Company: PTHS
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001753926-25-000503
Chunk: 1442

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 7A
Chunk 1442
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 by the administrator in
its discretion. Restrictions could include conditions that require the participant to forfeit the shares in the event that the
participant ceases to provide services to us or any of our affiliates thereof before a stated time. RSUs are similar to restricted
stock except that no shares are actually issued to the participant on the RSU grant date. Rather, and provided all applicable
restrictions are satisfied, shares of Common Stock are generally delivered at settlement of the award. The period of restriction,
the number of shares of restricted stock or the number of RSUs granted, the purchase price, if any, and such other conditions
and/or restrictions as the administrator may establish will be set forth in an award agreement. Participants holding RSUs will
not have voting rights or other rights as a stockholder until any shares related to the RSU are issued. After all conditions and
restrictions applicable to restricted shares and/or RSUs have been satisfied or have lapsed, shares of restricted stock will become
freely transferable and RSUs may be settled in cash, in shares of our Common Stock or in some combination of cash and shares of
our Common Stock, as determined by the administrator and stated in the award agreement. 

Performance
shares and performance share units (“PSUs”). With respect to an award of performance shares and/or PSUs, the administrator
will establish performance periods and performance goals. The extent to which a participant achieves their performance goals during
the applicable performance period will determine the value and/or the number of performance shares and/or PSUs earned by such
participant. Payment of earned performance shares and/or PSUs will be in cash, shares of our Common Stock or some combination
of cash and shares of our Common Stock, as determined by the administrator and stated in the award agreement. 

Other
awards. The administrator may issue other types of equity-based or equity-related awards under the 2023 Plan, on such terms
and conditions as the administrator shall determine in its discretion.

Dividends.
Participants holding restricted stock and performance shares will be entitled to receive dividends on our shares, provided that
in the discretion of the administrator, participants will not be entitled to dividends with respect to unvested restricted stock
and performance shares until the stock or shares vest, respectively. Dividend equivalent units may, but are not required to, be
issued with respect to RSUs or PSUs and may be paid in cash, additional shares of our Common Stock or a combination on the date
the shares