VirTra Inc (VTSI)

[sharpchicity]

Good catch!
I don’t think $1m, but instead $300k?
“ On April 11, 2022, John F. Givens II was appointed as the Co-Chief Executive Officer of the Company. VirTra has agreed to pay Mr. Givens an initial annual base salary of $298,990, subject to annual review. VirTra issued Mr. Givens a signing bonus of 64,815 shares of common stock which are restricted from transfer until the earlier of: i) 12 months of employment having lapsed or ii) the Company terminating employment with Mr. Givens without cause.

Mr. Givens was also granted 288,889 performance-based restricted stock units pursuant to the Company’s 2017 Equity Incentive Plan. Beginning on the last business day of August 2022, a tranche of restricted stock units, having an approximate value of $40,000, based on current prices, may vest if the Company has achieved net profit for the twelve months ending June 30, 2022 of at least $2,500,000. For every $500,000 earned in excess of $2,500,000 another tranche will vest. If the maximum net profit of $7,000,000 is achieved, ten tranches would vest”

The 65k shares at time of hire @ $5.08 should be OPEX from my understanding of https://www.wallstreetprep.com/knowledge/stock-based-compensation-accounting-journal-entries/. And then next quarter, when performance based comp is given, we should see another hit of something like $150k (ceos + coo).

I’ll have to update my model to account for this