I thought this was kind of interesting -- from the shareholder meeting 8-K last November:
"Proposal 3: To amend of Certificate of Incorporation to authorize a new series of preferred stock, designated as Series D Convertible Preferred Stock.
FOR AGAINST ABSTAIN
3,359,335 1,465,137 9,005
A majority of the Company’s outstanding stockholders did not vote in favor of the Company amending its articles of incorporation with regard to creating a class of preferred stock. This proposal did not pass.
Proposal 4: To approve the adoption of the 2016 Stock Option Plan
FOR AGAINST ABSTAIN
3,061,818 1,762,154 9,505
A majority of the Company’s outstanding stockholders did not vote in favor of the Company authorizing the adoption of the 2016 Stock Option Plan. This proposal did not pass."
First, I rarely find things proposed for shareholder approval not passing.
But, second, the numbers indicate that a majority did vote for the proposals, yet it says they didn't pass. Why? Did they need a majority of the 28 million outstanding shares?
Third, failure to pass the preferred likely impaired the company's financing ability. Maybe the reason the Navy guys left the BOD and the reason Chansky is suing CTTC is because the company couldn't afford to pay them.
