Back for another visit…
It’s been less than two months since we last footnoted UTStarcom (UTSI) and the stock has continued to decline. But that didn’t stop the company from awarding its CFO a $10 million “retention incentive” according to this agreement attached to the 8-K filed late Friday.
To be fair, the agreement is structured as an equity arrangement consisting of restricted stock, RSUs, performance shares and performance units, so it’s not a cash deal. But the company notes in the filing that it can change its mind and offer cash instead. As the filing notes, the first $2.5 million chunk vested on Nov. 30.
That wasn’t the only interesting thing in the filing. There was also a new change in control agreement for CEO Hong Lu that updated an agreement from January 2003. That’s the same Mr. Lu who, as we footnoted last December, had received a Wells notice from the SEC, which the company buried in a cheery sounding press release. There’s been no update since last December on the status of that. Yet it’s hard to believe nothing has happened in the past year.
Thanks to the many reader suggestions on which non-profits to donate space to in the sidebar for the month of December. As much as I’d like to offer space to all of them, it was only possible to do four (one more will be added shortly) without getting into some heavy-duty coding. One of these groups, New York Pet Rescue was the choice of the brain behind footnoted.org. The rest came from readers like you. I hope that footnoted readers will consider supporting one of these groups, or another worthy group that’s close to your heart. And, be sure to check with Charity Navigator before making a donation to any organization — unfortunately there’s too many out there with bloated budgets. Media outlets have a long history of providing public service announcements. As more people turn to the Internet for their news, I’m hopeful that bloggers will continue this tradition.