Of body armor and lots of Ipods…

February 25, 2008

images-4.jpegEvery now and then, I come across a disclosure that really makes me scratch my head, which is exactly what I did when I caught this amended 10-K filed by Point Blank Solutions (PBSO.PK) last week. Not familiar with Point Blank? They provide body armor to our troops in Iraq and Afghanistan. And judging by the filing, their former Chairman and CEO, David H. Brooks, who’s being sued by the company, was unusually fond of Apple’s (AAPL) 30-GB Ipod. Since I don’t think I can do this disclosure justice, I’ll let the filing speak for itself:

In addition to the foregoing, in 2005, Mr. Brooks purchased 375 30-GB Apple iPods with a corporate American Express card which were not for company use. The cost for these iPods totaled approximately $122,000.

Granted, the company initially disclosed this back in October in the 10-K it filed then. But you have to wonder how screwed up things were at the company that someone, say the CFO, any of his deputies, not to mention a few board members, missed a $122,000 charge from Apple on the corporate Amex card. No wonder that Steel Partners has nominated five people to the company’s board.

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