Company: EGP
Filing Date: 2025-10-23
Form Type: 10-Q
Source: 0000049600-25-000109
Chunk: 98

Company: EASTGROUP PROPERTIES INC
Filing Date: 2025-10-23
Form: 10-Q
Item: Part I, Item 8
Chunk 98
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 remaining service period (34% vests at the end of the one-year performance period and 33% vests in each of the following two years).  Equity compensation is also awarded to the Company’s non-executive officers and directors, which are subject to service only conditions and expensed on a straight-line basis over the required service period.  The total compensation expense is based upon the fair market value of the shares on the grant date.The Committee has adopted an Equity Award Retirement Policy (the “retirement policy”) which allows for accelerated vesting of unvested shares for retirement-eligible employees (defined as employees who meet certain age and years of service requirements). In order to qualify for accelerated vesting upon retirement, the eligible employees must provide required notification under the retirement policy and must retire from the Company. The Company has adjusted its stock-based compensation expense to accelerate the recognition of expense for retirement-eligible employees.Stock-based compensation cost for employees was $2,870,000 and $9,931,000 for the three and nine months ended September 30, 2025, respectively, of which $451,000 and $1,375,000 was capitalized as part of the Company’s development costs.  For the three and nine months ended September 30, 2024, stock-based compensation cost for employees was $2,801,000 and $9,249,000, respectively, of which $486,000 and $1,526,000 was capitalized as part of the Company’s development costs.  Stock-based compensation expense for directors was $211,000 and $609,000 for the three and nine months ended September 30, 2025, respectively, and $211,000 and $554,000 for the same periods in 2024.

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EASTGROUP PROPERTIES, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Following is a summary of the total restricted shares granted, forfeited and delivered (vested) to participants with the related weighted average grant date fair value share prices.  Of the shares that vested in the nine months ended September 30, 2025, the Company withheld 24,745 shares to satisfy the tax obligations for those participants who elected this option as permitted under the applicable equity plan.  As of the grant dates, the fair value of shares that were granted during the nine months ended September 30, 2025 was $11,928,000.  As of