Company: PAMT
Filing Date: 2025-04-11
Form Type: DEF 14A
Source: 0001437749-25-011728
Chunk: 25

Company: PAMT CORP
Filing Date: 2025-04-11
Form: DEF 14A
Chunk 25
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 to our employees, officers and directors, as well as consultants and advisors. A total of 1,600,000 shares of our common stock, subject to adjustments, are reserved for the issuance of stock awards under the 2024 Plan. The 2024 Plan is administered by our Board, which, at its discretion or as legally required, may delegate such administration to our Compensation Committee or one or more additional committees. The 2024 Plan will expire on February 15, 2034.

The Compensation Committee and the Board believe that long-term equity incentives are consistent with the Company’s philosophy and represent an additional vehicle for aligning management’s interests with the interests of our shareholders. The Compensation Committee and the Board currently believe that restricted stock and restricted stock units are more effective than stock options in achieving the Company’s compensation objectives, as these grants are subject to less market volatility and are less dilutive to shareholders.

The Board did not adopt or utilize such an incentive plan for 2024 or 2023; however, the Board did grant restricted shares to our named executive officers in February 2023 based on our fiscal year 2022 performance. In addition, on January 27, 2025, pursuant to the 2024 Plan, the Company granted awards of restricted stock units representing 32,500 and 20,000 shares of our common stock to Mr. Vitiritto and Mr. Stewart, respectively, which vest in their entirety on the fourth anniversary of the grant date. The purpose of these awards was to recognize and incentivize the executives’ continued leadership and guidance during a challenging operating environment and further align their long-term interests with the Company’s shareholders.

Under the terms of the plan for 2022, if the Company’s 2022 operating income exceeded the minimum threshold of $105 million, Mr. Vitiritto would receive restricted shares representing 25%, 50%, 60% or 70% of his base salary based on the actual operating income level achieved, with the maximum grant amount being issued at an operating income of $135 million or higher. At the target operating income performance level of $125 million, Mr. Vitiritto would receive restricted shares representing 60% of his base salary. The restricted shares earned, if any, would be granted following completion of the 2022 performance year and vest in equal annual installments over a four-year period, subject to the employee’s continued service with the Company. For purposes of the plan, consolidated operating income excluded the impact of any cash bonus or