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Subsequent Event
6 Months Ended
Jun. 30, 2019
Subsequent Events [Abstract]  
Subsequent Event SUBSEQUENT EVENT

On July 15, 2019, our Board of Directors appointed Allen Muhich as our Chief Financial Officer, effective July 26, 2019, to succeed Robert Seidel, who will cease serving as our Chief Financial Officer effective July 25, 2019 but will continue as our employee for a transition period. Mr. Muhich will also serve as our principal accounting officer, effective July 26, 2019. In connection with his employment, on July 15, 2019, Mr. Muhich accepted a written offer letter from us (the “Offer Letter”) that provides for the following initial compensation:

Base salary - An annual base salary of $371,000.
Signing bonus - Mr. Muhich will receive a one-time signing bonus equal to $200,000 payable in a lump sum in cash within 30 days following July 26, 2019. Mr. Muhich will be required to repay the signing bonus if, prior to July 26, 2021: (i) he voluntarily terminates his employment with us or (ii) his employment is terminated by us for “cause” (as defined in the Offer Letter).
Sign-on equity grant - Mr. Muhich will be granted a one-time sign-on restricted stock unit award on July 26, 2019 with a target value of $1 million. This equity grant will be comprised of a combination of performance-based restricted stock units and time-based restricted stock units, in a ratio of 50% and 50%, respectively. One-third of the time-based restricted stock units will vest on each of the first, second and third anniversaries of the grant date. The performance-based restricted stock units will be earned based on how our total shareholder return, or TSR, compares to the TSR of the Russell 2000 Growth Index during the performance period from July 26, 2019 to July 26, 2022 (the “Relative TSR”). If our Relative TSR during the performance period is (i) at the 55% percentile, 100% of the target performance-based restricted stock units awarded will be earned and will vest; (ii) at or above the 80th percentile, 200% of the target performance-based restricted stock units awarded will be earned and will vest, provided that if our TSR for the performance period is negative, the maximum percentage that may be earned is 100%; (iii) at the 25th percentile, 25% of the target performance-based restricted stock units awarded will be earned and will vest; and (iv) below the 25th percentile, no performance-based restricted stock units will be earned. The percentage of performance-based restricted stock units that are earned will be interpolated if Relative TSR is between the 25th and 80th percentiles during the performance period.
Relocation expenses - Mr. Muhich is entitled to receive relocation assistance in the form of reimbursement for real estate agents’ commission (capped at 7%) and customary, non-recurring home sale closing costs, subject to an aggregate cap of $50,000. In the event Mr. Muhich voluntarily terminates his employment with us prior to the 12-month anniversary of the date of his relocation, he will be required to repay a prorated portion of all relocation expenses incurred, including all Company tax liabilities.
Transition to short-term incentive plan - Mr. Muhich will be eligible to receive a target cash bonus of 65% of his base salary, pro-rated for the number of days he is employed by us during 2019, provided that he remains employed by us on December 31, 2019 and conditioned upon his achievement of certain performance goals for 2019 established by the Compensation Committee of our Board of Directors (the “Compensation Committee”) and accepted by Mr. Muhich.
Short-term incentive plan - Mr. Muhich will be eligible to participate in our short-term incentive plan beginning in 2020, with an initial target payout of at least 65% of his base salary conditioned upon our achievement of the performance goals established by the Compensation Committee.
Long-term incentive plan - Mr. Muhich will be eligible to receive annual grants under our long-term incentive plan beginning in 2020, with a target value of at least $600,000. Such grants are expected to be awarded in a combination of performance-based restricted stock units and time-based restricted stock units, in ratio of 50% and 50%, respectively.

Pursuant to the Offer Letter, in the event that Mr. Muhich is terminated without cause, he will be eligible to receive severance benefits as a participant under our Executive Severance Plan (the “Plan”), which Plan is described in our 2019 proxy statement filed with the Securities and Exchange Commission on April 17, 2019.