Business Context and Reporting Period
Company: Optical Cable Corporation
Filing Type: Form 8-K (Current Report)
Date of Report: October 19, 2010
Event: Entry into a Material Definitive Agreement and Material Modification to Rights of Security Holders.
Key Financial Metrics
This filing does not contain financial performance data. The document reports a corporate governance action rather than financial results. Consequently, revenue, profit, cash flow, margins, debt, and liquidity figures are not provided in this text.
Material Changes
On October 19, 2010, the Company executed Amendment No. 1 to its Rights Agreement dated November 2, 2001, with American Stock Transfer & Trust Company, LLC (the Rights Agent). The material change involves revising the definition of "beneficial ownership" within the Rights Agreement to include certain derivative or synthetic arrangements that possess characteristics of a long position in the Company's common stock.
Guidance, Outlook, and Risks
Management Commentary: The filing focuses solely on the execution of the amendment to the Rights Agreement. No forward-looking guidance, outlook, or general management commentary regarding operations is included.
Risks and Contingencies: The filing does not explicitly list new risks or contingencies, though the amendment is designed to address potential loopholes regarding beneficial ownership through synthetic arrangements.
Investor Verification Checklist
- Verify the specific terms of the revised "beneficial ownership" definition in Exhibit 4.1 (Amendment No. 1).
- Confirm the identity of the Rights Agent (American Stock Transfer & Trust Company, LLC) and its successor status.
- Review the original Rights Agreement dated November 2, 2001, to understand the baseline provisions being amended.
- Check for any subsequent filings regarding the impact of this amendment on shareholder rights or potential takeover defenses.