☐ | Preliminary Proxy Statement | |
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☒ | Definitive Proxy Statement | |
☐ | Definitive Additional Materials | |
☐ | Soliciting Material Pursuant to §240.14a-12 |
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1. |
2. | ELECTION OF CLASS D DIRECTOR: To elect a Class D Director to the Board of Directors to serve until a successor is elected and qualified. |
3. | INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM: To ratify the selection of BDO USA, LLP to serve as the Company's independent registered public accounting firm; and |
OTHER BUSINESS: To transact such other business as may properly come before the Annual Meeting and any adjournment or postponement thereof. |
(1) | Executing a proxy dated later than the most recent proxy given and mailing it to: |
(2) | Appearing in person and voting using a ballot at the Annual Meeting; or |
(3) | Filing an instrument of revocation with the Inspector of Elections at the Annual Meeting. |
Name | Age | Biographical Information |
David Borland | President, Borland Group, an information technology consulting company, since January 2004. Mr. Borland was elected to the Board of Directors in March 2004 after retiring as Deputy Chief Information Officer ("CIO") of the U.S. Army with more than 30 years of experience in the U.S. Government. Mr. Borland's U.S. Army career experience also includes serving as Vice Director of Information Systems for Command, Control, Communications, and Computers; Director of the Information Systems Selection and Acquisition Agency; and numerous other positions. From 1966 through 1970, Mr. Borland served in the U.S. Air Force. Mr. Borland received numerous awards, including the Meritorious Presidential Rank Award for Senior Executive Service Members (1996 and 2003), the Distinguished Presidential Rank Award (2000), and the U.S. Army Decoration for Exceptional Civilian Service (1998 and 2003). Mr. Borland holds a Master's Degree in Finance from George Washington University. Mr. Borland's industry experience and extensive service with the U.S. Army and the U.S. Air Force make him a valuable member of the Board of Directors. |
Name | Age | Biographical Information |
Major General John W. Maluda (USAF, Ret.) | Retired, U.S. Air Force Major General. General Maluda was elected to the Board in October 2009. He retired from the U.S. Air Force in September 2009 after more than 34 years of continuous active duty. At the time of his retirement, General Maluda was Director of Cyberspace Transformation and Strategy, in the Office of the Secretary of the Air Force, and Chief Information Officer. In that capacity, he shaped doctrine, strategy, and policy for communications and information activities and served as the functional advocate for 30,000 personnel. Prior to that, General Maluda was Vice Commander, 8th Air Force, Barksdale Air Force Base, Louisiana. General Maluda enlisted in the Air Force in 1973 and received his commission in 1978 as a distinguished graduate of the ROTC program at Troy State University in Alabama. His career highlights General Maluda's comprehensive experience with the U.S. Air Force and broad industry insight make him a valuable member of the Board of Directors. | |
Robert J. Marino | Retired, Executive Vice President, Special Projects for the Company until February Mr. Marino served the Company for 25 years and remains a valuable advisor to the Company's various business lines. His extensive experience with the Company, and its employees, vendors and customers, makes him a valuable member of the Board of | |
Name | Age | Biographical Information |
Andrew R. Siegel | Managing Member, White Bay Capital Management, LLC. Mr. Siegel has been a director of the Company since June 18, 2007. Mr. Siegel was nominated by Costa Brava, a holder of the Public Preferred Stock. Mr. Siegel was a Senior Vice President of RRHCM from 2005 to December 2008. Prior to joining RRHCM, from July 2003 to February 2004, Mr. Siegel was a member of DebtTraders Ltd. Previously, Mr. Siegel served on the Board of TechTeam Global, Inc. Mr. Siegel received a Bachelor's Degree from American University and a Master's Degree in Business Administration from the University of Maryland. Mr. Siegel was elected pursuant to the Company's governing documents by the holders of the Public Preferred Stock and his election is not subject to any recommendations for election by the Board. The holders of the Public Preferred Stock have not advised the Company of the specific experience, qualifications, attributes or skills that led to the conclusion that Mr. Siegel should serve as a director. | |
William H. Alderman | 55 | Founder and President, Alderman & Company®, founded in 2001, and its affiliate, Alderman & Company Capital, LLC, founded in 2005, a registered broker-dealer providing management consulting and investment banking services, specializing in sell-side M&A services, to the aerospace and defense industry. Mr. Alderman has been a director of the Company since March 21, 2018. Prior to holding his current position, Mr. Alderman held a number of senior positions in corporate development, finance, and banking, such as General Electric Company (NYSE: GE), Aviation Sales Company (NYSE: AVS), and Fieldstone Private Capital Group. Mr. Alderman has also served on several corporate boards and key committees of publicly-held and private companies: Board (currently Chair, Management Resources and Compensation Committee and member of Audit Committee) of DLH Holdings Corp. (NASDAQ: DLHC), a services supplier to the U.S. Department of Defense and the U.S. Department of Veterans Affairs, since 2007; and Board (Chair, Nominating Committee and member of Audit Committee and Strategic Planning Committee) of Breeze-Eastern Corporation (AMEX: BZC), a helicopter winch and aircraft linear actuation systems supplier, from 2007 to 2012. In the past, Mr. Alderman also served on the corporate boards of the following privately-held entities: HM Bullard Company, a retail business; UFC Aerospace Corp., a provider of aerospace logistics/integrated supply chain solutions; and Cox & Co., an ESOP-owned provider of ice protection and temperature control systems to the aerospace industry. He also held a number of non-profit board positions. Mr. Alderman earned an MBA from the J.L. Kellogg Graduate School of Management (1989) and a Bachelor of Arts degree from Kenyon College (1984). He also holds numerous securities industry licenses, including series 7, 24, 63 and 65. Mr. Alderman was appointed to the Board pursuant to the Company's governing documents by Mr. Siegel to fill the vacancy created by Mr. Hamot's resignation and his appointment is not subject to any recommendations for election by the Board. Mr. Siegel has not advised the Company of the specific experience, qualifications, attributes or skills that led to the conclusion that Mr. Alderman should serve as a director. Mr. Alderman is paid through a compensation arrangement with Wynnefield Partners Small Cap Value, L.P. ("Wynnefield"), one of the holders of the Public Preferred Stock. For each full 30-day period of service as a Board member, Mr. Alderman shall receive $5,000.00. In addition, Wynnefield will reimburse Mr. Alderman for all necessary and reasonable travel and related expenses incurred in connection with Board meeting attendance or other required Board activities. |
Name | Age | Biographical Information |
Michele Nakazawa | Executive Vice President, Chief Financial Officer. Ms. Nakazawa joined the Company in March 2004 as Vice President and Controller. Ms. Nakazawa was promoted to Senior Vice President and appointed to serve as CFO in January 2005, and promoted to Executive Vice President in 2008. Ms. Nakazawa also serves as Treasurer for Telos | |
Edward L. Williams | Executive Vice President, Chief Operating Officer. Mr. Williams joined the Company in 1993 as a Senior Vice President responsible for finance, pricing, purchasing, and Defense Contract Audit Agency compliance. In 1994, his responsibilities were expanded to include accounting and business development. In 1996, Mr. Williams was | |
Jefferson V. Wright | Executive Vice President, General Counsel. Mr. Wright joined the Company Prior to joining Miles & Stockbridge in 1981, Mr. Wright clerked for J. Dudley Digges, Associate Judge on the Court of Appeals of Maryland, that State's highest court. Mr. Wright was educated at Georgetown University Law Center in Washington, D.C. (J.D., 1980, with Honors), Tufts University in Medford, Massachusetts (B.A., 1977, Magna Cum Laude),and Landon School in Bethesda, Maryland. | |
Emmett J. Wood | Executive Vice President, Marketing & Strategy. Mr. Wood joined the Company in 1996 and worked in various roles at the Company |
Brendan D. Malloy | Senior Vice President, General Manager, Cyber Operations & Defense.Mr. Malloy joined the Company in 1996, serving initially as a senior account executive before being promoted to director of Department of Defense ("DoD") Sales, and later to Vice President of DoD Sales. In January 2005, he was appointed Senior Vice President of | |
Richard P. Tracy | Senior Vice President, Chief Security Officer. Mr. Tracy joined the Company in October 1986 and held a number of management | |
Rinaldi Pisani | Senior Vice President, Sales & Alliance, since December 2014. Mr. Pisani leads the Company's corporate sales team and is responsible for selling Telos-branded solutions, such as Xacta, and services into federal, commercial and global markets. He is also responsible for supporting strategic partnerships and alliances. From December 2013 to December 2014, Mr. Pisani held the position of Senior Vice President, Strategic Business Development, | |
David S. Easley | Vice President, Finance and Controller. Mr. Easley joined the Company in April 2005 as Director of Finance & Accounting. In October 2005, Mr. Easley was promoted to Controller. Mr. Easley also serves as President and Treasurer of Teloworks, Inc. |
Mark Griffin | President, General Manager, Telos Identity Management Solutions, LLC ("Telos ID"). Mr. Griffin joined the Company in 1984 as program manager. He was promoted to |
Bernard C. Bailey, Chairman |
Charles S. Mahan, Jr. |
Robert J. Marino |
· | To attract and retain highly talented and results-oriented key employees; |
· | To secure the future performance of services of those employees; |
· | To encourage key employees to put forth maximum efforts for both the short-term and long-term success of the Company; |
· | To drive achievement of the Company's long-term growth and profitability objectives; |
· | To reward performance; and |
· | To achieve increased stockholder value. |
· | Compensation should consist of fixed and at-risk compensation, with the at-risk compensation encouraging improved annual and long-term performance. |
· | Compensation should be a mix of annual and long-term compensation, with the long-term compensation encouraging retention and attainment of long-term performance goals. |
· | Compensation should be a mix of cash and equity, with cash rewarding achievement of goals and equity encouraging retention and long-term performance. Additionally, the Compensation Committee continues to believe |
Executive Officer | Bonus Awarded | Bonus Paid in 2014 | Bonus Subject to Continued Employment | |||||||||
John B. Wood | $ | 825,000 | $ | 495,000 | $ | 330,000 | ||||||
Michele Nakazawa | 318,750 | 191,250 | 127,500 | |||||||||
Edward L. Williams | 412,500 | 247,500 | 165,000 | |||||||||
Jefferson V. Wright | 318,750 | 191,250 | 127,500 | |||||||||
Brendan Malloy | 247,500 | 148,500 | 99,000 |
· | a lump-sum payment equivalent to the remaining unpaid portion of the executive's salary for the period ending on the date of termination, |
· | lump-sum payment for all accrued and unused paid time off, |
· | any bonus which has been earned by the respective executive, but which remains unpaid as of the date of the executive's termination of employment, at such time and in such manner as if the executive had continued to be employed by us, and |
· | any other payments or benefits to be provided by us to the executive pursuant to any employee benefit plans or arrangements adopted by the Company (to the extent such benefits are earned and vested or are required by law to be offered) through the date of termination. |
· | a monthly payment equivalent to base salary then in effect over a period of 24 months in the case of Mr. John Wood, and 18 months then in effect for Messrs. Williams, Malloy and Wright and Ms. Nakazawa, |
· | immediate vesting of the unvested portion of any outstanding stock options and any outstanding shares of restricted stock, |
· | the cash equivalent of premium payments for continued coverage under the medical, dental, short and long-term disability, and life insurance and other similar plans equal to 24 months in the case of Mr. John Wood, and 18 months in the case of Messrs. Williams, Malloy and Wright and Ms. Nakazawa, |
· | the cash equivalent of the employer matching contribution as if the executive was still a plan participant under the Company's 401(k) plan that would otherwise have been contributed on the executive's behalf, based on certain assumptions, for a period of 24 months in the case of Mr. John Wood, and 18 months in the case of Messrs. Williams, Malloy and Wright and Ms. Nakazawa, and |
· | payment of premiums to continue the Executive Life Policy, in which the executive is the holder of the policy, for 24 months from the date of termination for Mr. John Wood, and 18 months in the case of Messrs. Williams and Wright, and Ms. Nakazawa. |
· | in the case of Mr. John Wood, |
· | in the case of Mr. Williams, Mr. Wright and Ms. Nakazawa, |
· | in the case of Mr. Malloy, the amount of monthly salary that such executive was being paid as of the date of his termination of employment times 18 months. |
Robert J. Marino, Chairman |
David Borland |
Bruce R. Harris |
Name and Principal Position | Year | Salary | Bonus (1) | Restricted Stock Awards (2) | All Other Compensation (3) | Total | Year | Salary | Bonus1 | Non-Equity Incentive Plan Compensation2 | Restricted Stock Award3 | All Other Compensation3 | Total | |||||||||||||||
John B. Wood | 2014 | $ | 600,000 | $ | 495,000 | ---- | $ | 41,410 | $ | 1,136,410 | 2017 | $600,000 | $660,000 | $220,000 | $9,400 | $41,365 | $1,530,765 | |||||||||||
Chairman, President and CEO | 2013 | 600,000 | 400,000 | 12,000 | 37,654 | 1,049,654 | 2016 | 600,000 | 165,000 | 660,000 | 50,486 | 1,475,486 | ||||||||||||||||
2012 | 588,333 | 1,052,000 | ---- | 29,653 | 1,669,986 | 2015 | 600,000 | 165,000 | ---- | 47,534 | 812,534 | |||||||||||||||||
Michele Nakazawa | 2014 | $ | 375,000 | $ | 191,250 | ---- | $ | 14,493 | $ | 580,743 | 2017 | 375,000 | 255,000 | 85,000 | 2,500 | 15,439 | 732,939 | |||||||||||
Executive V.P. and CFO | 2013 | 373,958 | 175,000 | 4,000 | 12,021 | 564,979 | 2016 | 375,000 | 63,750 | 255,000 | 12,564 | 706,314 | ||||||||||||||||
2012 | 342,708 | 425,000 | ---- | 11,967 | 779,675 | 2015 | 375,000 | 163,750 | ---- | 7,264 | 546,014 | |||||||||||||||||
Edward L. Williams | 2014 | $ | 385,000 | $ | 247,500 | ---- | $ | 34,281 | $ | 666,781 | 2017 | 385,000 | 330,000 | 110,000 | 3,200 | 36,188 | 864,388 | |||||||||||
Executive V.P. and COO | 2013 | 385,000 | 210,000 | 4,000 | 34,416 | 633,416 | 2016 | 385,000 | 82,500 | 330,000 | 33,666 | 831,166 | ||||||||||||||||
2012 | 377,708 | 527,000 | ---- | 30,483 | 935,191 | 2015 | 385,000 | 82,500 | ---- | 23,259 | 490,759 | |||||||||||||||||
Jefferson V. Wright | 2014 | $ | 350,000 | $ | 191,250 | ---- | $ | 43,394 | $ | 584,644 | 2017 | 350,000 | 255,000 | 850 ,000 | 2,400 | 59,503 | 751,903 | |||||||||||
Executive V.P., General Counsel | 2013 | 336,742 | 165,000 | 10,000 | 41,363 | 553,105 | 2016 | 350,000 | 63,750 | 255,000 | 56,531 | 725,281 | ||||||||||||||||
2012 | ---- | ---- | ---- | ---- | ---- | 2015 | 350,000 | 63,750 | ---- | 52,484 | 466,234 | |||||||||||||||||
Brendan D. Malloy | 2014 | $ | 315,000 | $ | 148,500 | ---- | $ | 5,869 | $ | 469,369 | 2017 | 315,000 | 198,000 | 66,000 | 2,000 | 8,399 | 589,399 | |||||||||||
Senior V.P. – Cyber Ops & Defense | 2013 | 315,000 | 135,000 | 2,480 | 4,281 | 456,761 | 2016 | 315,000 | 51,500 | 198,000 | 4,715 | 569,215 | ||||||||||||||||
2012 | 299,375 | 108,500 | ---- | 5,284 | 413,159 | 2015 | 315,000 | 49,500 | ---- | 686 | 365,186 | |||||||||||||||||
Name | Life Insurance and Long-Term Disability Premiums | Savings Plan Company Match | Perquisites (1) | Total All Other Compensation | ||||||||||||
John B. Wood | $ | 11,026 | $ | 5,200 | $ | 25,184 | $ | 41,410 | ||||||||
Michele Nakazawa | 7,264 | 5,200 | 2,029 | 14,493 | ||||||||||||
Edward L. Williams | 11,884 | 5,200 | 17,197 | 34,281 | ||||||||||||
Jefferson V. Wright | 19,356 | 5,200 | 18,838 | 43,394 | ||||||||||||
Brendan D. Malloy | 686 | 4,328 | 855 | 5,869 |
Name | Grant Date | Estimated Future Payouts under Non-Equity Incentive Plan Awards ($) (1) | |||
John B. Wood | 4/10/2014 | $ | 2,750,000 | ||
Michele Nakazawa | 4/10/2014 | 1,062,500 | |||
Edward L. Williams | 4/10/2014 | 1,375,000 | |||
Jefferson V. Wright | 4/10/2014 | 1,062,500 | |||
Brendan D. Malloy | 4/10/2014 | 825,000 | |||
Name | Life Insurance and Long-Term Disability Premiums | Savings Plan Company Match | Perquisites1 | Total All Other Compensation |
John B. Wood | $21,395 | $5,400 | $14,570 | $41,365 |
Michele Nakazawa | 7,154 | 5,400 | 2,885 | 15,439 |
Edward L. Williams | 11,774 | 5,400 | 19,014 | 36,188 |
Jefferson V. Wright | 19,619 | 5,400 | 34,484 | 59,503 |
Brendan D. Malloy | 576 | 5,400 | 2,423 | 8,399 |
Name | Grant Date | Estimated Future Payouts under Non-Equity Incentive Plan Awards1 | All Other Stock Awards: Number of Shares of Stock or Units2 | Grant Date Fair Value of Stock and Option Awards |
John B. Wood | 05/11/2017 | $1,100,000 | ||
05/11/2017 | 940,000 | $9,400 | ||
Michele Nakazawa | 05/11/2017 | 425,000 | ||
05/11/2017 | 250,000 | 2,500 | ||
Edward L. Williams | 05/11/2017 | 550,000 | ||
05/11/2017 | 320,000 | 3,200 | ||
Jefferson V. Wright | 05/11/2017 | 425,000 | ||
05/11/2017 | 240,000 | 2,400 | ||
Brendan D. Malloy | 05/11/2017 | 330,000 | ||
05/11/2017 | 200,000 | 2,000 | ||
Name | Number of Shares or Units of Stock That Have Not Vested (#) (1) | Market Value of Shares or Units of Stock That Have Not Vested ($)(1) | ||||||
John B. Wood | 600,000 | $ | 6,000 | |||||
Michele Nakazawa | 200,000 | 2,000 | ||||||
Edward L. Williams | 200,000 | 2,000 | ||||||
Jefferson V. Wright | 500,000 | 5,000 | ||||||
Brendan D. Malloy | 124,000 | 1,240 | ||||||
Name | Number of Shares or Units of Stock That Have Not Vested1 | Market Value of Shares or Units of Stock That Have Not Vested1 |
John B. Wood | 705,000 | $7,050 |
Michele Nakazawa | 187,500 | 2,400 |
Edward L. Williams | 240,000 | 1,875 |
Jefferson V. Wright | 180,000 | 1,800 |
Brendan D. Malloy | 150,000 | 1,500 |
Name | Number of Shares Acquired on Vesting (#) | Value Realized on Vesting ($)(1) | Number of Shares Acquired on Vesting | Value Realized on Vesting1 | ||||||
John B. Wood | 483,564 | $ | 4,836 | 235,000 | $2,350 | |||||
Michele Nakazawa | 153,688 | 1,537 | 62,500 | 625 | ||||||
Edward L. Williams | 163,506 | 1,635 | 80,000 | 800 | ||||||
Jefferson V. Wright | 250,000 | 2,500 | 60,000 | 600 | ||||||
Brendan D. Malloy | 118,250 | 1,183 | 50,000 | 500 |
John B. Wood | Salary Continuation for 24 Months | Bonuses | Accrued and Unused Vacation as of December 31, 2017 | Benefits for 24 Months1 | Cash Equivalent of Company Match to 401(k) for 24 Months | Total | Restricted Stock that Would Vest | |||||||||||||||||||||
Termination without cause | $ | 1,200,000 | $ | ---- | $ | 69,231 | $ | 79,660 | $ | 10,800 | $ | 1,359,691 | 705,000 | |||||||||||||||
Termination upon death or disability | 1,200,000 | 1,370,000 | 3 | 69,231 | 79,660 | 10,800 | 2,729,691 | 705,000 | ||||||||||||||||||||
Termination upon change in control | 1,200,000 | 4,926,667 | 69,231 | 79,660 | 10,800 | 6,286,358 | 705,000 | |||||||||||||||||||||
Termination for cause | ---- | ---- | 69,231 | ----- | ---- | 69,231 | ---- | |||||||||||||||||||||
Voluntary termination | ---- | ---- | 69,231 | ----- | ---- | 69,231 | ---- |
John B. Wood | Salary Continuation for 24 Months | Bonuses to be Earned | Accrued and Unused Vacation as of December 31, 2014 | Benefits for 24 Months (1) | Cash Equivalent of Company Match to 401(k) for 24 Months | Total | Number of Shares of Restricted Stock That Would Vest | |||||||||||||||||||||
Termination without cause | $ | 1,200,000 | $ | ---- | $ | 69,231 | $ | 57,431 | $ | 10,400 | $ | 1,337,062 | 600,000 | |||||||||||||||
Termination upon death or disability | 1,200,000 | 330,000 | (3) | 69,231 | 57,431 | 10,400 | 1,667,062 | 600,000 | ||||||||||||||||||||
Termination upon change in control | 1,200,000 | 4,653,000 | 69,231 | 57,431 | 10,400 | 5,990,062 | 600,000 | |||||||||||||||||||||
Termination for cause | ---- | ---- | 69,231 | ----- | ---- | 69,231 | ---- | |||||||||||||||||||||
Voluntary termination | ---- | ---- | 69,231 | ----- | ---- | 69,231 | ---- |
Michele Nakazawa | Salary Continuation for 18 Months | Bonuses to be Earned | Accrued and Unused Vacation as of December 31, 2014 | Benefits for 18 Months (1) | Cash Equivalent of Company Match to 401(k) for 18 Months | Total | Number of Shares of Restricted Stock That Would Vest | |||||||||||||||||||||
Termination without cause | $ | 562,500 | $ | ---- | $ | 36,058 | $ | 30,040 | $ | 7,800 | $ | 636,398 | 200,000 | |||||||||||||||
Termination upon death or disability | 562,500 | 127,500 | (3) | 36,058 | 30,040 | 7,800 | 763,898 | 200,000 | ||||||||||||||||||||
Termination upon change in control | 562,500 | 1,691,875 | 36,058 | 30,040 | 7,800 | 2,328,273 | 200,000 | |||||||||||||||||||||
Termination for cause | ---- | ---- | 36,058 | ----- | ---- | 36,058 | ---- | |||||||||||||||||||||
Voluntary termination | ---- | ---- | 36,058 | ----- | ---- | 36,058 | ---- |
Edward L. Williams | Salary Continuation for 18 Months | Bonuses to be Earned | Accrued and Unused Vacation as of December 31, 2014 | Benefits for 18 Months (1) | Cash Equivalent of Company Match to 401(k) for 18 Months | Total | Number of Shares of Restricted Stock That Would Vest | |||||||||||||||||||||||||||||||||||||||||||||||||
Salary Continuation for 18 Months | Bonuses | Accrued and Unused Vacation as of December 31, 2017 | Benefits for 18 Months2 | Cash Equivalent of Company Match to 401(k) for 18 Months | Total | Restricted Stock That Would Vest | ||||||||||||||||||||||||||||||||||||||||||||||||||
Michele Nakazawa | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Termination without cause | $ | 577,500 | $ | ---- | $ | 37,019 | $ | 44,361 | $ | 7,800 | $ | 666,680 | 200,000 | $ | 562,500 | $ | ---- | $ | 36,058 | $ | 27,976 | $ | 8,100 | $ | 634,634 | 187,500 | ||||||||||||||||||||||||||||||
Termination upon death or disability | 577,500 | 165,000 | (3) | 37,019 | 44,361 | 7,800 | 831,680 | 200,000 | 562,500 | 531,248 | 3 | 36,058 | 27,976 | 8,100 | 1,165,882 | 187,500 | ||||||||||||||||||||||||||||||||||||||||
Termination upon change in control | 577,500 | 2,169,750 | 37,019 | 44,361 | 7,800 | 2,836,430 | 200,000 | 562,500 | 1,763,748 | 36,058 | 27,976 | 8,100 | 2,398,382 | 187,500 | ||||||||||||||||||||||||||||||||||||||||||
Termination for cause | ---- | ---- | 37,019 | ----- | ---- | 37,019 | ---- | ---- | ---- | 36,058 | ----- | ---- | 36,058 | ---- | ||||||||||||||||||||||||||||||||||||||||||
Voluntary termination | ---- | ---- | 37,019 | ----- | ---- | 37,019 | ---- | ---- | ---- | 36,058 | ----- | ---- | 36,058 | ---- | ||||||||||||||||||||||||||||||||||||||||||
Edward L. Williams | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Termination without cause | $ | 577,500 | $ | ---- | $ | 37,019 | $ | 44,120 | $ | 8,100 | $ | 666,739 | 240,000 | |||||||||||||||||||||||||||||||||||||||||||
Termination upon death or disability | 577,500 | 682,500 | 3 | 37,019 | 44,120 | 8,100 | 1,349,239 | 240,000 | ||||||||||||||||||||||||||||||||||||||||||||||||
Termination upon change in control | 577,500 | 2,277,500 | 37,019 | 44,120 | 8,100 | 2,944,239 | 240,000 | |||||||||||||||||||||||||||||||||||||||||||||||||
Termination for cause | ---- | ---- | 37,019 | ----- | ---- | 37,019 | ---- | |||||||||||||||||||||||||||||||||||||||||||||||||
Voluntary termination | ---- | ---- | 37,019 | ----- | ---- | 37,019 | ---- | |||||||||||||||||||||||||||||||||||||||||||||||||
Jefferson V. Wright | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Termination without cause | $ | 525,000 | $ | ---- | $ | 33,654 | $ | 55,888 | $ | 8,100 | $ | 622,642 | 180,000 | |||||||||||||||||||||||||||||||||||||||||||
Termination upon death or disability | 525,000 | 531,248 | 3 | 33,654 | 55,888 | 8,100 | 1,153,890 | 180,000 | ||||||||||||||||||||||||||||||||||||||||||||||||
Termination upon change in control | 525,000 | 1,763,748 | 33,654 | 55,888 | 8,100 | 2,386,390 | 180,000 | |||||||||||||||||||||||||||||||||||||||||||||||||
Termination for cause | ---- | ---- | 33,654 | ----- | ---- | 33,654 | ---- | |||||||||||||||||||||||||||||||||||||||||||||||||
Voluntary termination | ---- | ---- | 33,654 | ----- | ---- | 33,654 | ---- | |||||||||||||||||||||||||||||||||||||||||||||||||
Brendan D. Malloy | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Termination without cause | $ | 472,500 | $ | ---- | $ | 23,625 | $ | 28,651 | $ | 8,100 | $ | 532,876 | 150,000 | |||||||||||||||||||||||||||||||||||||||||||
Termination upon death or disability | 472,500 | 412,500 | 3 | 23,625 | 28,651 | 8,100 | 945,376 | 150,000 | ||||||||||||||||||||||||||||||||||||||||||||||||
Termination upon change in control | 472,500 | 1,039,500 | 23,625 | 28,651 | 8,100 | 1,572,376 | 150,000 | |||||||||||||||||||||||||||||||||||||||||||||||||
Termination for cause | ---- | ---- | 23,625 | ----- | ---- | 23,625 | ---- | |||||||||||||||||||||||||||||||||||||||||||||||||
Voluntary termination | ---- | ---- | 23,625 | ----- | ---- | 23,625 | ---- |
Jefferson V. Wright | Salary Continuation for 18 Months | Bonuses to be Earned | Accrued and Unused Vacation as of December 31, 2014 | Benefits for 18 Months (1) | Cash Equivalent of Company Match to 401(k) for 18 Months | Total | Number of Shares of Restricted Stock That Would Vest | |||||||||||||||||||||
Termination without cause | $ | 525,000 | $ | ---- | $ | 33,654 | $ | 55,201 | $ | 7,800 | $ | 621,655 | 500,000 | |||||||||||||||
Termination upon death or disability | 525,000 | 127,500 | (3) | 33,654 | 55,201 | 7,800 | 749,155 | 500,000 | ||||||||||||||||||||
Termination upon change in control | 525,000 | 1,563,438 | 33,654 | 55,201 | 7,800 | 2,185,092 | 500,000 | |||||||||||||||||||||
Termination for cause | ---- | ---- | 33,654 | ----- | ---- | 33,654 | ---- | |||||||||||||||||||||
Voluntary termination | ---- | ---- | 33,654 | ----- | ---- | 33,654 | ---- |
Brendan D. Malloy | Salary Continuation for 18 Months | Bonuses to be Earned | Accrued and Unused Vacation as of December 31, 2014 | Benefits for 18 Months (2) | Cash Equivalent of Company Match to 401(k) for 18 Months | Total | Number of Shares of Restricted Stock That Would Vest | |||||||||||||||||||||
Termination without cause | $ | 472,500 | $ | ---- | $ | 24,231 | $ | 26,788 | $ | 7,800 | $ | 531,319 | 500,000 | |||||||||||||||
Termination upon death or disability | 472,500 | 99,000 | (3) | 24,231 | 26,788 | 7,800 | 630,319 | 500,000 | ||||||||||||||||||||
Termination upon change in control | 472,500 | 1,006,500 | 24,231 | 26,788 | 7,800 | 1,537,819 | 500,000 | |||||||||||||||||||||
Termination for cause | ---- | ---- | 24,231 | ----- | ---- | 24,231 | ---- | |||||||||||||||||||||
Voluntary termination | ---- | ---- | 24,231 | ----- | ---- | 24,231 | ---- |
Audit Committee: | Chairperson: $20,000 | Member: $10,000 |
Compensation Committee: | Chairperson: $15,000 | Member: $ 7,500 |
Government Security Committee: | Chairperson: $ 8,000 | Member: $ 4,000 |
Proxy Board | Chairperson: $ 3,000 | Member: $ 1,500 |
Name | Fees Paid | All Other Compensation | Total | Fees Earned or Paid in Cash | All Other Compensation | Total | ||||||||||||||||||
Bernard Bailey | $ | 75,000 | $ | 5,000 | 1 | $ | 80,000 | |||||||||||||||||
Bernard C. Bailey | $ | 50,000 | $ | 5,000 | 1 | $ | 55,000 | |||||||||||||||||
David Borland | 60,000 | ---- | 60,000 | 41,500 | ---- | 41,500 | ||||||||||||||||||
William Dvoranchik | 80,000 | 5,000 | 1 | 85,000 | ||||||||||||||||||||
Seth W. Hamot | ---- | ---- | ---- | ---- | ---- | ---- | ||||||||||||||||||
Bruce Harris | 55,000 | ---- | 55,000 | |||||||||||||||||||||
Charles Mahan | 75,000 | ---- | 75,000 | |||||||||||||||||||||
Bruce R. Harris | 48,500 | ---- | 48,500 | |||||||||||||||||||||
Charles S. Mahan, Jr. | 45,500 | ---- | 45,500 | |||||||||||||||||||||
John W. Maluda | 35,000 | 204,000 | 2 | 239,000 | 30,000 | 204,000 | 2 | 234,000 | ||||||||||||||||
Robert J. Marino | 45,000 | ---- | 45,000 | 59,000 | 5,000 | 1 | 64,000 | |||||||||||||||||
Andrew R. Siegel | ---- | ---- | ---- | ---- | ---- | ---- | ||||||||||||||||||
Jerry Tuttle | 60,000 | ---- | 60,000 | |||||||||||||||||||||
$ | 485,000 | $ | 214,000 | $ | 699,000 | $ | 274,500 | $ | 214,000 | $ | 488,500 |
Title of Class | Name and Address of Beneficial Owner | Amount and Nature of Beneficial Ownership as of | Percent of Class | |||||
Class A Common Stock | Toxford Corporation Place de Saint Gervais 1 1211 Geneva, Switzerland | 15,801,802 shares (A) | 34.9% | |||||
Class A Common Stock | Telos Corporation Shared Savings Plan 19886 Ashburn Road Ashburn, VA 20147 | 3,658,536 shares | 8.1% | |||||
Class A Common Stock | John B. Wood | 15.2% | ||||||
Class A Common Stock | Edward L. Williams | 4.9% | ||||||
Class A Common Stock | Michele Nakazawa | 3.8% | ||||||
Class A Common Stock | Brendan D. Malloy | 2.6% | ||||||
Class A Common Stock | Jefferson V. Wright | 2.8% | ||||||
Class A Common Stock | Robert J. Marino | 591,400 shares | ||||||
Class A Common Stock | Bernard C. Bailey | 100,000 shares | 0.2% | |||||
Class A Common Stock | David Borland | 120,000 shares | 0.3% | |||||
Class A Common Stock | Bruce R. Harris | 100,000 shares | 0.2% | |||||
Class A Common Stock | Charles S. Mahan, Jr. | 100,000 shares | 0.2% | |||||
Class A Common Stock | John W. Maluda | 80,000 shares | 0.2% | |||||
Class A Common Stock | ||||||||
All officers and directors as a group | 17,262,130 shares (C) | 38.2% | ||||||
Class B Common Stock | London | 1,681,960 shares (D) | 41.7% | |||||
Class B Common Stock | London | 420,490 shares (D) | 10.4% | |||||
Class B Common Stock | North Atlantic Smaller Companies Investment Trust PLC c/o North Atlantic Value LLP Ground Floor, Ryder Court, 14 Ryder Street London SW1Y 6QB England | 1,186,720 shares | 29.4% | |||||
Class B Common Stock | John B. Wood | 194,888 shares | 4.8% | |||||
Class B Common Stock | Michele Nakazawa | 125,000 shares | 3.1% | |||||
Class B Common Stock | Brendan D. Malloy | 100,000 shares | 2.5% | |||||
Class B Common Stock | Edward L. Williams | 100,000 shares | 2.5% | |||||
Class B Common Stock | All officers and directors as a group (5 persons) | 569,888 shares | 14.1% |
Title of Class | Name and Address of Beneficial Owner | Amount and Nature of Beneficial Ownership as of | Percent of Class |
12% Cumulative Exchangeable Redeemable Preferred Stock | 10,000 shares | 0.3% | ||||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Andrew R. Siegel | 14,476 shares | 0.5% | |||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Wynnefield Partners Small Cap Value, L.P. Wynnefield Partners Small Cap Value, L.P. I Wynnefield Small Cap Value Offshore Fund, Ltd. Wynnefield Capital Management, LLC Wynnefield Capital, Inc. Nelson Obus Joshua Landes 450 Seventh Avenue, Suite 509 New York, NY 10123 | 554,765 shares (E) | 17.4% | |||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Minerva Advisors, LLC David P. Cohen 50 Monument Road, Suite 201 Bala Cynwyd, PA 19004 | 308,922 shares (F) | 9.7% | |||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Victor Morgenstern Faye Morgenstern Judd Morgenstern Morningstar Trust - Faye Morgenstern Trustee 106 Vine Avenue Highland Park, IL 60035 | 182,000 shares | 5.7% | |||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Costa Brava Partnership III, LP Roark, Rearden & Hamot, LLC Seth W. Hamot 222 Berkeley Street, Boston, MA 02116 | 405,172 shares | 12.7% | |||||
12% Cumulative Exchangeable Redeemable Preferred Stock | Emancipation Management LLC New York, NY 10022 |
21.5% |
(A) | Includes 15,328,480 shares held directly by Toxford Corporation and 473,322 shares held directly by Mr. John R.C. Porter, Chalet Ty Fano, 2 Chemin d'Amon, 1936 Verbier, Switzerland. Mr. Porter is the sole stockholder of Toxford Corporation. | |
(B) | Includes | |
(C) | ||
Includes | ||
Graphite Enterprise Trust LP; name and address change as of February 2016. |
Wynnefield Partners Small Cap Value, L.P., ("WPSCV"), Wynnefield Partners Small Cap Value L.P. I ("WPSCVI"), | ||
Minerva Advisors, LLC ("MA"), Minerva Group, LP ("MG"), Minerva GP, LP ("MGP"), Minerva GP, Inc. ("MI"), and Mr. David Cohen filed a joint Schedule 13G/A (Amendment No. | Mr. Cohen is the beneficial owner of 7,433 shares individually and is also deemed a beneficial owner of 301,489 shares in aggregate beneficially owned by MA. |
Victor Morgenstern ("VM"), Faye Morgenstern ("FM"), Judd Morgenstern ("JM"), Jennifer Morgenstern Irrevocable Trust ("Jennifer Trust"), Robyn Morgenstern Irrevocable Trust ("Robyn Trust"), and Judd Morgenstern Irrevocable Trust ("Judd Trust"), filed a joint Schedule 13D/A (Amendment No. 1) on March 10, 2009, indicating that VM has the sole power to vote and dispose of 50,000 shares, and shared power to dispose of 132,000 shares; FM has the sole power to vote 17,000 shares and shared power to dispose 92,000 shares; JM has the sole power to vote 40,000 shares and shared power to dispose 115,000 shares; Jennifer Trust has the sole voting and dispositive power with respect to 25,000 shares; Robyn Trust has the sole voting and dispositive power with respect to 25,000 shares; | ||
According to the Schedule 13D/A (Amendment No. 28) filed on September 19, 2012, by Costa Brava Partnership III L.P. ("Costa Brava"), Roark, Rearden & Hamot, LLC ("Roark"), and Seth W. Hamot, the three filers have sole voting and dispositive power with respect to the 405,172 shares. Mr. Hamot is the President of Roark, which is the general partner of Costa Brava. | ||
According to | Emancipation Management owns Circle N, and Mr. Frumberg is the managing member of Emancipation Management and the Chief Executive Officer of Circle N. |
2014 | 2013 | 2017 | 2016 | |||||||||||||
BDO USA, LLP: | ||||||||||||||||
Audit fees | $ | 507,000 | $ | 517,000 | $ | 526,000 | $ | 508,000 | ||||||||
Audit-related fees | ---- | ---- | 21,000 | ---- | ||||||||||||
Tax fees (1) | 60,000 | 55,000 | ||||||||||||||
Tax fees1 | $ | 106,000 | $ | 60,000 | ||||||||||||
All other fees | ---- | ---- | ---- | ---- | ||||||||||||
Total | $ | 567,000 | $ | 572,000 | $ | 653,000 | $ | 568,000 |
Plan Category | Number of securities remaining available for future issuance under plans |
Equity compensation plans approved by security holders: | |
1. 2008 Plan | |
2. 2013 Plan | |
Equity compensation Plans not approved by security holders | |
1.2016 Plan | 977,742 |