date 27 april 2011:
By WST on seeking alpha
Cytori Therapeutics Management - Putting Its Money Where Its Mouth Is
Has anyone ever heard of a situation where a company tied the issuance of senior management restricted stock awards to the procurement of an FDA approval? Well, Cytori Therapeutics (CYTX) did just that when it issued an 8-K on 2/28/2011. In this filing it tied the vesting of restricted stock awards to three conditions:
Pursuant to the terms of the award agreements, the performance-based restricted stock awards will not vest until January 1, 2013, and then only if, and to the extent that, the Company’s achieves certain performance goals established by the Compensation Committee to be achieved by January 1, 2012. The performance goals are weighted based on the following achievements: obtaining certain FDA clearance or approval (40%), achieving a targeted revenue increase for the fiscal year ended December 31, 2011 (20%), and entering into a major collaboration for development and/or commercialization of the Company’s products (40%).