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Exhibit 10.25
TRANSTECHNOLOGY CORPORATION
NON-EMPLOYEE DIRECTOR STOCK OPTION AGREEMENT
This Agreement dated as of _________________ (the "Agreement") between
TransTechnology Corporation, a Delaware corporation (the "Company"),
and_________________________________________________________________________
("Optionee").
WHEREAS, pursuant to the TransTechnology Corporation 1998 Non-Employee
Directors" Stock Option Plan (the "Plan"), the Board of Directors and
shareholders have authorized the granting to Optionee of options to purchase
shares of common stock ($0.01 par value, per share) of the Company (the
'shares") upon the terms and conditions hereinafter stated.
NOW, THEREFORE, in consideration of the covenants herein set forth, and
for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties agree as follows:
1. Shares and Price. The Company grants to Optionee the right to
purchase, upon and subject to the terms and conditions herein
stated and the terms and conditions of the Plan,
__________________ Shares, at the purchase price of $______
per share (the "Options"). The purchase price is payable in
accordance with Paragraph 5 hereof.
2. Term of Option. The Options shall expire five (5) years from
the date hereof.
3. Exercisability. The Options shall be exercisable beginning on
the first anniversary of the date hereof; provided, however,
that during each of the three years beginning June 17, 1999
and ending June 16, 2002, the Optionee shall not be permitted
to acquire more than 5,000 Shares through the exercise of the
Options and/or any other options granted during the Initial
Term (from June 1, 1998 through June 16, 2001), with the
exception of Options granted under Section 5.5 of the Plan.
4. Partial Exercise. Subject to the provisions hereof, the
Options may be exercised in whole or in part in accordance
with Paragraph 5 hereof at any time after becoming
exercisable, but not later than the date the Options expire.
5. Exercise and Payment of Purchase Price. The Options may only
be exercised by delivery to the Company of a written notice of
exercise, in form acceptable to the Company, stating the
number of Shares then being purchased hereunder and a check
made payable to the Company, or cash, in the amount of the
purchase price of such Shares. At the discretion of the Board
of Directors, the Options may be exercised with Shares of the
Company owned by the Optionee at the time of exercise or
issuable to the Optionee upon exercise of the Options, in
either case with such Shares having a market value equal to
the product of the purchase price at the date of exercise and
the number of Shares with respect to which such Options are
thereby exercised.
6. Termination of Service as a Director. If Optionee ceases to be
a director of the Company for any reason other than his death,
Optionee shall have the right to
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exercise the Options to the extent, but only to the extent,
that the Options were exercisable and had not previously been
exercised at the date of such termination of service, until
the first to occur of: (i) the date that is 90 days from the
date of such termination or (ii) the date the Options expire
pursuant to Paragraph 2 hereof.
7. Death of Optionee and No Assignment. The Options shall not be
assignable or transferable except by will or by the laws of
descent and distribution and shall be exercisable during the
Optionee's lifetime only by the Optionee. In the event of the
Optionee's death, the permitted successors to the Optionee's
rights hereunder may exercise the Options, to the extent, but
only to the extent, that the Optionee was entitled to exercise
the Options at the date of Optionee's death, until the first
to occur of (i) the date that is one year from the date of the
Optionee's death, or (ii) the date such Options expire
pursuant to Paragraph 2 hereof.
8. Change of Control. In the event of a Change of Control, as
defined in the Plan, (except if the Board of Directors of the
Company provides otherwise prior to the Change of Control as
permitted under the Plan), the Options shall become
immediately exercisable; provided, however, that in no event
shall the Options become exercisable prior to the date that is
six months from the date hereof.
9. No Rights as Stockholder. Optionee shall have no rights as a
stockholder with respect to the Shares covered by the Options
until the date of the issuance of stock certificates
representing the Shares acquired pursuant to the exercise of
the Options. No adjustment will be made for dividends or other
rights for which the record date is prior to the date such
stock certificates are issued pursuant to the exercise of the
Options.
10. Modification and Termination. The rights of Optionee are
subject to modification and termination in certain events as
provided in the Plan.
11. Shares Purchased for Investment. Optionee represents and
agrees that if Optionee exercises the Options in whole or in
part, Optionee shall acquire the Shares upon such exercise for
the purpose of investment and not with a view to their resale
or distribution. The Company reserves the right to include a
legend on each certificate representing shares subject to the
Options, stating in effect that such Shares have not been
registered under the Securities Act of 1933 (the "Act"), as
amended, and may not be transferred without registration under
the Act or an exemption therefrom.
12. This Agreement Subject to Plan. Optionee acknowledges that
Optionee has read and understands the Plan. This Agreement is
made pursuant to the provisions of the Plan, and is intended,
and shall be interpreted in a manner, to comply therewith. Any
provision hereof inconsistent with the Plan shall be
superseded and governed by the Plan. The provisions of the
Plan are incorporated herein by this reference.
13. Governing Law. To the extent not preempted by Federal law,
this Agreement shall be construed in accordance with and shall
be governed by the laws of the State of Delaware.
14. Notices. Any notices or other communication required or
permitted hereunder shall be sufficiently given if delivered
personally or sent by registered or certified mail,
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postage prepaid, to the Company at its corporate headquarters,
and to the Optionee at the last address maintained for such
person in the records of the Company, or to such other address
as shall be furnished in writing by either party to the other
party, and shall be deemed to have been given as of the date
so delivered or deposited in the United States mail, as the
case may be.
IN WITNESS WHEREOF, the parties hereto have executed the Agreement effective as
of the date first written above.
TRANSTECHNOLOGY CORPORATION
("Company")
____________________________________________
Michael J. Berthelot
Chairman, President and
Chief Executive Officer
("Optionee")
____________________________________________
Optionee Name
Grant Number: _______