This excerpt taken from the RJET DEF 14A filed Apr 30, 2007.
The Board of Directors has approved and adopted the Republic Airways Holdings Inc. 2007 Equity Incentive Plan (the Plan). The Plan will become effective on the date it is approved by the Companys stockholders at the 2007 Annual Meeting of Stockholders. As of April 15, 2007, there were 547 shares remaining available for future grant under the 2002 Equity Incentive Plan. The Company had granted stock options and restricted stock for all 2,180,000 shares, under the 2002 Equity Incentive Plan.
The Plan is a broad-based incentive plan that provides for granting stock options, stock appreciation rights, restricted stock units, restricted stock, performance shares, performance units, cash incentive and other awards and provides for specific stock option awards to non-employee directors. The Board of Directors believes that the Companys success and long-term progress are dependent upon attracting and retaining its directors, officers, employees, consultants and advisors, and aligning the interests of such individuals with those of the stockholders. The Plan gives the Compensation Committee maximum flexibility to use various forms of incentive awards as part of the Companys overall compensation program.
The Board of Directors has determined that it is in the best interests of the Company and its stockholders to maximize the tax deductibility of performance-based cash and stock awards payable under the Plan. Accordingly, the Company has structured the Plan in a manner that payments made under it can satisfy the requirements for performance-based compensation within the meaning of Section 162(m) of the Internal Revenue Code (the Code).
The closing sale price of the Companys common stock on the NASDAQ Global Select Market on March 30, 2007 was $22.96.