Item 405 of
Regulation S-B contained in this form, and no disclosure will be contained,
to
the best of the registrant’s knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-KSB or any
amendment to this Form 10-KSB. x
Indicate
by check mark whether the registrant is a shell company (as defined in Rule
12b-2 of the Exchange Act)
Yes o
No x
The
issuer’s revenues for the year ended December 31, 2006 were
$3,218,000
The
aggregate market value of voting and non-voting common equity held by
non-affiliates of the registrant computed by reference to the closing sale
price
of such common equity on the Pink Sheets Electronic OTC Markets on December
20,
2007 was $750,000. For purposes of this disclosure only, the issuer has assumed
that its directors, executive officers, and beneficial owners of 10% or more
of
the issuer’s Common Stock are affiliates of the issuer.
The
registrant had 552,177,450 shares
of
Common Stock, $.01 par value, outstanding as of December 20,
2007.
Transitional
Small Business Disclosure Format Yes o
No x
TABLE
OF CONTENTS
|
PART
I
|
||||
|
Item
1. Description of Business
|
||||
|
Item
2. Description of Property
|
||||
|
Item
3. Legal Proceedings
|
||||
|
Item
4. Submission of Matters to a Vote of Security Holders
|
||||
|
PART
II
|
||||
|
Item
5. Market for Common Equity and Related Stockholder Matters and
Small
Business Issuer Purchases
of Equity Securities
|
||||
|
Item
6. Management’s Discussion and Analysis or Plan of
Operation
|
||||
|
Item
7. Financial Statements
|
||||
|
Item
8. Changes In and Disagreements With Accountants on Accounting
and Financial
Disclosure
|
||||
|
Item
8A. Controls and Procedures
|
||||
|
Item
8B. Other Information
|
||||
|
PART
III
|
||||
|
Item
9. Directors, Executive Officers, Promoters, Control Persons, and
Corporate Governance; Compliance
With Section 16(a) of the Exchange Act
|
||||
|
Item
10. Executive Compensation
|
||||
|
Item
11. Security Ownership of Certain Beneficial Owners and Management
and
Related Stockholder Matters
|
||||
|
Item
12. Certain Relationships and Related Transactions, and Director
Independence
|
||||
|
Item
13. Exhibits
|
||||
|
Item
14. Principal Accountant Fees and Services
|
||||
|
SIGNATURES
|
||||
|
REPORT
OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
|
F-2 | |||
|
ELCOM
INTERNATIONAL, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE
SHEETS
|
F-4 | |||
|
ELCOM
INTERNATIONAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF
OPERATIONS
AND OTHER COMPREHENSIVE INCOME (LOSS)
|
F-5 | |||
|
ELCOM
INTERNATIONAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF
STOCKHOLDERS’
EQUITY (DEFICIT)
|
F-6 | |||
|
ELCOM
INTERNATIONAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF
CASH FLOWS
|
F-7 | |||
|
ELCOM
INTERNATIONAL, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS
|
F-8 | |||
|
EX-23.1
Consent of Vitale, Caturano & Company, Ltd.
|
||||
|
EX
23.2 - Consent of Malone Bailey, PC.
|
||||
|
EX-31.1
Section 302 Certification of Principal Executive Officer
|
||||
|
EX-32.2
Section 302 Certification of Principal Financial and Accounting
Officer
|
||||
|
EX-32.1
Section 906 Certification of Principal Executive Officer
|
||||
|
EX-32.2
Section 906 Certification of Principal Financial and Accounting
Officer
|
PART
I
Item
1. Description
of Business
Introduction
Elcom
International, Inc. (“Elcom”), a corporation formed in Delaware in December
1992, is a leading provider of Internet-based remotely-hosted, integrated
eProcurement and eMarketplace solutions and services (“ePurchasing”). Our PECOS™
Professional Electronic Commerce Online System ePurchasing solution is typically
remotely-hosted by Elcom, providing rapid deployment and single point
responsibility for clients. In total, over 100 organizations are currently
using
or accessing Elcom’s solution under these arrangements. From January 16, 2003 to
May 17, 2007, our Common Stock was quoted on the Over-the-Counter Bulletin
Board
(the “OTCBB”) under the symbol ELCO (ELCOE since April 2007 to indicate that
this Annual Report on Form 10-KSB had not yet been filed with the SEC by
the
appropriate extended deadline), but on May 18, 2007 our stock was suspended
from
the OTCBB due to a delay in our filing this annual report for the year ended
December 31, 2006 with the SEC and since then our stock has been listed in
the
Pink Sheets under the symbol ELCO. In addition, since April 16, 2004, our
common
stock has traded on the AIM Exchange (as defined below) under the symbols
ELC
and ELCS (designating the Regulation S Shares); however, the stock is currently
suspended from trading on the AIM exchange, pending the filing of the financial
statements for the year ended December 31, 2006 and suspended from the OTCBB
pending the filing of this Annual Report on Form 10-KSB plus the quarterly
reports for the first three quarters of 2007. We operate in the U.S. and
U.K.
Overview
Prior
to
the divestiture of our information technology (“IT”) products and services
business in the U.K. and U.S., we had previously marketed over 130,000 IT
products to commercial, educational and governmental accounts via several
electronic methodologies. During 2001, we carefully reviewed our business
operations, and in order to reduce operational and financial risks and properly
align our operations with the slowing demand for IT products and the overall
economic environment, we decided to divest our IT products and services business
to reduce costs and allow us to focus exclusively on our core Internet-based,
ePurchasing software technology. On December 31, 2001, we divested ourselves
of
our U.K. IT products business and on March 29, 2002, we divested ourselves
of
our U.S. IT products and services business. Commencing during the second
quarter
of 2002, our sole source of revenue has been the implementation of ePurchasing
solutions and associated professional services and monthly hosting services,
usage and data maintenance fees.
In
the
U.K., we have a substantial contract with Capgemini UK Plc (“Capgemini”)
associated with the Scottish Executive’s eProcurement Scotl@nd
Programme, where Elcom provides an ePurchasing system to agencies, councils,
and
National Health Service of Scotland (hospitals) Trusts (“Public Entities”) in
Scotland. We signed agreements with five Public Entities in 2005 and one
in
2006, bringing the total number of Public Entities in the eProcurement Scotland
program to 26. There are approximately 47 Public Entities potentially available
to join the eProcurement Scotland program, and possibly more, depending upon
the
Scottish Executive’s definition of eligibility. We earn implementation fees and
monthly hosting services fees for each Public Entity that joins the eProcurement
Scotland program. Capgemini is the prime contractor in the Scottish Executive
Agreement. Elcom subcontracts under this agreement as the technology service
provider. During 2006, this contract accounted for over 61% of our revenues
and
we continue to remain dependent on it.
In
addition, we are a member of a consortium led by PA Consulting Group UK Plc
(“PA”), a world-wide consulting firm, which has been awarded a contract, and has
executed agreements, including a Framework Agreement between Proc-Serve Shared
Services Ltd. (“PSSL”), a wholly-owned subsidiary of PA, and a U.K. government
agency, for the creation and deployment of an eMarketplace for U.K. Public
Entities (the “Zanzibar eMarketplace”). The Zanzibar eMarketplace agreements
were signed on August 12, 2005 and have a primary term of five years. PSSL
is
the primary contractor and Elcom, as a subcontractor to PSSL, will provide
the
eProcurement and eMarketplace components of the Zanzibar eMarketplace system.
Generally, the costs of administrating the Zanzibar eMarketplace contract
will
be shared by the consortium members, based upon each member’s share of revenues.
Accordingly, we will only realize a portion of our earned revenues, after
costs
of the PSSL entity are accounted for. The Zanzibar eMarketplace agreements
provide for one-time installation fees and recurring monthly hosting services
fees, as well as payments for certain development work. The agreements do
not
provide PSSL with unfettered rights to the underlying Elcom technology, and
therefore we anticipate that our realized development fees will be ratably
recognized over the applicable term of the agreement. As of December 2006,
four
(4) U.K. Public Entities have officially “gone live”. We are currently in a
contractual dispute with PA Consulting in respect of the Zanzibar contract,
and
are also considering initiating an Intellectual Property claim against the
same firm.
Common
Stock Issued under Regulation S in the U.K. - Change in Control of
Elcom
On
December 20, 2005, we agreed to issue an aggregate of 298,582,044 shares
of our
common stock (the “2005 Regulation S Shares”) to investors in the U.K., and
listed the 2005 Regulation S Shares on the Alternative Investment Market
of the
London Stock Exchange (“AIM Exchange”). The 2005 Regulation S Shares were issued
in reliance on the exemption from registration under Regulation S promulgated
under the Securities Act of 1933, as amended for offshore placements, and
therefore are subject to restrictions. Under Regulation S, the holders of
the
Regulation S Shares are prohibited from selling their Regulation S Shares
in the
United States, to a “U.S. person” (as defined in the Securities Act) or for the
benefit or account of a U.S. person, for a one-year period from the date
of
issuance (which period has expired for the 2005 Regulation S Shares). During
this one-year period, the holders of the Regulation S Shares may otherwise
trade
their Regulation S Shares in the U.K. and outside the U.S., pursuant to
Regulation S and other securities laws applicable in the jurisdiction in
which
the Regulation S Shares are traded. Upon the expiration of this one-year
period,
the Regulation S Shares will be “restricted securities” as the term is defined
in Rule 144 under the Securities Act, and may be sold in the United States,
to a
U.S. person or for the benefit or account of a U.S. person in accordance
with
Rule 144. The Regulation S Shares trade on the AIM Exchange and will not
commingle with the stock quoted on the OTCBB until and unless we register
the
Regulation S Shares with the SEC or an exemption from registration exists
with
respect to the Regulation S Shares. The Regulation S Shares have not been
registered under the Securities Act and may not be offered or sold in the
United
States (or to a U.S. person) absent registration or an applicable exemption
from
the registration requirements. We raised a total of approximately $7.2 million
in cash, net of issuance costs, and converted $547,000 of non-U.S. Loans
and
related accrued interest (see Note 3 to Consolidated Financial Statements)
via
issuance of the 2005 Regulation S Shares in the U.K. The 2005 Regulation
S
Shares were sold at a price of £0.015 (approximately $0.0266) per share. The
holders of the 2005 Regulation S Shares also have certain registration rights.
The funds derived from the sale of the 2005 Regulation S Shares were used
to
support our working capital requirements.
On
October 23, 2006, we agreed to issue a total of 76,336,289 shares of our
common
stock (the “2006 Regulation S Shares”) to investors in the U.K. and listed the
shares on the AIM Exchange. The 2006 Regulation S Shares were issued in reliance
on the exemption from registration under Regulation S promulgated under the
(“Securities Act”) for offshore placements, and therefore are subject to the
same restrictions as the 2005 Regulation S Shares. Elcom raised a total of
$2.5
million in cash in connection with the 2006 Regulation S Shares, net of issuance
costs of $24,000. The funds derived from the 2006 issuance of common stock
on
the AIM Exchange are being used to support our working capital requirements.
In
early
March 2006, we learned that, as a result of the December 2005 issuance of
common
stock on the AIM Exchange, Smith & Williamson Investment Management Limited
(“SWIM”) and Smith & Williamson Nominees Limited (“SWIM Nominees,” and
collectively with SWIM, the “SWIM Entities”) had acquired beneficial ownership
of more than 50% of our outstanding common stock. Elcom was informed of this
change in control on March 6, 2006 when the SWIM Entities filed a Schedule
13D
with the Securities and Exchange Commission (the “SEC”), reflecting such
beneficial ownership as of December 20, 2005. Therefore, on December 22,
2005,
our 10% Senior Convertible Debentures due 2013 (the “Debentures”) which were
held by SWIM Nominees and all interest accrued thereon, automatically converted
into Elcom common stock as a result of the acquisition of beneficial ownership
of a majority interest in Elcom by the SWIM Entities. The bulk of the SWIM
Entities’ shares were acquired in the issuance of the 2005 Regulation S Shares.
Based on the SWIM Entities’ Schedule 13D, and our records, including the
conversion of SWIM Nominees’ Debentures, the SWIM Entities owned approximately
64.1% of our outstanding common stock as of December 31, 2005. An aggregate
of
34,164,959 shares of Elcom common stock (the “Debenture Shares”) were issued
upon the automatic conversion of Debenture principal of approximately $1,264,000
and cumulative interest accrued (since issuance) of approximately
$323,000.
In
connection with the March 6, 2006 Schedule 13D, the SWIM Entities also informed
us of their request and that the Board of Directors call a special meeting
of
our stockholders for the purposes of amending certain of our by-laws and
replacing three directors with candidates nominated by the SWIM Entities
(the
“SWIM Candidates”). Elcom and its current Board of Directors at that time
entered into an agreement with the SWIM Entities to effect an orderly transition
of the Board of Directors to the control of the SWIM Candidates, and avoid
the
incremental costs of holding a special meeting of stockholders. Mr. Sean
Lewis,
former Chairman, and John E. Halnen, former President and Chief Executive
Officer, served as Directors until April 21, 2006 when Justin Dignam, Elliott
Bance and Gregory King were appointed as Directors. On September 7, 2006,
William Lock was also appointed a Director. As of December 31, 2006 the SWIM
Entities owned approximately 69% of our outstanding stock.
Subsequent
to year-end, on February 5, 2007, we sold 73,230,009 shares of our common
stock
(the “2007 Regulation S Shares”) to investors in the U.K. and listed the shares
on the AIM Exchange. The 2007 Regulation S Shares were issued in reliance
on the
exemption from registration under Regulation S promulgated under the Securities
Act for offshore placements, and therefore are subject to the same restrictions
as the 2005 Regulation S Shares and the 2006 Regulation S Shares sold
previously. Elcom raised a total of $2.5 million in cash, net of issuance
costs
of $23,948. The funds derived from the 2007 Regulation S Shares are being
used
to support our working capital requirements until we achieve positive cash
flow.
As a result of the February 2007 issuance of common stock on the AIM Exchange,
the SWIM Entities increased their ownership of our outstanding stock to
74%.
Product
Overview
Since
our
inception in 1992, we have developed our PECOS™ (Professional Electronic
Commerce Online System) system, which automates many supply chain and financial
settlement functions associated with procurement. We intend to augment our
core
ePurchasing solutions with other supply chain and supplier-oriented systems
to
enable the conduct of interactive procurement, supplier relationship management,
and financial settlement. We have licensed a third-party dynamic trading
system
platform to provide auction, reverse auction, and other electronic negotiation
(or eNegotiation) functions, which module is offered as optional functionality
to clients. Our PECOS™ solution can support large numbers of end-user clients,
products, suppliers and transactions and its transaction server middleware
provides a scalable foundation for robust system performance and high
transaction capacity.
Our
ePurchasing solution combines robust integrated eProcurement and eMarketplace
capabilities and is typically remotely-hosted via our data center. Management
believes that the combination of eProcurement and eMarketplace functionality
capabilities in a single code base gives Elcom a strong low-cost offering
and
importantly, can be offered to potential clients from either functional
viewpoint.
AMR
Research estimates that the worldwide procurement and sourcing market will
grow
from $1.7 billion in 2002 to $2.8 billion in 2007. AMR Research also estimated
that the professional services market for procurement and the sourcing
consulting services was approximately $3 billion in 2002. During August 2006,
we
together with three other competitors sponsored Aberdeen Group’s e-Procurement
Benchmark Report. The report was the fourth in a series of Aberdeen benchmarks
of eProcurement performance of nearly 170 enterprises. Aberdeen Group, Inc.
was
founded in 1988 and has over 100,000 research members in over 36 countries
around the world that participate in technology driven value chain research.
Professional
Services
Our
professional service offerings include various
consulting and supplier services to our clients. These services range from
implementation of PECOS and initial training and consulting, to interfacing
data
from PECOS into back-end computer systems, including Enterprise Resource
Planning (“ERP”) systems such as Oracle, SAP, Lawson, and others. Suppliers are
also offered services associated with catalog content and categorization,
loading procedures and automated data update methodologies.
Management
Information Systems
In
the
U.S., we license and utilize software from Oracle Corporation and other software
firms for our Management Information System (“MIS”). Our MIS incorporates
modules supporting general ledger, accounts payable and accounts receivable.
Company Management receives data from its chartered accountants in the U.K.
to
manage and monitor our U.K. operations.
Our
operations are dependent in part upon our ability to protect our MIS network
infrastructure in our Norwood, MA facility against damage from physical/“cyber”
break-ins, natural disasters, operational disruptions and other events. To
protect our data and provide service to our customers if the data center
were to
become inoperative, we have a disaster-recovery system in place.
Sales
and Marketing
As
of
December 31, 2006, our sales, marketing and related support personnel in
the
U.S. and U.K. were comprised of four marketing and/or relationship management
personnel, and nine customer support personnel. We market and sell our
ePurchasing solutions primarily through our channel partners.
Customer
Service and Support
We
believe that customer satisfaction is essential for our long-term success
and
offer comprehensive customer assistance programs. Our technical support provides
response to and resolution of customer technical inquiries and is available
to
clients by telephone, over the web or by electronic mail. We use a customer
service automation system to track each customer inquiry until it is
resolved.
Competition
The
market for ePurchasing solutions is competitive and evolving rapidly. We
expect
competition in this market to continue to intensify in the future. Among
other
factors, before investing in an eBusiness system, we believe potential clients
consider the cost of the system compared to the level of features and functions
available in electronic commerce (“eCommerce”) applications and the cost to
acquire, implement and maintain the system, as well as the length of time
to
implement a system and, as applicable, integrate it with a company’s existing
computer system. We compete with vendors of prepackaged eCommerce software,
vendors of software tools for developing eCommerce applications and systems
integrators. Our competitors include Ariba, Inc., Perfect Commerce, (based
on
the Commerce One platform), Ketera (based on Ariba, hosted) and Epsilon (Ariba).
We also see competition from other emerging and established companies, including
Oracle, SAP, and other ERP systems, many of which have products or alliances
to
offer Internet-based eCommerce, including eProcurement modules which function
as
part of their ERP system(s). Our potential competitors also include systems
integrators such as Electronic Data Systems (EDS). Most of our competitors
are
much larger than us and have substantially greater resources, both financial
and
otherwise.
Intellectual
Property
Our
success and ability to compete are dependent, in part, upon our proprietary
technology. While we rely to a certain extent on trademark, trade secret,
patent
and copyright law to protect our technology, we believes that factors such
as
the technological and creative skills of our personnel, new product
developments, frequent product enhancements, name recognition and reliable
product availability and distribution are of equal importance for establishing
and maintaining a competitive position. Although we have received a patent
on
certain, specific aspects of our PECOS™ technology, there can be no assurance
that other entities will not develop, or have not developed, technologies
that
are similar or superior to our technology. The source code for our proprietary
software is also protected both as a trade secret and as an unregistered
copyrighted work. Despite these precautions, it may be possible for a third
party to copy or otherwise obtain and use some portions of our products or
technology without authorization, or to develop similar technology
independently.
Government
Regulation
We
are
not currently subject to direct regulation by any government agency, other
than
regulations applicable to businesses generally, and there are currently few
laws
or regulations directly applicable to commerce on the Internet. However,
due to
the increasing popularity and use of the Internet, it is possible that
additional laws and regulations may be adopted with respect thereto, covering
issues such as greater user privacy, pricing and characteristics, taxation
of
Internet sales and quality of products and services. The adoption of any
such
laws or regulations may decrease the growth of eCommerce and/or the Internet,
which could in turn decrease the demand for our products and increase our
cost
of doing business or otherwise have an adverse effect on our business, operating
results or financial condition. Moreover, the applicability to the Internet
of
existing laws governing issues such as property ownership, libel and personal
privacy is evolving.
Environmental
Matters
Based
on
our experience to date, the cost of compliance with environmental matters
has
been immaterial and we believe that it is in material compliance with applicable
environmental laws and regulations.
Personnel
As
of
December 31, 2006, we had a total of 35 full time personnel in the U.S. and
11
full time personnel in the U.K. Our personnel are not represented by any
labor
union and we believe that our personnel relations are good. Our future success
depends, in significant part, upon the continued service of its key technical
and senior management personnel and our continuing ability to attract and
retain
highly qualified technical and managerial personnel. Competition for highly
qualified personnel is intense and there can be no assurance that we can
retain
our key managerial and technical personnel or that we will be able to attract
or
retain additional highly qualified technical and managerial personnel in
the
future. We relied heavily on stock option grants to motivate and provide
incentive’s for our personnel. As of December 20, 2007, we employed 28 full time
and 1 part time personnel in the U.S. and 10 full time personnel in the
U.K.
Company
Trade Names and Trademarks
Elcom
and
PECOS are trade names and/or trademarks. We have referred to a variety of
other
entities and products in this Form 10-KSB, certain of which are trade names
or
trademarks. Such trade names or trademarks are the property of the respective
companies owning such trade names and trademarks.
Item
2. Description
of Property
As
of
December 31, 2006, we leased the property set forth below. The facility lease
expires on December 31, 2007. The property is in good condition; however,
the
size exceeds our current requirements and therefore we have renewed the lease
for a further 12 months, to December 31, 2008, while we review our options
regarding a possible relocation. (See Note 7 in the Notes to Consolidated
Financial Statements, included elsewhere in this Form 10-KSB).
|
APPROXIMATE
SQUARE
|
|
|
|
||||
|
LOCATION
|
|
FOOTAGE
|
|
USE
|
|||
|
Norwood,
Massachusetts
|
36,000
|
Corporate
Headquarters
|
|||||
Our
U.K.
personnel work either at customer sites or from home offices which are equipped
with the necessary office infrastructure to conduct business, including
high-speed Internet access.
Item
3. Legal
Proceedings
During
the fourth quarter of 2006, a cash deposit made by Elcom International, Inc.
with a sales agent, Mr. Arshad A. Khan, of €1,000,000 (approximately $1,200,000)
in connection
with a potential bid for government contracts outside the United States was
completed without approval of the Board of Directors. The funds were due
to be
returned to us on or before the May 15, 2007. As of the date of this filing,
the
funds have not been returned. In light of this, we have written off the entire
balance as a bad debt (SG&A expense) as of December 31, 2006. On June 5,
2007, we initiated legal proceedings, (Elcom International, Inc. versus Mr.
Arshad A. Khan) against Mr. Khan personally in the United States District
Court
for the District of Massachusetts to recover this amount. There can be no
assurances that we will be successful in our actions against Mr.
Khan.
Item
4. Submission
of Matters to a Vote of Security Holders
No
matters were submitted to a vote of security holders during the fourth quarter
of the fiscal year covered by this report.
PART
II
Item
5. Market
for Common Equity and Related Stockholder Matters and Small Business Issuer
Purchases of Equity Securities
Price
Range of Common Stock
From
January 16, 2003 to May 17, 2007, our Common Stock was quoted on the
Over-the-Counter Bulletin Board (the “OTCBB”) under the symbol ELCO but on May
18, 2007 our stock was suspended from the OTCBB due to a delay in our filing
this annual report for the year ended December 31, 2006 with the SEC and
since
then our stock has been listed in the Pink Sheets under the symbol ELCO.
In
addition, since April 16, 2004, our Common Stock has traded on the AIM Exchange
under the symbols ELC and ELCS (designating the Regulation S Shares). As
of
December 20, 2007, there were approximately 424 stockholders of record of
our
Common Stock. The high and low closing sales prices reported by the OTCBB
for
each of the quarters in the two year period ended December 31, 2006 are set
forth in the table below. For the period from January 1, 2007 to May 17,
2007,
such the high and low closing sales prices reported on the OTCBB were $0.069
and
$0.07, respectively. For the period from May 18, 2007 to December 17, 2007,
the
high and low closing bid prices listed in the Pink Sheets were $0.07 and
$0.006,
respectively. The OTCBB market closing sales prices and Pink Sheet closing
bid
prices reflect inter-dealer prices, without retail mark-up, mark-downs, or
commissions and may not represent actual transactions.
|
|
|
2005
|
|||||||||||
|
Quarter
Ended
|
High
|
|
Low
|
|
High
|
|
Low
|
||||||
|
March
31
|
$
|
0.170
|
$
|
0.075
|
$
|
0.280
|
$
|
0.075
|
|||||
|
June
30
|
$
|
0.180
|
$
|
0.100
|
$
|
0.150
|
$
|
0.060
|
|||||
|
September
30
|
$
|
0.130
|
$
|
0.100
|
$
|
0.150
|
$
|
0.070
|
|||||
|
December
31
|
$
|
0.140
|
$
|
0.070
|
$
|
0.120
|
$
|
0.066
|
|||||
We
have
never declared or paid cash dividends on our Common Stock. We currently do
not
anticipate paying any dividends in the foreseeable future. Any payment of
future
dividends will be at the discretion of the Board of Directors and will depend
upon, among other things, our earnings, financial condition, capital
requirements, level of indebtedness, contractual restrictions with respect
to
the payment of dividends and other factors that our Board of Directors deems
relevant.
The
following table sets forth, for the equity compensation plan categories listed
below, information as of December 31, 2006:
Equity
Compensation Plan Information
|
Plan Category
|
(a)
Number of
securities to
be
issued
upon exercise
of
outstanding
options,
warrants and
rights
|
|||||