Company: PTPI
Filing Date: 2025-03-07
Form Type: PRE 14A
Source: 0001104659-25-021794
Chunk: 56

Company: Petros Pharmaceuticals, Inc.
Filing Date: 2025-03-07
Form: PRE 14A
Chunk 56
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on the satisfaction of pre-established criteria, in installments, or otherwise, as the committee may determine. Except to the extent
restricted under the award agreement relating to the stock award, a participant will have all of the rights of a stockholder as to those
shares, including the right to vote and the right to receive dividends or distributions on the shares; provided, however, that dividends
with respect to stock awards shall vest and be paid if and to the extent that the underlying stock award vests and is paid. All unvested
stock awards are forfeited if the participant’s employment or service is terminated for any reason, unless the committee determines
otherwise.

Stock Units

Under the 2020 Plan, the
committee may grant restricted stock units to eligible participants. Restricted stock units are phantom units that represent
shares of the Company’s Common Stock. Restricted stock units become payable on terms and conditions determined by the committee
and will be payable in cash or shares of the Company’s stock as determined by the committee. All unvested restricted stock units
are forfeited if the participant’s employment or service is terminated for any reason, unless the committee determines otherwise.

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Other Stock-Based Awards

Under the 2020 Plan, the
committee may grant other types of awards that are based on or measured by shares of the Company’s Common Stock to eligible participants.
The committee will determine the terms and conditions of such awards. Other stock-based awards may be payable in cash, shares of the
Company’s Common Stock, or a combination of the two.

Dividend Equivalents

Under the 2020 Plan, the
committee may grant dividend equivalents in connection with awards of stock units or other stock-based awards made under the 2020
Plan. Dividend equivalents entitle the participant to receive amounts equal to ordinary dividends that are paid on the shares underlying
an award while the award is outstanding. Dividend equivalents may be paid in cash, in shares of the Company’s Common Stock, or
in a combination of the two. The committee will determine the terms and conditions of the dividend equivalent awards, including whether
the awards are payable upon the achievement of specific performance goals; provided, however, that dividend equivalents shall vest and
be paid only if and to the extent that the underlying stock units or other stock-based awards vest and are paid. For the avoidance
of doubt, no dividends or dividend equivalents will be granted with respect to stock options or stock appreciation rights.

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