Withholding Requirement. To the extent that the exercise of this Option or the disposition of shares of Stock acquired by exercise of this Option results in compensation income or wages to Optionee for federal, state or local tax purposes that are subject to withholding requirements, Optionee shall deliver to the Company at the time of such exercise or disposition such amount of money as the Company may require to meet its minimum obligation under applicable tax laws or regulations. In connection with such an event requiring tax withholding, Optionee may (i) direct the Company, in the Company’s discretion, to withhold from the shares of Stock to be issued upon exercise the number of shares necessary to satisfy the Company’s obligation to withhold taxes, that determination to be based on the shares’ Fair Market Value as of the date of exercise; (ii) deliver to the Company, in the Company’s discretion, sufficient shares of Stock (based upon the Fair Market Value as of the date of such delivery) to satisfy the Company’s tax withholding obligation; or (iii) deliver sufficient cash to the Company to satisfy its tax withholding obligations.
Appears in 5 contracts
Samples: Incentive Stock Option Agreement (Sport Supply Group, Inc.), Nonstatutory Stock Option Agreement for Employees (Sport Supply Group, Inc.), Incentive Stock Option Agreement for Employees (Sport Supply Group, Inc.)
