Business Context and Reporting Period
This Form 8-K was filed by Energy Recovery, Inc. on September 16, 2010. The report details corporate governance changes, specifically the expansion of the Board of Directors and the election of a new director.
Key Financial Metrics
The filing does not provide financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on personnel and compensation arrangements.
Material Changes
- Board Expansion: The Board of Directors increased its size to eight members.
- New Director Election: Robert Yu Lang Mao was elected as a Class III director. He previously served as CEO and Board member of 3Com Corporation.
- Committee Appointment: Mr. Mao was appointed to the Audit Committee.
Compensation and Outlook
Compensation Arrangements:
- Cash: Annual cash compensation of $40,000, pro-rated for the partial term.
- Equity: Initial grant of options to purchase 25,000 shares of common stock upon joining.
- Future Grants: Additional grants of options for 25,000 shares each on the first, second, and third anniversaries of his election.
Outlook and Risks: The filing text does not provide management commentary on business outlook, risks, contingencies, or unusual items.
Investor Verification Checklist
- Verify the total number of directors on the Board is now eight.
- Confirm Robert Yu Lang Mao's appointment to the Audit Committee.
- Review the specific terms of the stock option grants (25,000 shares initially, plus three future tranches).
- Check the pro-rated cash compensation calculation for the partial term.