Business Context and Reporting Period
This Form 8-K Current Report was filed by Data Storage Corporation (DTST) on December 28, 2023, covering events that occurred on December 22, 2023. The company is incorporated in Nevada and trades on The Nasdaq Capital Market.
Key Financial Metrics
This filing does not report revenue, profit, cash flow, margins, debt, or liquidity metrics. The document focuses exclusively on executive compensation adjustments.
Material Changes
The primary material change reported is the approval of increased base salaries and new compensation packages for key executives by the Compensation Committee on December 22, 2023:
- Charles Piluso (CEO): Base salary increased to $250,000; received bonuses and equity incentive awards per employment agreement.
- Christos Panagiotakos (CFO): Base salary increased to $235,000; received bonuses and equity incentive awards per employment agreement.
- Harold Schwartz (President): Base salary increased to $245,000; awarded a $150,000 incentive bonus and an equity grant valued at $100,000.
- Thomas Kempster (Executive Vice President): Base salary increased to $235,000; awarded a $100,000 incentive bonus and an equity grant valued at $100,000.
The equity grants for Mr. Schwartz and Mr. Kempster are scheduled for award on January 2, 2024, and consist of 50% stock options and 50% restricted stock units.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, management commentary on business outlook, or discussion of specific risks and contingencies beyond the standard disclosure of executive compensation changes.
Investor Verification Checklist
- Verify the total cash and equity compensation impact on the company's upcoming fiscal year expenses.
- Review the specific terms of the employment agreements referenced for the CEO and CFO to understand the bonus and equity structures.
- Confirm the vesting schedules and exercise terms for the stock options and restricted stock units granted to the President and Executive Vice President.
- Check subsequent filings for the actual issuance of the equity awards scheduled for January 2, 2024.