| | IMPORTANT NOTICE REGARDING THE AVAILABILITY OF PROXY MATERIALS FOR THE SPECIAL MEETING OF STOCKHOLDERS TO BE HELD ON This notice of meeting and the accompanying proxy statement are available at www.proxyvote.com. | | |
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | 27 | | | |
| | | | | 27 | | | |
| | | | | 27 | | | |
| | | | | 27 | | | |
| | | | | ||||
| | |||||||
| | | | | | | ||
| | | | | | | ||
| | | | | | |
| | | | | ||||
| |
| | IMPORTANT NOTICE REGARDING THE AVAILABILITY OF PROXY MATERIALS FOR THE SPECIAL MEETING OF STOCKHOLDERS TO BE HELD ON This proxy statement and our | | |
Name and Address of Beneficial Owner | | | Amount and Nature of Beneficial Ownership | | | Percent of Class | | ||||||
George Hall 510 Madison Avenue, 9th Floor New York, NY 10022 | | | | | 1,466,170(1) | | | | | | |||
| | ||||||||||||
Ariel Investments, LLC 200 East Randolph Street, Suite 2900 Chicago, IL 60601 | | | | | | | | | | | |
| | Amount and Nature of Beneficial Ownership | | | Percent of Class | | |||||||
Wells Fargo Capital Management Incorporated | |||||||||||||
420 Montgomery Street San Francisco, CA 94104 | | | | | 543,388(3) | | | | | | 10.59% | | |
Footprints Asset Management & Research, Inc. 11422 Miracle Hills Drive, Suite 208 Omaha, NE 68154 | | | | | | | | | | ||||
| |
Name of Beneficial Owner | | | Amount and Nature of Beneficial Ownership | | | Percent of Class | | ||||||
Geoff Barrall | | | | | 27,823(1) | | | | | | * | | |
Joseph A. De Perio | | | | | 35,262 | | | | | | * | | |
Robert B. Fernander | | | | | 18,190 | | | | | | * | | |
Barry L. Kasoff | | | | | 639 | | | | | | * | | |
Tracy McKibben | | | | | 9,411 | | | | | | * | | |
Tavis J. Morello | | | | | — | | | | | | * | | |
Donald H. Putnam | | | | | 8,510 | | | | | | * | | |
Robert Searing | | | | | 14,410(2) | | | | | | * | | |
Alex Spiro | | | | | 16,573 | | | | | | * | | |
Daniel A. Strauss | | | | | — | | | | | | * | | |
Robert G. Torricelli | | | | | 28,724(3) | | | | | | * | | |
Danny Zheng | | | | | 4,432 | | | | | | * | | |
All Directors and Executive Officers as a Group (12 Persons) | | | | | 163,974 | | | | | | 3.29% | | |
Name of Beneficial Owner | | | Amount and Nature of Beneficial Ownership | | | Percent of Class | | ||||||
Joseph A. De Perio | | | | | 47,459 | | | | | | * | | |
Robert B. Fernander | | | | | 18,190(1) | | | | | | * | | |
Tavis J. Morello | | | | | 2,212(2) | | | | | | * | | |
Robert Searing | | | | | 5,000(3) | | | | | | * | | |
Alex Spiro | | | | | 19,161 | | | | | | * | | |
Daniel A. Strauss | | | | | — | | | | | | * | | |
Robert G. Torricelli | | | | | 28,724 | | | | | | * | | |
Danny Zheng | | | | | 14,563 | | | | | | * | | |
All Directors and Executive Officers as a Group (8 Persons) | | | | | 135,309 | | | | | | 2.64% | | |
Name | | Fees Earned or Paid in Cash ($) | | Stock Awards ($)(1) | | All Other Compensation ($)(2) | | Total ($) | | | Fees Earned or Paid in Cash ($) | | Stock Awards ($)(1) | | All Other Compensation ($)(2) | | Total ($) | | ||||||||||||||||||||||||||||||||
Joseph A. De Perio | | | | 125,000 | | | | | 163,800 | | | | | 0 | | | | | 288,800 | | | | | | 107,143 | | | | | 41,668 | | | | | 23,334 | | | | | 172,145 | | | ||||||||
Barry L. Kasoff | | | | 15,514 | | | | | 0 | | | | | 0 | | | | | 15,514 | | | | | | 12,500 | | | | | 0 | | | | | 0 | | | | | 12,500 | | | ||||||||
Tracy McKibben | | | | 50,000 | | | | | 75,000 | | | | | 0 | | | | | 125,000 | | | | | | 66,985 | | | | | 25,001 | | | | | 0 | | | | | 91,986 | | | ||||||||
Donald H. Putnam | | | | 52,555 | | | | | 95,900 | | | | | 0 | | | | | 148,455 | | | | | | 55,106 | | | | | 25,001 | | | | | 23,334 | | | | | 103,441 | | | ||||||||
Robert Searing | | | | 62,500 | | | | | 75,000 | | | | | 0 | | | | | 137,500 | | | | | | 82,143 | | | | | 25,001 | | | | | 0 | | | | | 107,144 | | | ||||||||
Alex Spiro | | | | 72,041 | | | | | 75,000 | | | | | 70,000 | | | | | 147,041 | | | | | | 60,000 | | | | | 25,001 | | | | | 23,334 | | | | | 108,335 | | | ||||||||
Robert Torricelli | | | | 29,384 | | | | | 25,001 | | | | | 0 | | | | | 54,385 | | |
| Joseph A. De Perio | | | Joseph A. De Perio, age 39, is our Chairman and principal executive officer. Mr. De Perio joined our Board on May 20, 2015. On March 22, 2017, the Board appointed Joseph De Perio to serve as its Chairman and as the Company’s principal executive officer, effective on the same day. Previously, Mr. De Perio served as the Board’s Non-Executive Chairman. Mr. De Perio has served as a Senior Portfolio Manager of Clinton since October 2010; he also served in a similar capacity from 2006 until December 2007. From December 2007 until October 2010, Mr. De Perio was a Vice President at Millennium Management, L.L.C., a global investment management firm. Mr. De Perio was a Private Equity Associate at Trimaran Capital Partners, a private investment firm, from 2004 until 2006 and an analyst and associate in the mergers and acquisitions department at CIBC Oppenheimer, a national investment boutique, from 2000 until 2004. Mr. De Perio also served on the board of directors of Viking Systems, Inc., a leading worldwide developer, manufacturer and marketer of 3D and 2D visualization solutions for complex minimally invasive surgery, from June 2011 until its sale to Conmed Corporation in October 2012, and Overland Storage, Inc. (f/k/a Overland Data, Inc.), a provider of data protection appliances, from April 2011 until its sale to Sphere 3D Corporation in December 2014. Mr. De Perio also served on the board of directors of EveryWare Global, Inc., a provider of tabletop and food preparation products for the consumer and foodservice markets, from May 2013 until April 2015 when the company filed for protection under Chapter 11 of the United States Bankruptcy Code pursuant to a pre-packaged plan of reorganization. Mr. De Perio received a B.A. in | |
| | | | business economics and organizational behavior management with honors from Brown University.Mr. De Perio brings to our Board his over 15 years’ experience in corporate finance, including over 10 years as an investment analyst and portfolio manager in private equity and public equity, and his experience as a director of public companies. | |
| Robert G. Torricelli | | | Robert G. Torricelli, age 66, joined our Board on February 27, 2017. Mr. Torricelli served in the U.S. House of Representatives from the Ninth District of New Jersey from 1982 until his election to the U.S. Senate in 1996, where he served until 2003. During his tenure in the Senate, Mr. Torricelli was a member of the Senate Finance, Governmental Affairs, Foreign Relations, Judiciary and Rules Committees and also served as Chair of the Democratic Senatorial Campaign Committee. Upon retiring from the Senate, Mr. Torricelli established a national and international business strategy firm, Rosemont Associates LLC, and created a real estate development business, Woodrose Properties LLC. | |
| | | | Mr. Torricelli brings to our board extensive leadership and strategic business experience. | |
| Robert Searing | | | Robert Searing, age 69, joined our Board on August 26, 2015. Mr. Searing has been the Chief Operating Officer and the Chief Financial Officer of BH Asset Management, LLC, a Registered Investment Advisory firm, since January 2010. From 2003 to 2009, he was the Chief Operating Officer of Schottenfeld Group, LLC, an investment advisory and broker dealer firm. Mr. Searing is also a Certified Public Accountant. | |
| | | | Mr. Searing brings to our Board his experience as a financial leader with significant depth and breadth of knowledge in dealing with complex financial and accounting matters as well as broad managerial expertise. | |
| Alex Spiro | | | Alex Spiro, age 35, joined our Board on August 26, 2015. Mr. Spiro has been a partner at Quinn Emanuel Urquhart & Sullivan LLP since October 2017. Prior to that, Mr. Spiro had been an attorney at Brafman and Associates in New York City since July 2013. In that position, Mr. Spiro has handled an array of complex litigation and investigations. Prior to his joining Brafman and Associates, from September 2008 to July 2013, Mr. Spiro worked as a Manhattan prosecutor. Mr. Spiro formerly was the director of an autism children’s program at McLean Hospital, Harvard’s psychiatric hospital. Mr. Spiro is a graduate of the Harvard Law School where he remains on the adjunct faculty. He has lectured and written on a variety of subjects related to psychology and the law. | |
| | | | Mr. Spiro brings to our Board his significant analytical and overall business leadership skills. | |
| | Fiscal Year 2016(1) | | Fiscal Year 2015 | | | Fiscal Year 2017 | | Fiscal Year 2016(1) | | ||||||||||||||||
Audit Fees: | | | | | ||||||||||||||||||||||
GAAP and statutory audits | | | $ | 467,731 | | | | $ | 2,527,091 | | | | | $ | 302,552 | | | | $ | 467,731 | | | ||||
Audit-Related Fees: | | | | | ||||||||||||||||||||||
Services related to business transactions | | | $ | 0 | | | | $ | 0 | | | | | $ | 0 | | | | $ | 0 | | | ||||
Employee benefit plan audits | | | $ | 12,250 | | | | $ | 6,000 | | | | | $ | 0 | | | | $ | 12,250 | | | ||||
Attest services and other | | | $ | 57,182 | | | | $ | 15,239 | | | | | $ | 0 | | | | $ | 57,182 | | | ||||
Total Audit-Related Fees | | | $ | 69,432 | | | | $ | 21,239 | | | | | $ | 302,552 | | | | $ | 69,432 | | | ||||
Tax Fees (tax preparation, advice and consulting) | | | $ | 58,839 | | | | $ | 450,438 | | | | | $ | 20,188 | | | | $ | 58,839 | | | ||||
All Other Fees: | | | | | ||||||||||||||||||||||
Other Business Consulting Fees | | | $ | 202,935 | | | | $ | 0 | | | | | $ | 12,128 | | | | $ | 202,935 | | | ||||
Financial training materials | | | $ | 1,800 | | | | $ | 3,600 | | | | | $ | 0 | | | | $ | 1,800 | | |
Name and Principal Position | | | Year | | | Salary ($) | | | Bonus ($) | | | Stock Awards ($)(1) | | | Options Awards ($) | | | Non-Equity Incentive Plan Compensation ($)(2) | | | Change in Pension Value and Non-Qualified Deferred Compensation Earnings ($)(3) | | | All Other Compensation ($)(4) | | | Total ($) | | |||||||||||||||||||||||||||
Danny Zheng Interim Chief Executive Officer and Chief Financial Officer | | | | | 2017 | | | | | | 303,750 | | | | | | 0 | | | | | | 316,360 | | | | | | 0 | | | | | | 181,625 | | | | | | 906 | | | | | | 7,174 | | | | | | 809,805 | | |
| | | 2016 | | | | | | 265,469 | | | | | | 240,000 | | | | | | 0 | | | | | | 0 | | | | | | 149,625 | | | | | | 918 | | | | | | 60,613 | | | | | | 716,625 | | |
Name and Principal Position | | | Year | | | Salary ($) | | | Bonus ($)(1) | | | Stock Awards ($)(2) | | | Options Awards ($)(3) | | | Non-Equity Incentive Plan Compensation ($)(4) | | | Non-Qualified Deferred Compensation Earnings ($)(5) | | | All Other Compensation ($)(6) | | | Total ($) | | |||||||||||||||||||||||||||
Danny Zheng Interim Chief Executive Officer; Chief Financial Officer | | | | | 2016 | | | | | | 265,469 | | | | | | 240,000 | | | | | | 0 | | | | | | 0 | | | | | | 149,625 | | | | | | 918 | | | | | | 60,613 | | | | | | 716,625 | | |
Tavis J. Morello General Counsel and Corporate Secretary | | | | | 2016 | | | | | | 70,769 | | | | | | 0 | | | | | | 53,000 | | | | | | 0 | | | | | | 20,795 | | | | | | 0 | | | | | | 0 | | | | | | 144,564 | | |
Geoff S. Barrall Former Chief Technology Officer | | | | | 2016 | | | | | | 602,308 | | | | | | 25,066 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 627,374 | | |
Robert B. Fernander Former Interim Chief Executive Officer | | | | | 2016 | | | | | | 602,308 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 7,998 | | | | | | 610,306 | | |
| | | | | 2015 | | | | | | 129,231 | | | | | | 0 | | | | | | 1,165,220 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 6,742 | | | | | | 1,301,193 | | |
Name and Principal Position | | | Year | | | Salary ($) | | | Bonus ($) | | | Stock Awards ($)(1) | | | Options Awards ($) | | | Non-Equity Incentive Plan Compensation ($)(2) | | | Change in Pension Value and Non-Qualified Deferred Compensation Earnings ($)(3) | | | All Other Compensation ($)(4) | | | Total ($) | | |||||||||||||||||||||||||||
Tavis J. Morello Former General Counsel and Corporate Secretary(5) | | | | | 2017 | | | | | | 257,346 | | | | | | 0 | | | | | | 152,950 | | | | | | 0 | | | | | | 89,422 | | | | | | 0 | | | | | | 0 | | | | | | 576,193 | | |
| | | 2016 | | | | | | 70,769 | | | | | | 0 | | | | | | 53,000 | | | | | | 0 | | | | | | 20,795 | | | | | | 0 | | | | | | 0 | | | | | | 144,564 | | | ||
Daniel Strauss Chief Operating Officer(6) | | | | | 2017 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | |
Robert B. Fernander Former Interim Chief Executive Officer(7) | | | | | 2017 | | | | | | 159,017 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 301,523 | | | | | | 460,540 | | |
| | | 2016 | | | | | | 602,308 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 7,998 | | | | | | 610,306 | | |
| | Perks and Other Personal Benefits ($)(1) | | Tax Reimbursements ($) | | Registrant Contributions to 401(k) and Non-Qualified Pension Plans ($) | | Severance Payment ($) | | | Perks and Other Personal Benefits ($)(1) | | Registrant Contributions to 401(k) and Non-Qualified Pension Plans ($) | | Severance Payment ($) | | ||||||||||||||||||||||||||||
Danny Zheng | | | | 60,613 | | | | | 0 | | | | | 0 | | | | | 0 | | | | | | 7,174 | | | | | 0 | | | | | 0 | | | |||||||
Daniel A. Strauss | | | | 0 | | | | | 0 | | | | | 0 | | | ||||||||||||||||||||||||||||
Tavis J. Morello | | | | 0 | | | | | 0 | | | | | 0 | | | | | 0 | | | | | | 0 | | | | | 0 | | | | | 0 | | | |||||||
Geoff S. Barrall | | | | 0 | | | | | 0 | | | | | 0 | | | | | 0 | | | |||||||||||||||||||||||
Robert B. Fernander | | | | 7,998 | | | | | 0 | | | | | 0 | | | | | 0 | | | | | | 1,523 | | | | | 0 | | | | | 300,000(2) | | |
| | Option Awards | | Stock Awards | | | Option Awards | | | | | | | | | | | | Stock Awards | | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Name | | Number of Securities Underlying Unexercised Options (#) Exercisable | | Number of Securities Underlying Unexercised Options (#) Unexercisable | | Option Exercise Price ($) | | Option Expiration Date | | Number of Shares or Units of Stock Held That Have Not Vested (#) | | Market Value of Shares or Units of Stock That Have Not Vested ($)(1) | | | Number of Securities Underlying Unexercised Options (#) Exercisable | | Number of Securities Underlying Unexercised Options (#) Unexercisable | | Option Exercise Price ($) | | Option Expiration Date | | Number of Shares or Units of Stock Held That Have Not Vested (#) | | Market Value of Shares or Units of Stock That Have Not Vested ($)(1) | | ||||||||||||||||||||||||||||||||||||||||||||||||
Danny Zheng | | | | 335(2) | | | | | | | | | | 57.90 | | | | | 05/01/2022 | | | | | | | | 335(2) | | | | | — | | | | | 57.90 | | | | | 05/01/2022 | | | | |||||||||||||||||||||||||||||
| | | | 395(2) | | | | | | | | | | 96.50 | | | | | 05/03/2021 | | | | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | | 162(2) | | | | | | | | | | 106.10 | | | | | 05/04/2020 | | | | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | | 106(2) | | | | | | | | | | 101.90 | | | | | 05/05/2019 | | | | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | | | | | | | | | | | | | | | | | | | | | | 1,078(3) | | | | | 8,840 | | | |||||||||||||||||||||||||||||||||||||||||||
Danny Zheng | | | | | 395(2) | | | | | — | | | | | 96.50 | | | | | 05/03/2021 | | | | |||||||||||||||||||||||||||||||||||||||||||||||||||
| | | 162(2) | | | | | — | | | | | 106.10 | | | | | 05/04/2020 | | | | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | 106(2) | | | | | — | | | | | 101.90 | | | | | 05/05/2019 | | | | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | | | | | | | | | | | | | | | | | | | | | 45,000(3) | | | | | 41,850 | | | ||||||||||||||||||||||||||||||||||||||||||||
| | | | | | | | | | | | | | | | | | | | | | | 10,000(3) | | | | | 82,000 | | | | | | | | | | | | | | | | | | | | | | | | | | 6,667(3) | | | | | 6,200 | | | |||||||||||||
Geoff Barrall | | | | 10,000(2) | | | | | 20,000 | | | | | 14.00 | | | | | 12/07/2025 | | | | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| | | | | | | | | | | | | | | | | | | | | | | | 710(3) | | | | | 5,822 | | | |||||||||||||||||||||||||||||||||||||||||||
Robert B Fernander | | | | | | | | | | | | | | | | | | | | | | | | 57,400(3) | | | | | 470,680 | | | |||||||||||||||||||||||||||||||||||||||||||
Tavis Morello | | | | | | | | | | | | | | | | | | | | | | | | | 35,000 | | | | | 32,550 | | | ||||||||||||||||||||||||||||||||||||||||||
| ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Robert B. Fernander | | | | | | | | | | | | | | | | | | | | | | | | 0(4) | | | | | 0 | | |
| | | Number of Shares that Have Not Vested | | | Vesting in 2019 | | | Vesting in 2020 | | | Vesting in 2021 | | ||||||||||||
Danny Zheng | | | | | 45,000 | | | | | | 15,000 | | | | | | 15,000 | | | | | | 15,000 | | |
Tavis Morello | | | | | 6,667 | | | | | | 3,333 | | | | | | 3,334 | | | | |||||
| | | | | 35,000 | | | | | | 11,666 | | | | | | 11,667 | | | | | | 11,667 | | |
Name | | Plan Name | | Number of Years Credited Service(1) (#) | | Present Value of Accumulated Benefit(2) ($) | | Payments During Last Fiscal Year ($) | | | Plan Name | | Number of Years Credited Service(1) (#) | | Present Value of Accumulated Benefit(2) ($) | | Payments During Last Fiscal Year ($) | | ||||||||||||||||||||||||||
Danny Zheng | | Pension Plan | | | | 2 | | | | | 22,964 | | | | | 0 | | | | | Pension Plan | | | | 2 | | | | | 23,831 | | | | | 0 | | | |||||||
| | Non-Qualified Pension Plan | | | | 8 | | | | | 1,024 | | | | | 0 | | | ||||||||||||||||||||||||||
Danny Zheng | | | Non-Qualified Pension Plan | | | | 9 | | | | | 1,063 | | | | | 0 | | |
Name | | Base Salary ($)(1) | | Accrued Unused PTO ($) | | Annual Bonus ($)(2) | | Total ($) | | | Base Salary ($)(1) | | Accrued Unused PTO ($) | | Annual Bonus ($)(2) | | Total ($) | | ||||||||||||||||||||||||||||||||
Danny Zheng | | | | 130,000 | | | | | 28,036 | | | | | 121,500 | | | | | 279,536 | | | | | | 157,500 | | | | | 34,854 | | | | | 161,327 | | | | | 353,682 | | | ||||||||
Tavis Morello | | | | 115,000 | | | | | 5,443 | | | | | 20,795 | | | | | 141,238 | | | | | | 130,000 | | | | | 11,663 | | | | | 104,000 | | | | | 245,663 | | | ||||||||
Geoff Barrall | | | | 600,000 | | | | | 69,235 | | | | | | | | | | 600,000 | | | |||||||||||||||||||||||||||||
Robert B Fernander | | | | 600,000 | | | | | 42,695 | | | | | | | | | | 600,000 | | | |||||||||||||||||||||||||||||
David Strauss | | | | 0 | | | | | 0 | | | | | 0 | | | | | 0 | | | |||||||||||||||||||||||||||||
Robert B. Fernander | | | | 0 | | | | | 0 | | | | | 0 | | | | | 0 | | |
Equity Compensation Plans Approved by Stockholders | | | Number of Securities to be Issued Upon Exercise of Outstanding Options, Warrants and Rights | | | Weighted-Average Exercise Price of Outstanding Options, Warrants and Rights | | | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in the First Column) | | |||||||||
2011 Stock Incentive Plan | | | | | 152,140(1) | | | | | $ | 33.95 | | | | | | 226,136 | | |
2008 Stock Incentive Plan | | | | | 115,704 | | | | | $ | 100.24 | | | | | | —(2) | | |
2005 Stock Incentive Plan | | | | | 18,864 | | | | | $ | 289.34 | | | | | | —(2) | | |
Total | | | | | 286,708 | | | | | $ | 77.51 | | | | | | 226,136 | | |
|
| Dated: , | | | BY ORDER OF THE BOARD OF DIRECTORS, General Counsel and Corporate Secretary | |