Delaware | 06-1123096 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
Title of Each Class | Name of Each Exchange on Which Registered |
Common Stock, $.004 par value | The NASDAQ Global Market |
Large accelerated filer o | Accelerated filer o |
Non-accelerated filer o | Smaller reporting company x |
(Do not check if a smaller reporting company) |
Page
|
||
PART
I
|
||
Item
1
|
Business
|
4
|
Item
1A
|
Risk
Factors
|
15
|
Item
1B
|
Unresolved
Staff Comments
|
19
|
Item
2
|
Properties
|
19
|
Item
3
|
Legal
Proceedings
|
20
|
PART
II
|
||
Item
5
|
Market
for Registrant’s Common Equity, Related Stockholder Matters and Issuer
Purchases of Equity Securities
|
20
|
Item
6
|
Selected
Financial Data
|
21
|
Item
7
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
22
|
Item
7A
|
Quantitative
and Qualitative Disclosures About Market Risk
|
28
|
Item
8
|
Financial
Statements and Supplementary Data
|
29
|
Report
of Independent Registered Public Accounting Firm
|
F-1
|
|
Consolidated
Balance Sheets as of December 31, 2009 and 2008
|
F-2
|
|
Consolidated
Statements of Operations for the Years Ended December 31, 2009, 2008 and
2007
|
F-3
|
|
Consolidated
Statements of Changes in Shareholders’ Equity for the Years
Ended December 31, 2009, 2008 and 2007
|
F-4
|
|
Consolidated
Statements of Cash Flows for the Years Ended December 31, 2009, 2008 and
2007
|
F-5
|
|
Notes
to Consolidated Financial Statements
|
F-6
to F-18
|
|
Item
9
|
Changes
in and Disagreements with Accountants on Accounting and Financial
Disclosure
|
30
|
Item
9A(T)
|
Controls
and Procedures
|
30 |
Item
9B
|
Other
Information
|
30
|
PART
III
|
||
Item
10
|
Directors,
Executive Officers and Corporate Governance
|
31
|
Item
11
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Executive
Compensation
|
31
|
Item
12
|
Security
Ownership of Certain Beneficial Owners and Management and Related
Stockholder Matters
|
31
|
Item
13
|
Certain
Relationships and Related Transactions, and Director
Independence
|
32
|
Item
14
|
Principal
Accountant Fees and Services
|
32
|
PART
IV
|
||
Item
15
|
Exhibits
and Financial Statement Schedules
|
32
|
Signatures
|
35
|
·
|
Critical
Care Monitoring – includes sales of the FORE-SIGHT cerebral
oximeter monitors, sensors and
accessories.
|
·
|
Blood
Pressure Measurement Technology - includes sales to
Original Equipment Manufacturers (“OEM”) of the Company’s proprietary
non-invasive blood pressure technology (MAXNIBP) sold as a discrete module
to be included in the OEM customers own multi-parameter monitors, and
associated blood pressure cuffs and accessories for the OEM market, and
related license fees.
|
·
|
Bedside
Monitoring – includes sales of the Company’s vital signs and
bedside monitors and accessories incorporating various combinations of
measurement parameters for both human and veterinary
use. Parameters found in these monitors include the Company’s
proprietary MAXNIBP non-invasive blood pressure, pulse oximetry,
electro-cardiography, temperature, and
capnography.
|
·
|
Supplies
and Service – includes sales of blood pressure cuffs and rapid
infusor cuffs, neonatal intensive care supplies including electrodes and
skin temperature probes, and service
repair.
|
·
|
Establish
Leadership Position in Adult Cardiac Surgery
Market:
|
·
|
Develop
Pediatric / Neonatal Market
Opportunity:
|
·
|
Seek
Out New Opportunities to Expand the Use of FORE-SIGHT into Other Patient
Care Settings:
|
·
|
Build
Infrastructure to Enhance Sales Distribution Channels in Target
Markets:
|
·
|
Seek Partners to Interface and
Integrate FORE-SIGHT into Other Monitoring
Systems:
|
·
|
Continue
to Innovate to Maintain and Protect Our Technology Leadership
Position:
|
·
|
Sponsor
Clinical Research Studies to Expand Acceptance of the FORE-SIGHT
System:
|
·
|
In
January 2010, a paper was published in the British Journal of
Anaesthesia, authored by Dr. Gregory Fischer et al., titled, “Mathematical model for
describing cerebral oxygen desaturation in patients undergoing deep
hypothermic circulatory arrest.” This study, on 36
patients, demonstrated that a mathematical model could be created that
accurately described the rate of cerebral desaturation during circulatory
arrest. These researchers concluded that the proposed model
“can aid the clinician in determining the length of DHCA [deep hypothermic
circulatory arrest] that can be
undertaken
|
·
|
In
December 2009, a paper was published in the British Journal of
Anaesthesia, authored by R. Kazan, D. Bracco and T. M. Hemmerling,
titled, “Reduced
cerebral oxygen saturation measured by absolute cerebral oximetry during
thoracic surgery correlates with postoperative complications.”
These researchers concluded that, in 50 patients undergoing
thoracic surgery with greater than 45 minutes of single-lung ventilation,
a significant decrease in cerebral tissue oxygenation (SctO2) was
seen, and this correlated with post-operative cognitive
dysfunction.
|
·
|
In
January 2009, a review paper published in the Journal of
Perinatology and authored by JC Fenik and K. Rais-Bahrami titled,
“Neonatal cerebral
oximetry monitoring during ECMO cannulation,” detailed the benefits
of absolute cerebral oximetry in neonatal patients undergoing
extracorporeal membrane oxygenation (ECMO) therapy, including its ability
to reliably measure brain oxygen levels during CPR when conventional
technologies such as pulse oximetry have
failed.
|
·
|
In
June 2008, a paper published by Thomas Hemmerling M.D., et al., “Cerebral desaturation during
single lung ventilation correlates with postoperative morbidity,”
in Canadian
Journal of Anesthesia Supplement detailed the benefits of
monitoring absolute cerebral oximetry in patients undergoing single lung
ventilation (SLV) and showed a positive correlation between the decrease
of SctO2
during SLV and postoperative non-pulmonary organ
failure.
|
·
|
In
March 2008, a review paper published by Gregory W. Fischer, M.D.,
Co-Director of Cardiac Anesthesia at Mount Sinai Medical Center in New
York, “Recent Advances
in the Application of Cerebral Oximetry in Adult Cardiovascular
Surgery,” in Seminars in
Cardiothoracic and Vascular Anesthesia detailed the benefits of
absolute cerebral oximetry in patients undergoing Deep Hypothermic Cardiac
Arrest (“DHCA”) aortic arch
surgery.
|
·
|
FORE-SIGHT
related revenue for 2009 increased by 79% to $4.1 million, versus $2.3
million for 2008.
|
·
|
Sensor
related sales account for approximately 67% of total FORE-SIGHT sales for
2009.
|
·
|
Total
installations during 2009 increased by 87 monitors to a total of 238 at
year end.
|
·
|
Approximately
70% of monitors installed during 2009 were sold, rather than
placed.
|
·
|
FORE-SIGHT
monitors are installed in approximately 100 hospitals
worldwide.
|
·
|
FDA
clearance for expanded labeling to include neonates weighing less than
2.5kg.
|
·
|
FDA
clearance of Medium (pediatric)
sensor.
|
·
|
Monitors
are installed and generating revenue at 5 of the top 20 hospitals listed
as America’s Best Hospitals by U.S. News and World
Report.
|
·
|
Monitors
are installed and generating revenue in 4 of the top 25 hospitals listed
as U.S. News and World
Report’s Best Children’s Heart and Heart Surgery
Hospitals.
|
·
|
Continued
expansion of sales distribution channels in Europe and the hiring of 2 new
European sales managers focused exclusively on the FORE-SIGHT
market.
|
·
|
First
European Center of Excellence established in Genk,
Belgium.
|
·
|
Publication
of six papers in various peer-reviewed journals and periodical reviews, as
well as over thirty abstracts,
demonstrating the utility and accuracy of FORE-SIGHT technology in a range
of different clinical applications, and the value of absolute
cerebral oximetry to improve patients’ cognitive outcomes following
surgery.
|
|
Increased
clinical research with follow-on studies began at Duke University Medical
Center and Mt. Sinai Medical Center to support the use of FORE-SIGHT
cerebral oximetry in elderly and CABG patients. Additional research at a
number of sites in the U.S. and Europe in a variety of applications
including orthopedic shoulder surgery, carotid endarterectomy,
cardiothoracic surgery, and various neonatal
applications.
|
Financial
Information Relating to Sales
|
|||||||||||||
Year
Ended December 31
|
|||||||||||||
2009 | 2008 | 2007 | |||||||||||
Domestic
Sales
|
$ | 23,637,277 | $ | 30,031,921 | $ | 29,601,305 | |||||||
International
Sales
|
10,597,941 | 10,617,136 | 8,631,100 | ||||||||||
$ | 34,235,218 | $ | 40,649,057 | $ | 38,232,405 |
·
|
FDA
approval or clearance;
|
·
|
accuracy,
reliability and repeatability of
measurement;
|
·
|
publication
of peer reviewed clinical studies;
|
·
|
acceptance
by leading thought-leaders in anesthesia, surgery, perfusion and other key
clinical roles;
|
·
|
documented improved
patient outcomes and reduced lengths of
stay;
|
·
|
cost
effectiveness of solution and overall
pricing;
|
·
|
interfacing
of the technology with modular patient monitoring and data archiving
systems;
|
·
|
overall
ease of use and product quality;
|
·
|
sales
and marketing capability and established sales distribution
channels;
|
·
|
IP
protection, and timing and acceptance of product
innovation.
|
·
|
advanced
algorithm research
|
·
|
sensor
and optical development
|
·
|
hardware
development and support
|
·
|
clinical
research
|
Quarter Ended
|
High
|
Low
|
||||||
March
31, 2008
|
$ | 5.54 | $ | 4.05 | ||||
June
30, 2008
|
$ | 4.30 | $ | 2.81 | ||||
September
30, 2008
|
$ | 4.21 | $ | 2.72 | ||||
December
31, 2008
|
$ | 4.00 | $ | 1.66 | ||||
March
31, 2009
|
$ | 2.18 | $ | 0.90 | ||||
June
30, 2009
|
$ | 2.23 | $ | 1.15 | ||||
September
30, 2009
|
$ | 3.90 | $ | 1.16 | ||||
December
31, 2009
|
$ | 2.12 | $ | 1.50 |
|
Title of
Class Number of
Shareholders
|
|
Common
stock, $.004 par
value 1,915
|
For
Year Ended December 31,
|
2009(1)(2)
|
2008(1)
|
2007(1)
|
2006(1)
|
2005(3)
|
|||||||||||||||
(amounts
in thousands, except per share amounts)
|
||||||||||||||||||||
Net
Sales
|
$ | 34,235 | $ | 40,649 | $ | 38,232 | $ | 35,202 | $ | 26,884 | ||||||||||
Cost
of Sales
|
23,350 | 26,748 | 24,584 | 20,803 | 15,092 | |||||||||||||||
Gross
Profit
|
10,885 | 13,901 | 13,648 | 14,399 | 11,792 | |||||||||||||||
Operating
Expenses:
|
||||||||||||||||||||
Research
and development
|
$ | 2,460 | $ | 2,027 | $ | 2,254 | $ | 2,762 | $ | 1,631 | ||||||||||
Selling,
general and administrative
|
11,603 | 12,165 | 10,815 | 8,659 | 7,438 | |||||||||||||||
Total
operating expenses
|
14,063 | 14,192 | 13,069 | 11,421 | 9,069 | |||||||||||||||
Goodwill
impairment
|
2,156 | – | – | – | – | |||||||||||||||
Operating
(loss) income
|
(5,334 | ) | (291 | ) | 579 | 2,978 | 2,723 | |||||||||||||
(Loss)
income before income taxes
|
(5,558 | ) | (564 | ) | 304 | 2,730 | 2,556 | |||||||||||||
Net
(loss) income
|
(5,790 | ) | (388 | ) | 306 | 1,747 | 1,815 | |||||||||||||
Net
(loss) income per diluted common
share
|
$ | (0.51 | ) | $ | (0.04 | ) | $ | 0.03 | $ | 0.14 | $ | 0.15 | ||||||||
Diluted
shares outstanding
|
11,261 | 11,032 | 12,212 | 12,147 | 11,729 | |||||||||||||||
At
Year End:
|
||||||||||||||||||||
Working
Capital
|
$ | 7,907 | $ | 10,819 | $ | 10,388 | $ | 9,096 | $ | 7,482 | ||||||||||
Long-term
debt, less current portion
|
1,056 | 1,708 | 2,323 | 3,807 | 4,416 | |||||||||||||||
Total
Assets
|
18,250 | 23,685 | 23,888 | 21,443 | 17,918 | |||||||||||||||
Stockholders'
equity
|
$ | 9,349 | $ | 14,900 | $ | 13,751 | $ | 12,625 | $ | 9,117 |
(1)
|
Operating
income (loss) reduced by $325, $410, $303 and $390 for 2009, 2008, 2007
and 2006, respectively, from stock compensation expense. The Company
adopted FAS 123R – Share-Based Payment, as of January 1,
2006.
|
(2)
|
2009
operating loss affected by $2,156 of goodwill impairment charges. Net
(loss) income affected by deferred income tax asset valuation allowance of
$1,449.
|
(3)
|
2005
operating income includes $401 credit from curtailment gain of
post-retirement benefit plan.2005
reflects the acquisition of Statcorp, Inc. on May 15,
2005.
|
($000’s)
|
Year
Ended
|
Year
Ended
|
Increase/
|
|||||||||
December
31, 2009
|
December
31, 2008
|
(Decrease)
|
||||||||||
|
|
|
|
|||||||||
Bedside
Monitoring
|
$ | 10,954 | $ | 15,889 | $ | (4,935 | ) | |||||
Critical
Care Monitoring
|
4,078 | 2,258 | 1,820 | |||||||||
Blood
Pressure Measurement Technology
|
5,836 | 7,769 | (1,933 | ) | ||||||||
Supplies
and Service
|
13,367 | 14,733 | (1,366 | ) | ||||||||
$ | 34,235 | $ | 40,649 | $ | (6,414 | ) | ||||||
Domestic
Sales
|
23,637 | 30,032 | (6,395 | ) | ||||||||
International
Sales
|
10,598 | 10,617 | (19 | ) | ||||||||
$ | 34,235 | $ | 40,649 | $ | (6,414 | ) |
($000’s)
|
Year
Ended
|
Year
Ended
|
Increase/
|
|||||||||
December
31, 2008
|
December
31, 2007
|
(Decrease)
|
||||||||||
|
|
|
|
|||||||||
Bedside
Monitoring
|
$ | 15,889 | $ | 18,640 | $ | (2,751 | ) | |||||
Critical
Care Monitoring
|
2,258 | 315 | 1,943 | |||||||||
Blood
Pressure Measurement Technology
|
7,769 | 5,825 | 1,944 | |||||||||
Supplies
and Service
|
14,733 | 13,452 | 1,281 | |||||||||
$ | 40,649 | $ | 38,232 | $ | 2,417 | |||||||
Domestic
Sales
|
30,032 | $ | 29,601 | 431 | ||||||||
International
Sales
|
10,617 | 8,631 | 1,986 | |||||||||
$ | 40,649 | $ | 38,232 | $ | 2,417 |
Contractual
|
Less
than
|
1 – 3 | 3 - 5 |
More
Than
|
||||||||||||||||
Obligations
|
Total
|
One Year
|
Years
|
Years
|
Five Years
|
|||||||||||||||
Long-term
debt
|
$ | 1,708,755 | $ | 652,482 | $ | 1,056,273 | $ | – | $ | – | ||||||||||
Note
payable
|
50,678 | 50,678 | – | – | – | |||||||||||||||
Operating
leases
|
3,071,265 | 541,003 | 913,054 | 851,604 | 765,604 | |||||||||||||||
$ | 4,830,698 | $ | 1,244,163 | $ | 1,969,327 | $ | 851,604 | $ | 765,604 |
Page | ||
Report
of Independent Registered Public Accounting Firm
|
F-1
|
|
Financial
Statements
|
||
Consolidated
Balance Sheets as of December 31, 2009 and 2008
|
F-2
|
|
Consolidated
Statements of Operations for the Years Ended December 31, 2009, 2008 and
2007
|
F-3
|
|
Consolidated
Statements of Changes in Shareholders’ Equity for the Years
Ended
|
||
December
31, 2009, 2008 and 2007
|
F-4
|
|
Consolidated
Statements of Cash Flows for the Years Ended December 31, 2009, 2008 and
2007
|
F-5
|
|
Notes
to Consolidated Financial Statements
|
F-6
to F-18
|
ASSETS
|
2009
|
2008
|
||||||
CURRENT
ASSETS:
|
||||||||
Cash
and cash equivalents
|
$ | 1,186,779 | $ | 1,082,619 | ||||
Accounts
receivable, less allowance of $175,000 in 2009
|
||||||||
and
$150,000 in 2008
|
4,192,730 | 3,681,355 | ||||||
Recoverable
income taxes
|
871,206 | 101,185 | ||||||
Other
receivable
|
— | 715,769 | ||||||
Inventories
|
7,806,912 | 9,786,538 | ||||||
Deferred
income taxes (Note 9)
|
— | 791,493 | ||||||
Other
current assets
|
383,152 | 411,938 | ||||||
Total
current assets
|
14,440,779 | 16,570,897 | ||||||
PROPERTY
AND EQUIPMENT:
|
||||||||
Leasehold
improvements
|
303,710 | 281,612 | ||||||
Equipment
at customers
|
1,219,418 | 1,132,422 | ||||||
Machinery
and equipment
|
5,414,368 | 5,326,735 | ||||||
6,937,496 | 6,740,769 | |||||||
Accumulated
depreciation and amortization
|
(4,976,819 | ) | (4,013,900 | ) | ||||
Property
and equipment, net
|
1,960,677 | 2,726,869 | ||||||
INTANGIBLE
AND OTHER ASSETS, net
|
625,761 | 757,378 | ||||||
GOODWILL
|
1,223,236 | 3,379,021 | ||||||
DEFERRED
INCOME TAXES (Note 9)
|
— | 250,370 | ||||||
Total
assets
|
$ | 18,250,453 | $ | 23,684,535 |
LIABILITIES
AND SHAREHOLDERS’ EQUITY
|
||||||||
CURRENT
LIABILITIES:
|
||||||||
Current
portion of long-term debt
|
$ | 652,482 | $ | 614,067 | ||||
Note
payable
|
50,678 | — | ||||||
Line-of-credit
|
2,669,657 | 1,994,008 | ||||||
Accounts
payable
|
1,848,185 | 2,307,675 | ||||||
Accrued
expenses
|
1,313,164 | 835,868 | ||||||
Total
current liabilities
|
6,534,166 | 5,751,618 | ||||||
LONG-TERM
DEBT, less current portion
|
1,056,273 | 1,708,493 | ||||||
DEFERRED
GAIN ON SALE AND LEASEBACK OF PROPERTY
|
1,034,064 | 1,168,701 | ||||||
INCOME
TAXES PAYABLE
|
277,280 | 155,875 | ||||||
COMMITMENTS (Note
12)
|
— | — | ||||||
SHAREHOLDERS’
EQUITY:
|
||||||||
Series
A cumulative convertible preferred stock, $.001 par value per
share,
|
||||||||
1,000,000
shares authorized, no shares issued or outstanding
|
— | — | ||||||
Common
stock, $.004 par value per share, 40,000,000 shares
authorized,
|
||||||||
11,610,075
and 11,419,535 shares issued as of December 31, 2009
|
||||||||
and
2008, respectively, including shares held in treasury
|
46,440 | 45,675 | ||||||
Common
stock held in treasury, at cost – 86,000 shares
|
(101,480 | ) | (101,480 | ) | ||||
Additional
paid-in capital
|
7,661,061 | 7,423,340 | ||||||
Retained
earnings
|
1,742,649 | 7,532,313 | ||||||
Total
shareholders’ equity
|
9,348,670 | 14,899,848 | ||||||
Total
liabilities and shareholders’ equity
|
$ | 18,250,453 | $ | 23,684,535 |
2009
|
2008
|
2007
|
||||||||||
NET
SALES
|
$ | 34,235,218 | $ | 40,649,057 | $ | 38,232,405 | ||||||
COST
OF SALES
|
23,350,636 | 26,747,590 | 24,584,807 | |||||||||
Gross
profit
|
10,884,582 | 13,901,467 | 13,647,598 | |||||||||
OPERATING
EXPENSES:
|
||||||||||||
Research
and development
|
2,459,508 | 2,027,747 | 2,253,512 | |||||||||
Selling,
general and administrative
|
11,602,928 | 12,164,974 | 10,815,248 | |||||||||
|
14,062,436 | 14,192,721 | 13,068,760 | |||||||||
Goodwill
impairment
|
2,155,785 | — | — | |||||||||
OPERATING
(LOSS) INCOME
|
(5,333,639 | ) | (291,254 | ) | 578,838 | |||||||
Interest
expense, net
|
224,215 | 272,471 | 274,977 | |||||||||
(LOSS) INCOME BEFORE INCOME
TAXES
|
(5,557,854 | ) | (563,725 | ) | 303,861 | |||||||
Income
tax expense (benefit)
|
231,810 | (175,731 | ) | (2,599 | ) | |||||||
NET
(LOSS) INCOME
|
$ | (5,789,664 | ) | $ | (387,994 | $ | 306,460 | |||||
|
||||||||||||
NET
(LOSS) INCOME PER COMMON SHARE:
|
||||||||||||
Basic
|
$ | (0.51 | ) | $ | (0.04 | ) | $ | 0.03 | ||||
Diluted
|
$ | (0.51 | ) | $ | (0.04 | ) | $ | 0.03 | ||||
WEIGHTED
AVERAGE NUMBER OF COMMON
|
||||||||||||
SHARES
OUTSTANDING:
|
||||||||||||
Basic
|
11,260,553 | 11,031,855 | 10,696,217 | |||||||||
Diluted
|
11,260,553 | 11,031,855 | 12,211,694 |
Common
Stock
|
||||||||||||||||||||||||||||
Issued
|
Held
in Treasury
|
Paid-in
|
Retained
|
|||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
Capital
|
Earnings
|
Total
|
||||||||||||||||||||||
BALANCE,
December 31, 2006
|
10,679,307 | $ | 42,717 | 86,000 | $ | (101,480 | ) | $ | 4,935,538 | $ | 7,748,222 | $ | 12,624,997 | |||||||||||||||
Change
in accounting for uncertain income tax positions
|
(134,375 | ) | (134,375 | ) | ||||||||||||||||||||||||
Net
income
|
306,460 | 306,460 | ||||||||||||||||||||||||||
Common
stock issued upon exercise of stock options and
warrants
|
192,824 | 771 | 116,391 | 117,162 | ||||||||||||||||||||||||
Common
stock issued under stock purchase plan
|
21,654 | 87 | 114,543 | 114,630 | ||||||||||||||||||||||||
Tax
benefit from exercise of warrants
|
419,399 | 419,399 | ||||||||||||||||||||||||||
Restricted
stock issued under equity incentive
plans
|
91,000 | — | — | — | ||||||||||||||||||||||||
Stock
compensation
|
|
|
|
|
303,136 |
|
303,136 | |||||||||||||||||||||
BALANCE,
December 31, 2007
|
10,984,785 | 43,575 | 86,000 | (101,480 | ) | 5,889,007 | 7,920,307 | 13,751,409 | ||||||||||||||||||||
Net
loss
|
(387,994 | ) | (387,994 | ) | ||||||||||||||||||||||||
Common
stock issued upon exercise of stock options and
warrants
|
29,300 | 118 | 40,847 | 40,965 | ||||||||||||||||||||||||
Common
stock issued under stock
purchase plan
|
26,417 | 106 | 99,690 | 99,796 | ||||||||||||||||||||||||
Private
placement
|
333,333 | 1,333 | 998,667 | 1,000,000 | ||||||||||||||||||||||||
Tax
benefit from exercise of warrants
|
(14,730 | ) | (14,730 | ) | ||||||||||||||||||||||||
Restricted
stock issued under equity incentive
plans, net of cancellations
|
45,700 | 543 | (543 | ) | — | |||||||||||||||||||||||
Stock
compensation
|
|
|
|
|
410,402 |
|
410,402 | |||||||||||||||||||||
BALANCE,
December 31, 2008
|
11,419,535 | 45,675 | 86,000 | (101,480 | ) | 7,423,340 | 7,532,313 | 14,899,848 | ||||||||||||||||||||
Net
loss
|
(5,789,664 | ) | (5,789,664 | ) | ||||||||||||||||||||||||
Common
stock issued upon exercise of stock options
|
24,700 | 99 | 23,542 | 23,641 | ||||||||||||||||||||||||
Common
stock issued under stock purchase plan
|
37,813 | 151 | 60,581 | 60,732 | ||||||||||||||||||||||||
Restricted
stock issued under equity incentive
plans, net of cancellations
|
128,027 | 515 | (515 | ) | — | |||||||||||||||||||||||
Deferred
income taxes regarding restricted stock
|
(170,757 | ) | (170,757 | ) | ||||||||||||||||||||||||
Stock
compensation
|
|
|
|
|
324,870 |
|
324,870 | |||||||||||||||||||||
BALANCE,
December 31, 2009
|
11,610,075 | $ | 46,440 | 86,000 | $ | (101,480 | ) | $ | 7,661,061 | $ | 1,742,649 | $ | 9,348,670 |
2009
|
2008
|
2007
|
||||||||||
OPERATING
ACTIVITIES:
|
$ | (5,789,664 | ) | $ | (387,994 | ) | $ | 306,460 | ||||
Net
(loss) income
|
||||||||||||
Adjustments
to reconcile net (loss) income to net cash
|
||||||||||||
provided
(used) by operating activities:
|
||||||||||||
Depreciation
and amortization
|
1,189,114 | 1,169,335 | 816,286 | |||||||||
Deferred
income taxes
|
1,041,863 | 373 | (537,167 | ) | ||||||||
Provision
for doubtful accounts
|
63,689 | 25,350 | 50,000 | |||||||||
Impairment
of assets
|
2,266,238 | — | — | |||||||||
Stock
compensation
|
324,870 | 410,402 | 303,136 | |||||||||
Amortization
of gain on sale and leaseback
|
(134,637 | ) | (134,637 | ) | (43,035 | ) | ||||||
Changes
in operating assets and liabilities:
|
||||||||||||
Accounts
receivable
|
(575,064 | ) | 1,240,595 | (90,997 | ) | |||||||
Other
receivable
|
715,769 | (715,769 | ) | — | ||||||||
Recoverable
income taxes
|
(770,021 | ) | 129,273 | 90,485 | ||||||||
Inventories
|
1,979,626 | 234,580 | (3,212,925 | ) | ||||||||
Other current
assets
|
28,786 | 2,266 | (6,033 | ) | ||||||||
Accounts payable and accrued
expenses
|
17,806 | (324,071 | ) | (865,377 | ) | |||||||
Income taxes
payable
|
121,405 | 10,750 | 10,750 | |||||||||
Net cash provided (used) by operating
activities
|
479,780 | 1,660,453 | (3,178,417 | ) | ||||||||
INVESTING
ACTIVITIES:
|
||||||||||||
Purchases
of intangible assets
|
(114,116 | ) | (53,241 | ) | (479,543 | ) | ||||||
Proceeds
from sale of property
|
— | — | 2,791,529 | |||||||||
Purchases
of property and equipment
|
(287,642 | ) | (1,413,014 | ) | (1,188,030 | ) | ||||||
Net
cash (used) provided by financing activities
|
(401,758 | ) | (1,466,255 | ) | 1,123,956 | |||||||
FINANCING
ACTIVITIES:
|
||||||||||||
Borrowings
under notes payable
|
228,052 | 298,704 | 410,639 | |||||||||
Repayments
of notes payable
|
(177,374 | ) | (370,241 | ) | (408,343 | ) | ||||||
Repayments
(borrowings) under line-of-credit, net
|
675,649 | (255,341 | ) | 2,249,349 | ||||||||
Repayments
of long-term debt
|
(613,805 | ) | (577,454 | ) | (1,516,188 | ) | ||||||
Income
tax benefit (reversal) related to equity instruments
|
(170,757 | ) | (14,730 | ) | 419,399 | |||||||
Proceeds
from issuance of common stock
|
84,373 | 1,140,761 | 231,792 | |||||||||
Net
cash provided by financing activities
|
26,138 | 221,699 | 1,386,648 | |||||||||
Net
change in cash and cash equivalents
|
104,160 | 415,897 | (667,813 | ) | ||||||||
Cash
and cash equivalents, beginning of year
|
1,082,619 | 666,722 | 1,334,535 | |||||||||
CASH
AND CASH EQUIVALENTS, END OF YEAR
|
$ | 1,186,779 | $ | 1,082,619 | $ | 666,722 | ||||||
SUPPLEMENTAL
DISCLOSURES OF CASH FLOW INFORMATION:
|
||||||||||||
Cash
paid during the year for interest
|
$ | 224,059 | $ | 282,056 | $ | 263,732 | ||||||
Cash
paid (collected) during the year for income taxes, net
|
$ | 9,318 | $ | (301,398 | ) | $ | 13,934 |
Intangible
and other assets at December 31, 2009 and 2008 consist of:
|
||||||||
2009
|
2008
|
|||||||
Patents
and other assets
|
$ | 606,271 | $ | 628,273 | ||||
Patents
pending
|
240,981 | 204,510 | ||||||
Purchased
technology
|
33,893 | 123,893 | ||||||
Capitalized
software
|
179,946 | 177,813 | ||||||
Deferred
finance charges
|
46,986 | 71,938 | ||||||
1,108,077 | 1,206,427 | |||||||
Accumulated
amortization
|
(482,316 | ) | (449,049 | ) | ||||
$ | 625,761 | $ | 757,378 |
|
Expected
amortization expense of intangible assets as of December 31, 2009 over the
next five years follows:
|
2010
|
$ | 69,000 | ||
2011
|
29,000 | |||
2012
|
22,000 | |||
2013
|
15,000 | |||
2014
|
13,000 | |||
$ | 148,000 |
2009
|
2008
|
|||||||
Beginning
balance
|
$ | 50,000 | $ | 50,000 | ||||
Provision
|
141,265 | 188,775 | ||||||
Warranty
costs incurred
|
(141,265 | ) | (188,775 | ) | ||||
Ending
balance
|
$ | 50,000 | $ | 50,000 |
2009
|
2008
|
2007
|
||||||||||
Weighted
average shares outstanding, net of restricted
|
||||||||||||
shares
– used to compute basic earnings (loss) per share
|
11,260,553 | 11,031,855 | 10,696,217 | |||||||||
Dilutive
effect of restricted shares, and outstanding
|
||||||||||||
warrants
and options
|
— | — | 1,515,477 | |||||||||
Weighted
average shares of dilutive securities
|
||||||||||||
outstanding
– used to compute diluted
|
||||||||||||
earnings
(loss) per share
|
11,260,553 | 11,031,855 | 12,211,694 |
|
All
outstanding stock related grants were excluded from the 2009 and 2008
diluted loss per share calculations as they would have been
anti-dilutive.
|
|
Fair
value of financial instruments
|
|
The
fair value of the Company’s long-term debt as of December 31, 2009
approximates its carrying value of $1,708,755. Fair value was determined
using unobservable inputs (i.e. Level III). The fair value of all other
financial instruments approximates their carrying value using active
market data (i.e. Level I).
|
2009
|
2008
|
|||||||
Balance
at beginning of year
|
$ | 150,000 | $ | 125,000 | ||||
Provision
|
63,689 | 25,350 | ||||||
Accounts
written off
|
(38,689 | ) | (350 | ) | ||||
Balance
at end of year
|
$ | 175,000 | $ | 150,000 |
2009
|
2008
|
|||||||
Raw
materials
|
$ | 6,185,097 | $ | 7,560,332 | ||||
Work
in process
|
39,544 | 24,560 | ||||||
Finished
goods
|
1,582,271 | 2,201,646 | ||||||
$ | 7,806,912 | $ | 9,786,538 |
Long-term
debt at December 31, 2009 and 2008
|
||||||||
consists
of:
|
2009
|
2008
|
||||||
Note
payable to a bank in monthly installments
|
||||||||
of
$61,533, including interest at 6.0%
|
||||||||
to
May 2012
|
$ | 1,708,755 | $ | 2,322,560 | ||||
Less
current portion
|
652,482 | 614,067 | ||||||
$ | 1,056,273 | $ | 1,708,493 |
2010
|
$ | 652,482 | ||
2011
|
693,300 | |||
2012
|
362,973 | |||
$ | 1,708,755 |
2009
|
2008
|
|||||||
Payroll
|
$ | 331,874 | $ | 327,239 | ||||
Severance
|
250,827 | — | ||||||
Professional
fees
|
308,918 | 174,529 | ||||||
Warranty
|
50,000 | 50,000 | ||||||
Travel
and entertainment
|
64,600 | 53,270 | ||||||
Other
|
306,945 | 230,830 | ||||||
$ | 1,313,164 | $ | 835,868 |
2009 | 2008 | |||||||||||||||||||||||
Weighted
|
Weighted
|
|||||||||||||||||||||||
Average
|
Aggregate
|
Average
|
Aggregate
|
|||||||||||||||||||||
Option
|
Exercise
|
Intrinsic
|
Option
|
Exercise
|
Intrinsic
|
|||||||||||||||||||
Shares
|
Price
|
Value
|
Shares
|
Price
|
Value
|
|||||||||||||||||||
Outstanding
at beginning of year
|
590,125 | $ | 2.43 | 524,425 | $ | 2.11 | ||||||||||||||||||
Granted
|
25,000 | 1.82 | 125,000 | 3.89 | ||||||||||||||||||||
Exercised
|
(24,700 | ) | 0.96 | (29,300 | ) | 1.40 | ||||||||||||||||||
Canceled
|
(102,250 | ) | 3.77 | (30,000 | ) | 4.00 | ||||||||||||||||||
Outstanding
at end of year
|
488,175 | 2.19 | $ | 233,619 | 590,125 | 2.43 | $ | 737,613 | ||||||||||||||||
Exercisable
at end of year
|
441,507 | 2.10 | $ | 233,619 | 461,791 | 2.00 | $ | 769,580 | ||||||||||||||||
Weighted
average grant-date fair value of options granted during the
year
|
$ | 1.20 | $ | 2.90 | ||||||||||||||||||||
Weighted
|
|||||||||||||||||||||
Remaining
|
Average
|
Average
|
|||||||||||||||||||
Range
of
|
Number
|
Contractual
|
Exercise
|
Number
|
Exercise
|
||||||||||||||||
Exercise Prices
|
Outstanding
|
Life in Years
|
Price
|
Exercisable
|
Price
|
||||||||||||||||
$0.57 — $0.82 | 110,000 | 2.0 | $ | 0.68 | 110,000 | $ | 0.68 | ||||||||||||||
1.42 — 1.95 | 135,675 | 5.0 | 1.54 | 115,675 | 1.47 | ||||||||||||||||
2.30 — 3.10 | 177,500 | 5.7 | 2.82 | 164,166 | 2.82 | ||||||||||||||||
3.59 — 5.02 | 65,000 | 6.4 | 4.40 | 51,666 | 4.24 | ||||||||||||||||
$0.57 — $5.02 | 488,175 | 4.8 | $ | 2.19 | 441,507 | $ | 2.10 | ||||||||||||||
2009
|
2008
|
2007
|
||||||||||
Current
(benefit):
|
||||||||||||
Federal
|
$ | (827,162 | ) | $ | (28,597 | ) | $ | 657,438 | ||||
State
|
17,109 | (147,508 | ) | (133,620 | ) | |||||||
(810,053 | ) | (176,105 | ) | 523,818 | ||||||||
Deferred
(benefit):
|
||||||||||||
Federal
|
1,004,222 | (155,637 | ) | (507,348 | ) | |||||||
State
|
37,641 | 156,011 | (19,069 | ) | ||||||||
1,041,863 | 374 | (526,417 | ) | |||||||||
Income
taxes (benefit)
|
$ | 231,810 | $ | (175,731 | ) | $ | (2,599 | ) |
2009
|
2008
|
2007
|
||||||||||
Income
taxes at the statutory rate
|
$ | (1,889,670 | ) | $ | (191,667 | ) | $ | 103,313 | ||||
State
income taxes, net of federal effect
|
(18,018 | ) | 5,612 | (100,774 | ) | |||||||
R&D
and other tax credits
|
(54,951 | ) | (25,021 | ) | (80,700 | ) | ||||||
Stock
options
|
— | 3,523 | 33,424 | |||||||||
Goodwill
impairment
|
732,967 | — | — | |||||||||
Change
in valuation allowance
|
1,448,630 | — | — | |||||||||
Other
|
12,852 | 31,822 | 42,138 | |||||||||
Income
taxes (benefit)
|
$ | 231,810 | $ | (175,731 | ) | $ | (2,599 | ) |
2009
|
2008
|
|||||||
Inventories
|
$ | 636,159 | $ | 545,930 | ||||
Warranty
accrual
|
17,495 | 17,495 | ||||||
Allowance
for doubtful accounts
|
61,233 | 52,492 | ||||||
Tax
credits
|
282,528 | 163,830 | ||||||
Deferred
gain on sale and leaseback
|
361,819 | 408,928 | ||||||
Restricted
stock
|
225,997 | — | ||||||
Other
|
216,201 | 155,884 | ||||||
1,801,432 | 1,344,559 | |||||||
Prepaid
expenses
|
(134,065 | ) | (144,137 | ) | ||||
Property
and equipment
|
(218,737 | ) | (158,559 | ) | ||||
Deferred
income tax assets and liabilities
|
1,448,630 | 1,041,863 | ||||||
Valuation
allowance
|
(1,448,630 | ) | — | |||||
Net
deferred income tax assets and liabilities
|
$ | — | $ | 1,041,863 |
2009
|
2008
|
|||||||
Balance
at beginning of year
|
$ | 155,875 | $ | 145,125 | ||||
Increase
for tax positions taken during a prior period
|
13,500 | 10,750 | ||||||
Increase
for tax positions taken in current year
|
107,905 | — | ||||||
Balance
at end of year
|
$ | 277,280 | $ | 155,875 | ||||
|
Unaudited
quarterly financial information
follows:
|
First
|
Second
|
Third
|
Fourth
|
Total
|
||||||||||||||||
Quarter
|
Quarter
|
Quarter (2)
|
Quarter(3)
|
Year
|
||||||||||||||||
Year
ended December 31, 2009
|
||||||||||||||||||||
Net
sales
|
$ | 8,405,824 | $ | 8,568,115 | $ | 9,165,561 | $ | 8,095,718 | $ | 34,235,218 | ||||||||||
Cost
of sales
|
5,940,695 | 5,975,792 | 5,964,848 | 5,469,301 | 23,350,636 | |||||||||||||||
Gross
profit
|
2,465,129 | 2,592,323 | 3,200,713 | 2,626,417 | 10,884,582 | |||||||||||||||
Net
(loss) income
|
(902,868 | ) | (833,658 | ) | 197,138 | (4,250,276 | ) | (5,789,664 | ) | |||||||||||
Net
(loss) income per common share (1):
|
||||||||||||||||||||
Basic
|
$ | (0.08 | ) | $ | (0.07 | ) | $ | 0.02 | $ | (0.38 | ) | $ | ( 0.51 | ) | ||||||
Diluted
|
$ | (0.08 | ) | $ | (0.07 | ) | $ | 0.02 | $ | (0.38 | ) | $ | (0.51 | ) |
First
|
Second
|
Third
|
Fourth
|
Total
|
||||||||||||||||
Quarter
|
Quarter
|
Quarter
|
Quarter
|
Year
|
||||||||||||||||
Year
ended December 31, 2008
|
||||||||||||||||||||
Net
sales
|
$ | 8,961,551 | $ | 10,542,919 | $ | 11,708,082 | $ | 9,436,505 | $ | 40,649,057 | ||||||||||
Cost
of sales
|
6,281,396 | 7,051,041 | 7,407,603 | 6,007,550 | 26,747,590 | |||||||||||||||
Gross
profit
|
2,680,155 | 3,491,878 | 4,300,479 | 3,428,955 | 13,901,467 | |||||||||||||||
Net
(loss) income
|
(529,891 | ) | (32,008 | ) | 328,866 | (154,961 | ) | (387,994 | ) | |||||||||||
Net
(loss) income per common share (1):
|
||||||||||||||||||||
Basic
|
$ | (0.05 | ) | $ | (0.00 | ) | $ | 0.03 | $ | (0.01 | ) | $ | ( 0.04 | ) | ||||||
Diluted
|
$ | (0.05 | ) | $ | (0.00 | ) | $ | 0.03 | $ | (0.01 | ) | $ | (0.04 | ) | ||||||
(1)
|
The
sum of quarterly per share amounts may not equal per share amounts
reported for year-to-date or full-year periods due to change the number of
weighted average shares outstanding and the effects of
rounding.
|
(2)
|
During the third quarter of 2009, the Company recorded a
recovery of legal expenses and reimbursements for asset write-downs
totaling $712,000 related to a settlement with the Analogic
Corporation.
|
(3)
|
During
the fourth quarter of 2009, the Company recognized a goodwill impairment
charge of $2,155,785 and recorded a deferred income tax
asset valuation allowance of
$1,448,630.
|
Plan Category
|
|
Number
of securities to be issued upon exercise of outstanding options and warrants
|
Weighted-average
exercise price of outstanding options
and warrants
|
Number
of securities remaining available for future issuance under equity compensations plans
|
|||||||||
Equity
compensation plans approved by security holders
|
488,175 | $ | 2.19 | 402,273 | |||||||||
Equity
compensation plans not approved by security holders
|
964,401 | 0.50 | — | ||||||||||
Total
|
1,452,576 | $ | 1.03 | 402,273 | |||||||||
2.1
|
Stock
Purchase Agreement dated May 15, 2005 between CAS Medical Systems, Inc.,
Statcorp, Inc., and the Stockholders of Statcorp Inc.
(1)
|
3.1
|
Certificate
of Incorporation of Registrant (2)
|
3.2
|
Amended
and Restated Bylaws of Registrant
(14)
|
10.1*
|
Employment
Agreement dated September 1, 1993 between Louis P. Scheps and CAS Medical
Systems, Inc. (4)
|
10.2*
|
Amendment
Number One to Employment Agreement between Louis P. Scheps andCAS
Medical Systems, Inc. (4)
|
10.3*
|
Amendment
Number Two to Employment Agreement between Louis P. Scheps and CAS Medical
Systems, Inc. (4)
|
10.4*
|
Amendment
Number Three to Employment Agreement between Louis P. Scheps and CAS
Medical Systems, Inc. (4)
|
10.5*
|
Amendment
Number Four to Employment Agreement between Louis P. Scheps and CAS
Medical Systems, Inc. (3)
|
10.6*
|
Amendment
Number Five to Employment Agreement between Louis P. Scheps and CAS
Medical Systems, Inc. (5)
|
10.7*
|
Amendment
Number Six to Employment Agreement between Louis P. Scheps and CAS
Medical Systems, Inc. (6)
|
10.8*
|
1994
Employees’ Incentive Stock Option Plan
(7)
|
10.9*
|
CAS
Medical Systems, Inc. Employee Stock Purchase Plan
(8)
|
10.10*
|
CAS
Medical Systems, Inc. 2003 Equity Incentive Plan
(9)
|
10.11*
|
Form
of Option Agreement (5)
|
10.12
|
Commercial
Line of Credit Note and Loan Agreement with NewAlliance Bank
(10)
|
10.13
|
Security
Agreement with NewAlliance Bank
(10)
|
10.14
|
Commercial
Loan and Security Agreement between CAS Medical Systems, Inc., NewAlliance
Bank and Statcorp
Inc. (1)
|
10.15
|
Modification
to Agreement between CAS Medical Systems, Inc. and NewAlliance Bank.
(6)
|
10.16
|
Commercial
Line of Credit Note and Loan Agreement dated October 27, 2006
(11)
|
10.17
|
Security
Agreement in favor of NewAlliance Bank dated October 27, 2006
(11)
|
10.18*
|
Employment
Agreement between Andrew E. Kersey and CAS Medical Systems, Inc. effective
April 1, 2007 (12)
|
10.19
|
Purchase
and Sale Agreement between CAS Medical Systems, Inc. and Davis Marcus
Partners, Inc. (13)
|
10.20
|
Lease
Agreement between CAS Medical Systems, Inc. and DMP New Branford, LLC
(13)
|
10.21
|
Commercial
Loan Agreement dated February 11, 2008 between CAS Medical Systems, Inc.
and NewAlliance Bank (15)
|
10.22
|
Commercial
Revolving Promissory Note dated February 11, 2008
(15)
|
10.23
|
Security
Agreement dated February 11, 2008 in favor of NewAlliance Bank
(15)
|
10.24
|
Subscription
Agreement dated May 9, 2008 with jVen Capital, LLC
(16)
|
10.25
|
First
Amendment to Employment Agreement with Andrew E. Kersey dated December 29,
2008 (17)
|
10.26
|
Amendment
No. 7 to Employment Agreement with Louis P. Scheps dated December 29, 2008
(17)
|
10.27
|
Amendment
to the CAS Medical Systems, Inc. 2003 Equity Incentive Plan
(17)
|
10.28
|
Debt
Modification Agreement dated December 31, 2008
(18)
|
10.29
|
Second
Modification Agreement dated April 3, 2009
(19)
|
10.30*
|
Employment
Agreement with Jeffery A. Baird dated August 10, 2009
(20)
|
10.31
|
Third
Modification Agreement dated March 11, 2010
(21)
|
10.32
|
Trademarks
and Letters Patent Security Agreement dated as of March 11, 2010
(21)
|
10.33
|
Guaranty
dated as of March 11, 2010 from Statcorp, Inc. to NewAlliance Bank
(21)
|
10.34
|
Security
Agreement between Statcorp and NewAlliance Bank dated March 11, 2010
(21)
|
10.35
|
Modification
to Commercial Loan and Security Agreement dated March 11, 2010
(21)
|
21.1
|
Subsidiaries
of the Registrant
|
23.1
|
Consent
of Independent Registered Public Accounting
Firm
|
31.1
|
Certification
of CEO Pursuant to Rule 13a-14
|
31.2
|
Certification
of CFO Pursuant to Rule 13a-14
|
32.1
|
Certification
of CEO and CFO Pursuant to 18 U.S.C.
1350
|
|
(1)
|
Incorporated
by reference to the Company’s Form 8-K/A filed July 29,
2005
|
(2)
|
Incorporated
by reference to the Company’s Registration Statement, dated April 15,
1985, filed with the Securities and Exchange
Commission
|
(3)
|
Incorporated
by reference to the Company’s Form 10-KSB filed March 29,
2004
|
(4)
|
Incorporated
by reference to the Company’s Form 10-KSB filed March 28,
2003
|
(5)
|
Incorporated
by reference to the Company’s Form 10-KSB filed March 31,
2005
|
(6)
|
Incorporated
by reference to the Company’s Form 10-QSB filed November 14,
2005
|
(7)
|
Incorporated
by reference to the Company’s Form S-8 filed October 4,
2000
|
(8)
|
Incorporated
by reference to the Company’s Form S-8 filed June 10,
2004
|
(9)
|
Incorporated
by reference to the Company’s Form S-8 filed June 10,
2004
|
(10)
|
Incorporated
by reference to the Company’s Form 10-QSB filed November 12,
2004
|
(11)
|
Incorporated
by reference to the Company’s Form 8-K filed October 30,
2006
|
(12)
|
Incorporated
by reference to the Company’s Form 10-KSB filed March 19,
2007
|
(13)
|
Incorporated
by reference to the Company’s Form 8-K filed September 10,
2007
|
(14)
|
Incorporated
by reference to the Company’s Form 8-K filed November 30,
2007
|
(15)
|
Incorporated
by reference to the Company’s Form 8-K filed February 14,
2008
|
(16)
|
Incorporated
by reference to the Company’s Form 8-K filed May 14,
2008
|
(17)
|
Incorporated
by reference to the Company’s Form 8-K filed December 31,
2008
|
(18)
|
Incorporated
by reference to the Company’s Form 8-K filed January 6,
2009
|
(19)
|
Incorporated
by reference to the Company’s Form 10-K filed April 3,
2009
|
(20)
|
Incorporated
by reference to the Company’s Form 10-Q filed August 12,
2009
|
(21)
|
Incorporated
by reference to the Company’s Form 8-K filed March 17,
2010
|
/s/ Andrew E. Kersey | Date: March 29, 2010 | ||
By: Andrew
E. Kersey
President and Chief
Executive Officer
|
/s/ Louis P. Scheps | Date: March 29, 2010 | ||
Louis P. Scheps, Chairman of the Board | |||
/s/ Lawrence Burstein | Date: March 29, 2010 | ||
Lawrence Burstein, Director | |||
/s/ Jerome Baron | Date: March 29, 2010 | ||
Jerome Baron, Director | |||
/s/ Evan Jones | Date: March 29, 2010 | ||
Evan Jones, Director | |||
/s/ Andrew E. Kersey | Date: March 29, 2010 | ||
Andrew
E. Kersey, President, Chief Executive
Officer
and Director
|
|||
/s/ Jeffery A. Baird | Date: March 29, 2010 | ||
Jeffery
A. Baird, Chief Financial Officer
(Chief
Financial and Accounting Officer)
|
|||