SOURCE: ProGreen Properties, Inc.

ProGreen Properties, Inc.

June 11, 2012 07:00 ET

ProGreen Approves Stock Option Plan and Issues Special Restricted Stock Units to Management

BIRMINGHAM, MI--(Marketwire - Jun 11, 2012) - ProGreen Properties, Inc. (ProGreen) (OTCBB: PGEI) is pleased to announce that the board of directors has approved the Company's 2012 Employee Stock Option Plan, which will be presented to shareholders for approval in the upcoming AGM to be held following filing of our annual report with the SEC. A total of 10,000,000 shares have been reserved under this plan for the issuance of tax-qualified and non-qualified options and restricted stock to qualifying employees, directors and consultants, including the issuance of restricted stock units (RSUs). The issuance of RSUs have been adopted as a more practical and flexible alternative to stock options at this time, and on June 1, 2012, the Board awarded a total of 4,200,000 RSU's to current management.

A unique feature with this RSU plan is that vesting will be tagged not only to time, but also to a minimum share price, which will send a clear message to share holders.

The RSUs granted to the present management have vesting provisions as follows:

One third or 1,400,000 shares, will vest and can be released annually as of May 31, 2013, May 31, 2014 and May 31, 2015, providing that the common stock is trading at or above $0.15, $0.25 and $0.35 respectively (average closing bid price for 20 trading days).

"We believe these RSUs offer a great financial incentive to management and at the same time, will clearly show that management will only benefit from these RSUs, if the share price increases significantly over time and thus also increase shareholder value," says Jan Telander, President & CEO.

About ProGreen Properties, Inc.

ProGreen Properties, Inc. is a publicly traded property investment company (OTCBB: PGEI) based in Birmingham, Michigan. ProGreen is engaged in the business of acquiring, refurbishing and upgrading potential income-producing residential real estate. ProGreen believes that Michigan offers some of the best investment opportunities in the presently distressed US property market.

This press release contains statements, which may constitute 'forward-looking statements' within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. 'Forward-looking statements' are based upon expectations, estimates and projections at the time the statements are made that involve a number of risks, uncertainties and other factors that could cause actual results or events to differ materially from those anticipated.

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