Director Compensation Policy for New Peoples (Effective January 1, 2006)
This document outlines the compensation policy for directors of New Peoples, effective January 1, 2006. Directors receive a monthly fee of $500 and an additional $100 for each board committee meeting attended, except for Loan Committee meetings. Directors are also eligible for non-qualified stock option awards under the company's 2001 Stock Option Plan, at the board's discretion. In December 2005, each director was granted 4,000 immediately exercisable stock options at an exercise price of $15.00 per share, with a 10-year term.
Exhibit 10.9
Director Compensation (effective January 1, 2006)
Monthly Fees
| Monthly Fee | $500 |
Committee Fees
Each member of a Board Committee shall receive $100 per meeting, excluding Loan Committee Meetings.
Equity Compensation
Each director is also eligible to receive non-qualified stock option awards pursuant to New Peoples’ 2001 Stock Option Plan, in the discretion of the board of directors.
In December 2005, each director was awarded 4,000 stock options that were immediately exercisable and have an exercise price of $15.00 per share, based on the fair market value of New Peoples’ common stock on the date of grant with a term of 10 years.
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