The Selling is going to go on for awhile if I'm reading this right. 4 million to move. That's no news for awhile.
5 before 15.
ITEM 8.01. OTHER EVENTS.
Effective February 5, 2014, James B. Nelson, the Company's chairman, chief executive officer, chief financial officer and corporate secretary adopted a Rule 10b5-1 Trading Plan (the "Plan") covering up to 4,000,000 shares of the Company's common stock (the "Performance Shares") eligible for vesting and issuance to Mr. Nelson pursuant to his Restricted Stock Agreement, dated September 23, 2013 (the "Agreement"), with the Company, which vests shares of common stock only upon the achievement of specified performance milestones. The performance milestones for the Performance Shares have been achieved. The Company's Board of Directors approved the adoption of the Plan on January 31, 2014. These Performance Shares are expected to be issued to Mr. Nelson by the Company in monthly increments commencing on February 3, 2014 in accordance with the terms and conditions of the Agreement. In accordance with Section 2.2 of the
Agreement, the Performance Shares will vest and be issued to Mr. Nelson on a monthly basis, based on the following formula:
Monthly Number of 5% x Prior Monthly Trade Value Vested Performance Shares = --------------------------------------------------- Fair Market Value of the Company's common stock
The Monthly Trade Value of the Company's shares of common stock is defined as the aggregate sum of the Daily Trade Value in a calendar month. The Daily Trade Value is defined as the closing trade price of the Company's shares of common stock multiplied by the daily trade volume. For example, if the closing trade price was $1.00 and the daily trade volume on that day was 500,000 shares, then the Daily Trade Value for that day would be $500,000. Fair Market Value is defined as the average of the trailing ten (10) closing trade prices of the Company's common stock as quoted on the public securities trading market on which the Company's common stock is then traded. If the Prior Monthly Trade Value is less than $50,000, then no Performance Shares will vest for that month. The monthly vested Performance Shares, if any, will be issued to Mr. Nelson within five (5) business days after the last day of each month.
