EXHIBIT 4.3
Form of Stock Option Agreement to be entered into
with respect to Non-Incentive Stock Options
STOCK OPTION AGREEMENT
FOR NON-INCENTIVE STOCK OPTIONS PURSUANT TO THE
GFSB BANCORP, INC.
1995 STOCK OPTION PLAN
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Non-Employee Directors
STOCK OPTIONS for a total of 4,066 shares of Common Stock, par value $.10
per share, of GFSB Bancorp, Inc. (the "Company") is hereby granted to
_______________________ (the "Optionee") at the price determined as provided in,
and in all respects subject to the terms, definitions and provisions of the 1995
Stock Option Plan (the "Plan") adopted by the Company which is incorporated by
reference herein, receipt of which is hereby acknowledged. Such Stock Options do
not comply with Options granted under Section 422 of the Internal Revenue Code
of 1986, as amended.
1. Option Price. The Option price is $________ for each Share, being 100%
of the fair market value, as determined by the Committee, of the Common Stock on
the date of grant of this Option (January 5, 1996).
2. Exercise of Option. This Option shall be exercisable in accordance with
provisions of the Plan as follows:
(a) Schedule of Rights to Exercise.
Date Percentage of Total Shares
---- Awarded Which Are
Number Non-forfeitable
------ ---------------------------
Upon grant........................ 0 0%
As of January 5, 1997............. 813 20%
As of January 5, 1998............. 1,626 40%
As of January 5, 1999............. 2,439 60%
As of January 5, 2000............. 3,252 80%
As of January 5, 2001............. 4,066 100%
Options shall continue to vest annually provided that such holder remains
a director or director's emeritus. Notwithstanding any provisions in this
Section 2, in no event shall this Option be exercisable prior to six months
following the date of grant. Options shall be 100% vested and exercisable upon
the death or disability of the Optionee, or upon a Change in Control of the
Company.
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(b) Method of Exercise. This Option shall be exercisable by
a written notice which shall:
(i) State the election to exercise the Option, the number of
Shares with respect to which it is being exercised, the person in whose
name the stock certificate or certificates for such Shares of Common Stock
is to be registered, his address and Social Security Number (or if more
than one, the names, addresses and Social Security Numbers of such
persons);
(ii) Contain such representations and agreements as to the
holder's investment intent with respect to such shares of Common Stock as
may be satisfactory to the Company's counsel;
(iii) Be signed by the person or persons entitled to exercise
the Option and, if the Option is being exercised by any person or persons
other than the Optionee, be accompanied by proof, satisfactory to counsel
for the Company, of the right of such person or persons to exercise the
Option; and
(iv) Be in writing and delivered in person or by certified
mail to the Treasurer of the Company.
Payment of the purchase price of any Shares with respect to which the
Option is being exercised shall be by certified or bank cashier's or teller's
check. The certificate or certificates for shares of Common Stock as to which
the Option shall be exercised shall be registered in the name of the person or
persons exercising the Option.
(c) Restrictions on Exercise. This Option may not be exercised if
the issuance of the Shares upon such exercise would constitute a violation of
any applicable federal or state securities or other law or valid regulation. As
a condition to the Optionee's exercise of this Option, the Company may require
the person exercising this Option to make any representation and warranty to the
Company as may be required by any applicable law or regulation.
3. Non-transferability of Option. This Option may not be transferred in
any manner otherwise than by will or the laws of descent or distribution and may
be exercised during the lifetime of the Optionee only by the Optionee. The terms
of this Option shall be binding upon the executors, administrators, heirs,
successors and assigns of the Optionee.
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4. Term of Option. This Option may not be exercised more than ten (10)
years from the date of grant of this Option, as set forth below, and may be
exercised during such term only in accordance with the Plan and the terms of
this Option.
GFSB Bancorp, Inc.
Date of Grant: January 5, 1996 By:_______________________________
Attest:
_________________________________
[SEAL]
NON-INCENTIVE STOCK OPTION EXERCISE FORM
PURSUANT TO THE
GFSB BANCORP, INC.
1995 STOCK OPTION PLAN
_____________________
(Date)
GFSB Bancorp, Inc.
211 West Aztec
Gallup, New Mexico 87301
Dear Sir:
The undersigned elects to exercise the Non-Incentive Stock Option to
purchase _________ shares, par value $.10, of Common Stock of GFSB Bancorp, Inc.
under and pursuant to a Stock Option Agreement dated _______________, 19_____ .
Delivered herewith is a certified or bank cashier's or teller's check
and/or shares of Common Stock, valued at the fair market value of the stock on
the date of exercise, as set forth below.
$__________ of cash or check
__________ of Common Stock
$ Total
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The name or names to be on the stock certificate or certificates and the
address and Social Security Number of such person(s) is as follows:
Name_________________________________________
Address______________________________________
Social Security Number_______________________
Very truly yours,
________________________________