restricted Share Award Agreement with John P. Albright, the Company's newly appointed president and chief executive officer, pursuant to which Mr. Albright was awarded 96,000 shares of restricted Company common stock outside the Company's 2010 Equity Incentive Plan, as a component of Mr. Albright's employment compensation.
The award of the restricted shares was approved by the independent members of the Company's Board of Directors without stockholder approval, in accordance with and subject to the exception for an "inducement grant" as such term is defined in Section 711(a) of the NYSE Amex Company Guide. The restricted shares will vest in six increments of 16,000 shares each, upon the price per share of Company common stock during the term of Mr. Albright’s employment (or within 60 days after termination of his employment by the Company without cause) meeting or exceeding target trailing 60-day average closing prices ranging from $36.00 per share for the first increment to $65.00 per share for the final increment. If any increment of the restricted shares fails to satisfy the applicable stock price condition prior to six years from the grant date, that increment of the restricted shares will be forfeited. In addition, the Company will file a registration statement on Form S-8 to register the restricted shares for resale, and if such registration statement is not effective on the date of vesting of any of the restricted shares, in lieu of the delivery of the restricted shares Mr. Albright may elect to settle all or a portion of such vested restricted shares by a cash payment equal to the fair market value as of the vesting date of the restricted shares.
Consolidated-Tomoka Land Co. is a Florida-based company primarily engaged in converting Company owned agricultural lands into a portfolio of net lease income properties strategically located in the Southeast, through the efficient utilization of 1031 tax-deferred exchanges. The Company has low long-term debt and generates over $9 million annually before tax cash flow from its real estate portfolio. The Company also engages in selective self-development of targeted income properties. The Company’s adopted strategy is designed to provide the financial strength and cash flow to weather difficult real estate cycles. Visit our website at www.ctlc.com.