Further, Reporting Person Lynn B. Fuller has delivered a letter to the Board of the Issuer dated February 15, 2022, announcing his election to retire as Executive Operating Chairman of the Issuer effective at the conclusion of the Issuer’s annual meeting of stockholders expected to occur in May 2022, indicating that he does not intend to stand for reelection upon the expiration of his term as a director in May 2024, and describing his reasoning for his retirement. The Issuer is required to file such letter as an exhibit to a Current Report on Form 8-K; however, the letter was not timely filed by the Issuer and the Reporting Persons are filing such letter herewith as Exhibit 99.3, which letter is incorporated by reference herein. No Reporting Person other than Mr. Fuller is responsible for the statements set forth in Exhibit 99.3 except to the extent expressly reiterated in or incorporated into the Reporting Persons’ March 8, 2022, letter.
The Reporting Persons intend to review their investment in the Issuer on a continuing basis. Subject to the agreements described herein, the Reporting Persons may from time to time communicate with the Board, members of management and/or other stockholders with respect to operational, strategic, financial or governance matters or to otherwise work or propose to work with management and the Board with a view to maximizing stockholder value. Pursuant to the Stockholder Agreement, which is filed herewith as Exhibit 99.1 and incorporated herein by reference, the Reporting Persons have designated Lynn B. Fuller and Thomas J. Fuller to represent them in communications with the Board for such purposes. Pursuant to the agreement, however, Messrs. Lynn B. Fuller and Thomas Fuller have not requested, and are not presently expected to obtain, proxies or voting authority with respect to shares of common stock held of record or beneficially by any other Reporting Persons.
Except as otherwise described in this Statement, none of the Reporting Persons currently has any plans or proposals that would result in or relate to any of the transactions or changes listed in Items 4(a) through 4(j) of Schedule 13D. However, as part of their ongoing evaluation of their investment in the Issuer and the Reporting Persons’ legacy of investment in and support for the Issuer, the Reporting Persons may consider such matters and, subject to applicable law, may formulate a plan with respect to such matters or make formal proposals to the Board of directors of the Issuer, other stockholders of the Issuer or other third parties regarding such matters.
The Reporting Persons reserve the right to acquire additional securities of the Issuer in the open markets, in privately negotiated transactions (which may be with the Issuer or with third parties) or otherwise, to dispose of all or a portion of their holdings of securities of the Issuer or to change their intention with respect to any or all of the matters referred to in this Item 4.
Item 5. Interest in Securities of the Issuer
(a) and (b) The Reporting Persons currently hold, in the aggregate, approximately 2,549,037 shares or 6.10% of the outstanding common stock and combined voting power of the Issuer’s common stock, based on 42,278,047 issued and outstanding shares of common stock of the Issuer as of February 23, 2022, as reported by the Issuer on its Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 24, 2022, for the fiscal year ended December 31, 2021.
The aggregate number of shares and percentage of common stock outstanding beneficially owned by each Reporting Person and, for each Reporting Person, the number of shares of common stock as to which there is sole power to vote or to direct the vote, shared power to vote or to direct the vote, sole power to dispose or to direct the disposition, or shared power to dispose or to direct the disposition are set forth on Rows 7 through 11 and Row 13 of the cover pages of this Statement and are incorporated herein by reference and summarized in the following table.
As a result of the Stockholder Agreement, the Reporting Persons may be deemed to possess shared voting power over, and therefore beneficially own for purposes of Rule 13d-3, up to an aggregate of 2,549,037 shares of common stock that are beneficially owned collectively by the parties to the Stockholder Agreement corresponding to each Reporting Person as set forth above in this Statement. All such shares that may be deemed to be beneficially owned by the Reporting Persons constitute approximately 6.10% of the issued and outstanding common stock as of March 4, 2022.
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