The directors of Yocream may have screwed their shareholders last year, and I am not talking about the fact that they have deregistered the company.
Last spring, the shareholders approved some changes to the company’s stock option plan. Not only did the shareholders vote to increase the number of shares covered by the plan, from 85,000 to 335,000, but they also gave the company the option of issuing restricted shares to plan participants.
On September 19, 2005, five days after Yocream filed its 10-Q, the board approved the issuance of 185,900 restricted shares to various members of the board and management. The only disclosures related to these shares were included in the seven Form 4s that were filed on September 20, 2005. The shares are scheduled to vest over a seven-year period, though, if I have read the option plan correctly, the directors can change the vesting requirement whenever they want. |
