TOKYO, Apr 16 (Pulse News Wire) – And ST HD CO.,LTD. (2685.T) announced today that its board of directors has approved the continuation of the equity-based compensation plan for directors, which was introduced in fiscal 2016.
The plan aims to enhance long-term performance and increase enterprise value. Under the resolution, the existing BIP Trust, set to expire at the end of February 2027, will undergo contract modifications to extend its term by three years until August 20, 2030. The extended plan will cover the fiscal years ending February 2027 through February 2029. All other aspects of the plan remain unchanged except for the extension of the trust period. The BIP Trust, established on August 08, 2016, serves as an incentive mechanism for directors.
It involves a money trust managed by Mitsubishi UFJ Trust and Banking Corporation, with Mitsui Sumitomo Trust and Banking Co., Ltd. as co-trustee. Beneficiaries are eligible directors who meet certain criteria, while an independent third party acts as trustee manager. The initial term of the trust was scheduled to run from August 08, 2016, to August 20, 2027. Following the April 2026 modification, the term will now extend to August 20, 2030.
The plan commenced operations on September 01, 2016, and does not involve the exercise of voting rights.
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