o |
Preliminary
Proxy Statement
|
o |
Confidential,
for Use of the Commission Only (as permitted by
Rule 14a-6(a)(2))
|
x |
Definitive
Proxy Statement
|
o |
Definitive
Additional Materials
|
o |
Soliciting
Material Pursuant to
§ 240.14a-12
|
x |
No
fee required
|
o |
Fee
computed on table below per Exchange Act Rules 14a-6(i)(1) and
0-11.
|
(1) |
Title
of each class of securities to which transaction
applies:
|
(2) |
Aggregate
number of securities to which transaction
applies:
|
(3) |
Per
unit price or other underlying value of transaction computed pursuant
to
Exchange Act Rule 0-11 (Set forth the amount on which the filing fee
is calculated and state how it was
determined):
|
(4) |
Proposed
maximum aggregate value of
transaction:
|
(5) |
Total
fee
paid:
|
¨
|
Fee
paid previously with preliminary
materials:
|
¨
|
Check
box if any part of the fee is offset as provided by Exchange Act
Rule 0-11(a)(2) and identify the filing for which the offsetting fee
was paid previously. Identify the previous filing by registration
statement number, or the Form or Schedule and the date of its
filing.
|
(1) |
Amount
Previously Paid:
|
(2) |
Form,
Schedule or Registration Statement No.:
|
(3) |
Filing
Party:
|
(4) |
Date
Filed:
|
|
Chairman
of the Board
|
1.
|
Election
of Directors.
To
elect three Class 1 directors to hold office until the annual meeting
of stockholders to be held in 2011, or until their respective successors
have been elected and qualified. The Board of Directors has nominated
Al
D. McCready, Eric S. Olberz and Frederick H. Schneider for election
as
Class 1 directors at the Meeting.
|
2.
|
Ratification
of Appointment of the Independent Registered Public Accounting
Firm.
To
ratify the appointment of Moss Adams LLP as the Company's independent
registered public accounting firm for the fiscal year ending March
29,
2009.
|
3.
|
Other
Business.
To transact such other business as properly may come before the Meeting
or
any adjournment or postponement
thereof.
|
SPORT
CHALET, INC.
|
Secretary
|
GENERAL
INFORMATION
|
1
|
|||
Matters
to be Considered
|
1
|
|||
Method
of Voting
|
2
|
|||
Revocation
of Proxy
|
2
|
|||
Voting
Rights
|
2
|
|||
Procedures
for Stockholder Nominations
|
4
|
|||
Cost
of Solicitation of Proxies
|
4
|
|||
Other
Business
|
4
|
|||
Security
Ownership of Principal Stockholders and Management
|
5
|
|||
PROPOSAL
1 - ELECTION OF DIRECTORS
|
7
|
|||
Directors
and Executive Officers
|
7
|
|||
Committees
of the Board
|
11
|
|||
Meetings
of the Board and Committees
|
11
|
|||
Nominating
Procedures and Criteria
|
12
|
|||
Communications
with Directors
|
12
|
|||
Compensation
of Directors
|
13
|
|||
Compensation
Committee Interlocks and Insider Participation
|
14
|
|||
Code
of Conduct
|
14
|
|||
Audit
Committee Report
|
14
|
|||
Certain
Relationships and Related Transactions
|
16
|
|||
Compliance
with Reporting Requirements of Section 16
|
17
|
|||
COMPENSATION
DISCUSSION AND ANALYSIS
|
18
|
|||
The
Compensation Committee
|
18
|
|||
Compensation
Philosophy
|
18
|
|||
Compensation
Committee Process
|
19
|
|||
Elements
of Executive Compensation
|
20
|
|||
How
and Why Executive Compensation Decisions Were Made
|
21
|
|||
Tax
and Accounting Implications
|
25
|
|||
Conclusion
|
25
|
|||
Compensation
Committee Report
|
26
|
|||
EXECUTIVE
COMPENSATION
|
27
|
|||
Summary
Compensation Table
|
27
|
|||
Grants
of Plan-Based Awards
|
28
|
|||
Narrative
to Summary Compensation Table and Grants of Plan-Based Awards
Table
|
29
|
|||
Outstanding
Equity Awards At Fiscal Year-End
|
33
|
|||
Option
Exercises and Stock Vested
|
34
|
|||
Pension
Benefits
|
34
|
|||
Nonqualified
Deferred Compensation
|
34
|
|||
Potential
Payments Upon Termination or Change in Control
|
34
|
|||
Equity
Compensation Plan Information
|
37
|
|||
PROPOSAL
2 - RATIFICATION OF APPOINTMENT OF THE INDEPENDENT
REGISTERED
|
||||
PUBLIC
ACCOUNTING FIRM
|
38
|
|||
INDEPENDENT
REGISTERED PUBLIC ACCOUNTING FIRM
|
38
|
|||
STOCKHOLDER
PROPOSALS FOR 2009 ANNUAL MEETING
|
39
|
|||
ANNUAL
REPORT ON FORM 10-K
|
39
|
1.
|
Election
of Directors.
To
elect three Class 1 directors to hold office until the annual meeting
of stockholders to be held in 2011, or until their respective successors
have been elected and qualified. The Board of Directors has nominated
Al
D. McCready, Eric S. Olberz and Frederick H. Schneider for election
as
Class 1 directors at the Meeting.
|
2.
|
Ratification
of Appointment of the Independent Registered Public Accounting
Firm.
To
ratify the appointment of Moss Adams LLP as the Company's independent
registered public accounting firm for the fiscal year ending March
29,
2009.
|
3.
|
Other
Business.
To transact such other business as properly may come before the Meeting
or
any adjournment or postponement
thereof.
|
Class A Common Stock
|
Class B Common Stock
|
% of Total
Voting Power (4)
|
||||||||||||||
Name and Address (1)
|
Shares (2)
|
% of Class (3)
|
Shares (2)
|
% of Class (3)
|
||||||||||||
Norbert
Olberz (5)
|
7,683,339
|
62.2
|
%
|
105,565
|
6.0
|
%
|
20.6
|
%
|
||||||||
John
R. Attwood (6)
|
42,250
|
*
|
5,750
|
*
|
*
|
|||||||||||
Donald
J. Howard
(7)
|
23,000
|
*
|
3,000
|
*
|
*
|
|||||||||||
Al
D. McCready (6)
|
37,000
|
*
|
5,000
|
*
|
*
|
|||||||||||
Eric
S. Olberz (8)
|
11,194
|
*
|
1,750
|
*
|
*
|
|||||||||||
Frederick
H. Schneider (6)
|
91,075
|
*
|
12,725
|
*
|
*
|
|||||||||||
Craig
L. Levra (9)
|
367,584
|
2.9
|
%
|
843,162
|
46.6
|
%
|
35.2
|
%
|
||||||||
Howard
K. Kaminsky (10)
|
226,682
|
1.8
|
%
|
296,321
|
16.6
|
%
|
12.8
|
%
|
||||||||
Dennis
D. Trausch (11)
|
298,180
|
2.4
|
%
|
37,050
|
2.1
|
%
|
2.2
|
%
|
||||||||
Tom
H. Tennyson (12)
|
—
|
*
|
—
|
*
|
*
|
|||||||||||
Tim
A. Anderson (13)
|
65,750
|
*
|
7,250
|
*
|
*
|
|||||||||||
Theodore
F. Jackson (14)
|
32,168
|
*
|
2,096
|
*
|
*
|
|||||||||||
Wedbush,
Inc. (15)
|
1,007,334
|
8.1
|
%
|
144,693
|
8.2
|
%
|
8.2
|
%
|
||||||||
Silver
Point Capital L.P. (16)
|
865,193
|
7.0
|
%
|
—
|
*
|
1.8
|
%
|
|||||||||
Dimensional
Fund Advisors L.P. (17)
|
705,254
|
5.7
|
%
|
—
|
*
|
1.5
|
%
|
|||||||||
Directors
and executive officers as a group (12 persons) (18)
|
8,878,222
|
67.2
|
%
|
1,319,669
|
70.5
|
%
|
69.7
|
%
|
*
|
Less
than 1%
|
(1)
|
The
address of each executive officer and director is in care of the
Company,
One Sport Chalet Drive, La Cañada, California 91011. The address of
Wedbush, Inc. is 1000 Wilshire Boulevard, Los Angeles, California
90017.
The address of Silver Point Capital L.P. is Two Greenwich Plaza,
1st
Floor, Greenwich, Connecticut 06830. The address of Dimensional Fund
Advisors L.P. is 1299 Ocean Avenue, Santa Monica, California
90401.
|
(2)
|
Except
as may be set forth below and subject to applicable community property
laws, each such person has the sole voting and investment power with
respect to the shares of Common Stock owned.
|
(3)
|
Based
on 12,359,990 shares of Class A Common Stock and 1,763,321 shares of
Class B Common Stock outstanding on the Record Date. Under Rule 13d-3
of the Securities Exchange Act of 1934, certain shares may be deemed
to be
beneficially owned by more than one person (if, for example, a person
shares the power to vote or the power to dispose of the shares).
In
addition, shares are deemed to be beneficially owned by a person
if the
person has the right to acquire the shares (for example, upon exercise
of
an option) within 60 days of the date as of which the information
is
provided. In computing the percentage ownership of any person, the
amount
of shares outstanding is deemed to include the amount of shares
beneficially owned by such person (and only such person) by reason
of
these acquisition rights. The amount of shares beneficially owned
by such
person by reason of these acquisition rights is not deemed outstanding
for
the purpose of calculating the percentage ownership of any other
person.
As a result, the percentage of outstanding shares of any person as
shown
in this table does not necessarily reflect the person's actual ownership
or voting power with respect to the number of shares of Common Stock
actually outstanding at the Record
Date.
|
(4)
|
Based
on 1/20th of one vote for each share of Class A Common Stock and one
vote for each share of Class B Common
|
(5)
|
Consists
of shares held by the Olberz Trust, a revocable grantor trust of
which Mr.
Olberz and his wife are co-trustees. 7,683,339 shares of Class A
Common
Stock and 105,565 shares of Class B Common Stock are pledged as collateral
for a loan used in conjunction with a real estate construction project.
|
(6)
|
Includes
14,250 shares of Class A Common Stock and 1,750 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008.
|
(7)
|
Includes
23,000 shares of Class A Common Stock and 3,000 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008.
|
(8)
|
Includes
5,500 shares of Class A Common Stock and 1,750 shares of Class B
Common Stock issuable upon the exercise of stock options which first
become exercisable on or before August 5, 2008.
|
(9)
|
Includes
367,500 shares of Class A Common Stock and 46,250 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008. 84 shares
of
Class A Common Stock and 796,912 shares of Class B Common Stock are
pledged as collateral for a loan used to pay Mr. Levra’s income taxes
resulting from the Recapitalization Plan.
|
(10)
|
Includes
144,750 shares of Class A Common Stock and 19,250 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008.
|
(11)
|
Includes
171,000 shares of Class A Common Stock and 23,000 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008. Excludes
38,000 shares of Class A Common Stock issuable upon the exercise of
stock options which first become exercisable after that
date.
|
(12)
|
Excludes
50,000 shares of Class A Common Stock issuable upon the exercise
of stock
options which first become exercisable after August 5,
2008.
|
(13)
|
Includes
65,750 shares of Class A Common Stock and 7,250 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008. Excludes
42,500 shares of Class A Common Stock issuable upon the exercise of
stock options which first become exercisable after that
date.
|
(14)
|
Includes
32,084 shares of Class A Common Stock and 2,084 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008. Excludes
38,000 shares of Class A Common Stock issuable upon the exercise of
stock options which first become exercisable after that
date.
|
(15)
|
Based
on information contained in Schedules 13G/A filed with the SEC on
February
15, 2008, by Wedbush, Inc., Edward W. Wedbush and Wedbush Morgan
Securities, Inc. as joint filers. Wedbush, Inc. is the parent company
of
Wedbush Morgan Securities, Inc. Edward W. Wedbush is the chairman
and
principal shareholder of Wedbush, Inc. and the President of Wedbush
Morgan
Securities, Inc. Wedbush, Inc. states that it has sole voting power
and
sole dispositive power over 648,912 shares of Class A Common Stock
and
96,716 shares of Class B Common Stock, shared voting power over 917,584
shares of Class A Common Stock and 131,067 shares of Class B Common
Stock
and shared dispositive power over 1,007,334 shares of Class A Common
Stock
and 144,693 shares of Class B Common Stock. Mr. Wedbush states he
has sole
voting power and sole dispositive power over 229,950 shares of Class
A
Common Stock and 32,850 shares of Class B Common Stock, shared voting
power over 917,584 shares of Class A Common Stock and 131,067 shares
of
Class B Common Stock and shared dispositive power over 1,007,334
shares of
Class A Common Stock and 144,693 shares of Class B Common Stock.
Wedbush
Morgan Securities, Inc. states it has sole voting power and sole
dispositive power over 38,722 shares of Class A Common Stock and
4,167
shares of Class B Common Stock, shared voting power over 917,584
shares of
Class A Common Stock and 131,067 shares of Class B Common Stock and
shared
dispositive power over 1,007,334 shares of Class A Common Stock and
144,693 shares of Class B Common Stock. Mr. Wedbush disclaims beneficial
ownership of the Class A Common Stock or the Class B Common Stock
held by
Wedbush, Inc. or Wedbush Morgan Securities,
Inc.
|
(16)
|
Based
on information contained in a Schedule 13G filed with the SEC on
February
14, 2008, by Silver Point Capital, L.P., Edward A. Mule and Robert
J.
O'Shea, as joint filers. Silver Point Capital, L.P. is the investment
manager of Silver Point Capital Fund, L.P. and Silver Point Capital
Offshore Fund, Ltd. Silver Point Capital Management, LLC is the general
partner of Silver Point Capital, L.P., and Messrs. Mule and O'Shea
are
members of Silver Point Capital Management, LLC. Silver Point Capital,
L.P. states that it has sole voting power and sole dispositive power
over
865,193 shares of Class A Common Stock. Messrs. Mule and O'Shea each
states that he has shared voting power and shared dispositive power
over
865,193 shares of Class A Common Stock. Silver Point Capital, L.P.,
Silver
Point Capital Management, LLC and Messrs. Mule and O'Shea each disclaims
beneficial ownership of the Class A Common Stock held by Silver Point
Capital Fund, L.P. or Silver Point Capital Offshore Fund,
Ltd.
|
(17)
|
Based
on information contained in a Schedule 13G/A filed with the SEC on
February 6, 2008 by Dimensional Fund Advisors L.P. as the investment
manager of certain investment companies, trusts and accounts. Dimensional
Fund Advisors L.P. disclaims beneficial ownership of the Class A
Common
Stock or the Class B Common Stock held by these investment companies,
trusts and accounts.
|
(18)
|
Includes
852,334 shares of Class A Common Stock and 107,834 shares of
Class B Common Stock issuable upon the exercise of stock options
which first become exercisable on or before August 5, 2008. Excludes
168,500 shares of Class A Common Stock issuable upon the exercise of
stock options which first become exercisable after that
date.
|
Name
|
Age
|
Class
|
Position
|
|||
Al
D. McCready *
|
61
|
1
|
Director
and a member of the Audit Committee since May 2001, Chairman of the
Corporate Governance and Nominating Committee since November 2003 and
a member of the Compensation Committee since June 2007. Mr. McCready
is the Chairman and Chief Executive Officer of McCready Manigold
Ray & Co., Inc., a consulting firm that serves retail and
distribution industry clients. Mr. McCready has specialized in
consulting with retail companies since 1978, focusing on corporate
strategy, information systems strategy, and technology planning.
Prior to
founding McCready Manigold Ray & Co., Inc. in 1991, Mr. McCready
was National Director of Retail and Distribution Industry Services
and a
Partner at the firm of Deloitte & Touche LLP. Mr. McCready
received a Masters Degree in Business Administration from the University
of Utah, and a Ph.D. in corporate governance from The George Washington
University in Washington, D.C.
|
|||
Eric
S. Olberz
|
45
|
1
|
Director
since 1992, a member of the Compensation Committee from 1992 until
May 2004 and a member of the Audit Committee from 1992 until
May 2001. Mr. Olberz is self-employed as a Certified Public
Accountant. He was employed as a staff accountant with BDO/Nation
Smith
Hermes Diamond-Accountants & Consultants from November 2000 to
July 2002. Mr. Olberz worked primarily with the firm's family
office group, providing wealth management services for high net worth
individuals. From July 1999 to November 2000, he was employed as
a staff auditor with Moreland & Associates. Mr. Olberz was
President and owner of Camp 7, Inc., a soft goods manufacturing operation
located in Santa Ana, California, from July 1995 to October 1996 and
Vice Chairman of the Company from October 1994 to July 1995, Vice
President from 1984 to October 1994 and Secretary from October 1992
to
July 1995. Mr. Olberz resigned as an officer and employee of the
Company concurrently with Camp 7, Inc.'s acquisition of the Company's
soft
goods manufacturing operations in July 1995. Mr. Olberz received
a Bachelors Degree with an emphasis in accounting from National University
and is a Certified Public Accountant. Mr. Olberz is the son of
Norbert Olberz, the Founder.
|
|||
Frederick
H. Schneider*
|
52
|
1
|
Director
and a member of the Audit Committee since May 2000, Chairman of the
Audit Committee since May 2004 and a member of the Corporate
Governance and Nominating Committee since November 2003.
Mr. Schneider currently is the Chief Financial Officer of Skechers
USA, Inc. (NYSE:SKX), a footwear manufacturer. Prior to joining Skechers
in January 2006, he served as a Senior Managing Director of Pasadena
Capital Partners LLP, a private equity investment firm. He served
as Chief
Financial Officer and Principal of Leonard Green & Partners,
L.P., a private equity investment firm, from September 1994 to
January 1998. From June 1978 to September 1994, he was
employed by KPMG Peat Marwick, including as an Audit and Due Diligence
Partner from June 1989 to September 1994. Mr. Schneider is
also a director and Chairman of the Audit Committee of Meade Instruments
Corp., a manufacturer and distributor of consumer optical
products.
|
|
Age
|
|
Class
|
|
Position
|
|
|
|
|
|
|
|
|
John
R. Attwood*
|
|
78
|
|
2
|
|
Director
and Chairman of the Compensation Committee since February 1993 and a
member of the Audit Committee from February 1993 until May 2001.
Mr. Attwood is the President of Attwood Enterprises, a consulting
business. He was the Chairman of Coca-Cola Bottling of Los Angeles
and a
Senior Vice President and a Group President of Beatrice Companies,
Inc.,
the parent company of Coca-Cola Bottling of Los Angeles, until
his
retirement in 1986. He received a Bachelors Degree in Business
Administration from California State University, Los
Angeles.
|
|
|
|
|
|
|
|
Craig
L. Levra
|
|
49
|
|
2
|
|
Chairman
of the Board since August 2001, director since November 1998,
President since November 1997, Chief Operating Officer from
November 1997 until August 1999 and Chief Executive Officer
since August 1999. Prior to joining the Company, Mr. Levra was
employed by The Sports Authority, then the nation's largest sporting
goods
retailer. During his five-year tenure with that company, he held
positions
of increasing responsibility in merchandising and operations and
was Vice
President of Store Operations at the time of his departure. Mr. Levra
received a Bachelors Degree and a Masters Degree in Business
Administration from the University of Kansas. Mr. Levra currently
serves
on the Board of Directors of Junior Achievement of Southern California,
the Board of Directors of the Southern California Committee for
the
Olympic Games, and the Board of Directors of the Los Angeles Sports
and
Entertainment Commission.
|
|
|
|
|
|
|
|
Donald
J. Howard*
|
|
62
|
|
3
|
|
Director
since June 2004 and member of the Compensation Committee since
June 2004, the Corporate Governance and Nominating Committee since
February 2005 and the Audit Committee since June 2007. Mr. Howard
currently is Executive Vice President and Chief Operating Officer
of Fritz
Duda Company, a diversified real estate investment and development
company. From 1998 until joining Fritz Duda Company, he was a Partner
and
Senior Vice President, Development of Marketplace Properties, a
shopping
center development company. He served as Senior Vice President,
Development of Donahue Schriber, a Southern California mall development
company, from 1997 until joining Marketplace Properties in 1998,
and as
Senior Vice President, Real Estate/Construction of The Vons Companies,
Inc., a leading grocery store chain, from 1994 to 1997. Mr. Howard
has
been employed in the development, construction and management of
retail
properties in Southern California since 1974. He received a Bachelors
Degree in Business Administration from the University of Southern
California.
|
Name
|
|
Age
|
Class
|
Position
|
||
|
|
|
|
|
|
|
Howard
K. Kaminsky
|
|
50
|
—
|
|
Chief
Financial Officer since joining the Company in 1985, Executive
Vice
President - Finance since May 2000 and Secretary since
July 1995. Mr. Kaminsky served as Vice President-Finance from
January to April 1997, Senior Vice President-Finance from
April 1997 to May 2000 and Treasurer from October 1992 to
January 1997. Prior to joining the Company, Mr. Kaminsky was
employed in the auditing division of Ernst & Young LLP where he became
a Certified Public Accountant. He received a Bachelors Degree in
Business
Administration from California State University, Northridge. Mr.
Kaminsky
is a member of Financial Executives International.
|
|
Dennis
D. Trausch
|
|
59
|
—
|
|
Executive
Vice President – Growth and Development since April 2002 and
Executive Vice President-Operations from June 1988 until
April 2002. Since joining the Company in 1976, Mr. Trausch has served
in various positions starting as a salesperson and assuming positions
of
increasing responsibility in store and Company
operations.
|
|
Tom
H. Tennyson
|
|
48
|
—
|
|
Executive
Vice President and Chief Merchandising Officer since joining the
Company
in April 2008. Mr. Tennyson has more than 25 years of experience
with
department and specialty retail stores. He served as Senior Vice
President
and General Merchandise Manager of Mervyns Department Stores from
January
2005 until joining the Company, and from June 2004 to January 2005
as Vice
President, Divisional Merchandise Manager of Galyan's Trading Company
which was acquired by Dick's Sporting Goods in June 2004. From
1999 to
2004, Mr. Tennyson held positions of increasing responsibility with
Kohl's Department Stores and was Vice President, Divisional Merchandise
Manager at the time of his departure. From 1984 to 1999, he held
various
management positions with the Department Store Division of Dayton-Hudson
Corporation. Mr. Tennyson received a Bachelors Degree in Retail
Merchandising from the University of Wisconsin-Stout.
|
|
Tim
A. Anderson
|
|
48
|
—
|
|
Senior
Vice President – Retail Operations since July 2007, Vice President –
Retail Operations from October 2003 to July 2007 and Director of
Store
Operations from April 2002 to October 2003. Mr. Anderson was employed
by Vans Incorporated, a national apparel and footwear retailer,
as
Director of Retail Operations from 1998 until joining the
Company.
|
|
Theodore
F. Jackson
|
|
52
|
—
|
|
Vice
President – Information Systems since February 2006, Director of
Information Systems from May 1999 to February 2006 and Chief Information
Officer since joining the Company in May 1999. Mr. Jackson’s retail
experience includes over 34 years of operations, merchandising,
and IT
positions for multiple retailers including Safeway Stores, Inc.,
Junior's
Tools, and Fred Meyer Stores. In addition, Mr. Jackson was a consultant
in
the retail practice at KPMG Peat Marwick. He received a Bachelors
Degree
in Business Administration from University of Maryland College
Park,
Maryland.
|
Name
|
Fees
Earned or
Paid
in
Cash ($)
|
Stock
Awards ($)
|
Option
Awards
($)(1)
|
Non-Equity
Incentive Plan
Compensation ($) |
Changes in Pension
Value and Nonqualified Deferred
Compensation
Earnings ($)
|
All Other
Compensation ($)
|
Total ($)
|
|||||||||||||||
(a)
|
(b)
|
(c)
|
(d)
|
(e)
|
(f)
|
(g)
|
(h)
|
|||||||||||||||
Al D. McCready
|
45,000
|
—
|
9,120
|
—
|
—
|
—
|
54,120
|
|||||||||||||||
Eric
S. Olberz
|
31,000
|
—
|
9,120
|
—
|
—
|
—
|
40,120
|
|||||||||||||||
Frederick
H. Schneider
|
47,000
|
—
|
9,120
|
—
|
—
|
—
|
56,120
|
|||||||||||||||
John
R. Attwood
|
46,000
|
—
|
9,120
|
—
|
—
|
—
|
55,120
|
|||||||||||||||
Donald
J. Howard
|
46,000
|
—
|
17,054
|
—
|
—
|
—
|
63,054
|
(1)
|
The
value of the equity awards in column (c) and (d) is the dollar amount
recognized for financial statement reporting purposes for the fiscal
year
ended March 30, 2008, in accordance with the Financial Accounting
Standards Board Statement of Financial Accounting Standards No. 123
(revised 2004), “Share-Based Payment” (“SFAS 123(R)”), without regard to
the estimate of forfeitures related to service-based vesting conditions.
See Note 2 to the Company's audited financial statements for the
fiscal
year ended March 30, 2008, included in the Company's Annual Report
on Form
10-K filed with the Securities and Exchange Commission on June 24,
2008,
for a discussion of the relevant assumptions used in calculating
grant
date fair value pursuant to SFAS
123(R).
|
·
|
Reviewed
and discussed with management the audited financial statements contained
in the Company's Annual Report on Form 10-K for fiscal 2008;
and
|
·
|
Obtained
from management their representation that the Company's financial
statements have been prepared in accordance with accounting principles
generally accepted in the United
States.
|
·
|
Discussed
with the independent registered public accounting firm the matters
required to be discussed by Statement on Auditing Standards No. 61,
as amended ("Communication with Audit Committees");
|
·
|
Reviewed
and discussed with the independent registered public accounting firm
the
written disclosures and the letter from the independent registered
public
accounting firm required by Independent Standards Board Standard
No. 1
("Independence Discussions with Audit Committees"); and
|
·
|
Reviewed
and discussed with the independent registered public accounting firm
whether the rendering of the non-audit services provided by them
to the
Company during fiscal 2008 was compatible with their
independence.
|
Dated:
June 10, 2008
|
THE
AUDIT COMMITTEE
|
Donald
J. Howard
|
|
Al
D. McCready
|
|
Frederick
H. Schneider
|
·
|
the
Audit Committee shall review any proposed agreement or arrangement
relating to a related person transaction or series of related person
transactions, and any proposed amendment to any such agreement or
arrangement;
|
·
|
the
Audit Committee shall establish standards for determining whether
the
transactions covered by such proposed agreement or arrangement, are
on
terms no less favorable to the Company than could be obtained from
an
unrelated third party (“fair to the
Company”);
|
·
|
before
the Company enters into any such proposed agreement or arrangement,
and at
least annually thereafter, the Company's accounting department shall
report to the Audit Committee whether the transactions covered by
such
agreement or arrangement are fair to the Company under the standards
established by the Audit Committee;
|
·
|
the
Audit Committee shall not pre-approve, and shall make all reasonable
efforts (taking into account the cost thereof to the Company) to
cancel or
cause to be renegotiated, any such agreement or arrangement which
is not
so determined to be fair to the Company;
and
|
·
|
the
Company will disclose any related person transactions required to
be
disclosed by the rules promulgated by the SEC, in the manner so
required.
|
·
|
review
and approve corporate goals and objectives relevant to compensation
of the
executive officers;
|
· |
evaluate
the performance of the executive officers in light of those goals
and
objectives;
|
· |
determine
and approve the compensation level of the executive officers based
on this
evaluation; and
|
·
|
make
recommendations to the Board with respect to incentive compensation
plans
and equity-based plans.
|
·
|
the
total compensation of executives should be competitive (i.e., at
approximately the 50th
percentile) with the salaries paid to executives with comparable
duties by
other companies in the Company's industry that are of similar size
and
performance;
|
·
|
the
base salaries of executives generally should not exceed the median
base
salaries paid to executives with comparable duties by other companies
in
the Company's industry that are of similar size and
performance;
|
·
|
bonus
programs and equity incentive plans should motivate the executive
to
achieve specific strategic and performance objectives established
by the
Board;
|
·
|
upon
the achievement of such objectives, bonuses and equity incentive
awards
should be adequate to compensate for base salaries which generally
are
below the median base salaries; and
|
·
|
bonuses
and long-term equity incentive awards should serve to align the
executive's interests with those of the Company's
stockholders.
|
Foot
Locker
|
Pacific
Sunwear
|
Big
5 Sporting Goods*
|
Big
Dog Holdings*
|
Dick's
Sporting Goods
|
Columbia
Sportswear
|
Hibbett
Sports*
|
Zumiez*
|
Cabela's
|
Finish
Line
|
Citi
Trends*
|
|
Genesco
|
Gander
Mountain*
|
Golfsmith
International*
|
·
|
cash
compensation of the Company's CEO was 4% greater than the median
cash
compensation paid by the Comparable Companies, and 10% less than
the
median cash compensation paid by the Peer
Group;
|
·
|
cash
compensation of the Company's four most highly paid executives (other
than
the CEO) ranged from 25% to 48% less than the median cash compensation
paid by the Comparable Companies;
|
·
|
cash
compensation of the Company's four most highly paid executives (other
than
the CEO) ranged from 37% to 57% less than the median cash compensation
paid by the Peer Group;
|
·
|
total
compensation of the Company's CEO was 10% less than the median total
compensation paid by the Comparable Companies, and 38% less than
the
median total compensation paid by the Peer
Group;
|
·
|
total
compensation of the Company's four most highly paid executives (other
than
the CEO) ranged from 31% to 53% less than the median total compensation
paid by the Comparable Companies;
and
|
·
|
total
compensation of the Company's four most highly paid executives (other
than
the CEO) ranged from 55% to 69% less than the median total compensation
paid by the Peer Group.
|
Name
|
Title
|
Year
|
Base
Salaries (%) |
Bonus (%)
|
Equity
Awards
(%)(1)
|
All Other
Compensation (%)
|
|||||||||||||
Craig L. Levra
|
Chairman
of the Board, President and Chief Executive Officer
|
2008
2007
|
90
57
|
—
37
|
—
—
|
10
6
|
|||||||||||||
Howard
K. Kaminsky
|
Executive
Vice President – Finance, Chief Financial Officer and Secretary
|
2008
2007
|
88
88
|
—
—
|
—
—
|
12
12
|
|||||||||||||
Dennis
D. Trausch
|
Executive
Vice President – Growth and Development
|
2008
2007
|
76
77
|
—
—
|
1
—
|
23
23
|
|||||||||||||
Tim
A. Anderson
|
Senior
Vice President – Retail Operations
|
2008
2007
|
86
88
|
—
—
|
2
—
|
12
12
|
|||||||||||||
Theodore
F. Jackson
|
Vice
President, Information Technology and Chief Information
Officer
|
2008
2007
|
92
93
|
—
—
|
1
—
|
7
7
|
(1)
|
The
value of the equity awards is the dollar amount recognized for financial
statement reporting purposes for fiscal 2007 and 2008 in accordance
with
the Financial Accounting Standards Board Statement of Financial Accounting
Standards No. 123 (revised 2004), “Share-Based Payment” (“SFAS 123(R)”),
without regard to the estimate of forfeitures related to service-based
vesting conditions. See Note 2 to the Company's audited financial
statements for the fiscal year ended March 30, 2008, included in
the
Company's Annual Report on Form 10-K filed with the Securities and
Exchange Commission on June 24, 2008, for a discussion of the relevant
assumptions used in calculating grant date fair value pursuant to
SFAS
123(R).
|
Name
|
Fiscal 2007
Salary
|
Fiscal 2008
Salary
|
Percent Change
FY '07/FY '08 |
Fiscal 2009
Salary
|
Percent Change
FY '08/FY '09
|
|||||||||||
Craig L. Levra
|
$
|
380,000
|
$
|
380,000
|
—
|
$
|
380,000
|
—
|
||||||||
Howard
K. Kaminsky
|
228,000
|
228,000
|
—
|
228,000
|
—
|
|||||||||||
Dennis
D. Trausch
|
180,000
|
185,400
|
3.0
|
%
|
185,400
|
—
|
||||||||||
Tim
A. Anderson
|
170,000
|
180,000
|
5.9
|
180,000
|
—
|
|||||||||||
Theodore
F. Jackson
|
165,375
|
170,336
|
3.0
|
170,336
|
—
|
·
|
the
$3.4 million net loss experienced by the Company in fiscal 2008 compared
to the $7.1 million in net income in 2007;
|
·
|
the
results of the Survey;
|
·
|
the
4.0% average increase in the base salaries of the Named Executive
Officers
(other than Messrs. Levra and Kaminsky) in fiscal 2008 compared to
2007;
and
|
·
|
the
grant of equity incentive awards in fiscal 2008 and 2009 as described
below.
|
·
|
the
13% increase in the Company's net sales in fiscal 2007 compared to
2006
and the 9% decrease in the Company's net income (determined without
the
expense of the recapitalization plan);
and
|
·
|
the
8.2% average increase in the base salaries of the Named Executive
Officers
in fiscal 2007 compared to 2006.
|
·
|
such
bonus represented a 28% decrease in the bonus received by Mr. Levra
for
2006;
|
·
|
Mr.
Levra's contribution to the opening of five new stores in fiscal
2007, the
highest number opened in one year by the Company, and to securing
leases
for an additional seven stores to open in 2008;
and
|
·
|
Mr.
Levra's contribution to the continuing improvement in the Company's
infrastructure.
|
Fiscal Year
|
Minimum
Pretax Profit Objective
|
Actual Pretax Profit
|
Average Executive
Bonus as a Percent of
Base Salary
|
|||||||
2008
|
$
|
8,100,000
|
$
|
(5,586,000
|
)
|
0
|
%
|
|||
2007
|
10,044,000
|
11,729,000
|
26
|
%
|
||||||
2006
|
12,529,000
|
12,959,000*
|
64
|
%
|
*
|
Computed
without regard to the effect of the recapitalization plan on selling,
general and administrative expenses totaling $8.7
million.
|
·
|
the
13% increase in the Company's net sales in fiscal 2007 compared to
2006
and the 9% decrease in the Company's net income (determined without
the
expense of the recapitalization plan);
and
|
·
|
the
amount by which the cash compensation and the total compensation
of each
Named Executive Officer was below the median cash compensation and
total
compensation paid to officers by the Company's competitors as evidenced
by
a 2005 independent compensation survey.
|
·
|
the
number of shares issuable pursuant to, the vesting of and the decline
in
the value of the share-based compensation granted to each Named Executive
Officers in prior fiscal years;
|
·
|
the
amount by which the cash compensation and the total compensation
of each
Named Executive Officer was below the median cash compensation and
total
compensation paid to officers by companies in the Peer Group and
by the
Comparable Companies;
|
·
|
the
increased competition being experienced by the Company in attracting
and
retaining key employees, including the Named Executive
Officers;
|
·
|
the
opening of seven new stores, the most the Company has ever opened
in one
year; and
|
·
|
the
efforts required to implement new computer
systems.
|
Dated:
June 10, 2008
|
THE
COMPENSATION COMMITTEE
|
John
R. Attwood, Chairman
|
|
Donald
J. Howard
|
|
Al
D. McCready
|
Name
and Principal Position
|
Year
|
Salary ($)
|
Bonus ($)
|
Stock
Awards
($)(1)
|
Option
Awards
($)(1)
|
Non-Equity
Incentive Plan
Compensation
($)(2)
|
Change in Pension
Value and
Nonqualified
Deferred
Compensation
Earnings ($)
|
All Other
Compensation
($)(3)
|
Total ($)
|
|||||||||||||||||||
(a)
|
(b)
|
(c)
|
(d)
|
(e)
|
(f)
|
(g)
|
(h)
|
(i)
|
(j)
|
|||||||||||||||||||
Craig
L. Levra
Chairman
of the Board, President and Chief Executive Officer
|
2008
2007
|
380,000
380,000
|
—
—
|
—
—
|
—
—
|
—
250,000
|
—
—
|
44,023
40,491
|
424,023
670,491
|
|||||||||||||||||||
Howard
K. Kaminsky
Executive
Vice President – Finance, Chief Financial Officer and
Secretary
|
2008
2007
|
228,000
226,310
|
—
—
|
—
—
|
—
2,343
|
—
—
|
—
—
|
30,967
31,163
|
258,967
257,473
|
|||||||||||||||||||
Dennis
D. Trausch
Executive
Vice President – Growth and Development
|
2008
2007
|
184,000
177,740
|
—
—
|
—
—
|
2,308
—
|
—
—
|
—
—
|
56,259
53,259
|
242,567
230,999
|
|||||||||||||||||||
Tim
A. Anderson
Senior
Vice President – Retail Operations
|
2008
2007
|
177,300
166,790
|
—
—
|
—
—
|
3,831
—
|
—
—
|
—
—
|
24,592
22,312
|
205,723
189,102
|
|||||||||||||||||||
Theodore
F. Jackson
Vice
President–Information Systems and Chief Information
Officer
|
2008
2007
|
169,000
163,255
|
—
—
|
—
—
|
2,308
—
|
—
—
|
—
—
|
12,656
13,050
|
183,964
176,305
|
(1)
|
The
value of the equity awards
in
column (e) and (f) is the dollar amount recognized for financial
statement
reporting purposes for fiscal 2007 and 2008. In accordance with SFAS
123(R), stock option amounts are determined using the Black-Scholes
option
valuation model. This model was developed to estimate the fair value
of
traded options, which have different characteristics than employee
stock
options, and changes to the subjective assumptions used in the model
can
result in materially different fair value estimates. See Note 2 to
the
Company's audited financial statements for the fiscal year ended
March 30, 2008, included in the Company's Annual Report on
Form 10-K filed with the SEC on June 24, 2008, for a discussion
of the relevant assumptions used in calculating grant date fair value
pursuant to SFAS 123(R). In fiscal 2006, the Company accelerated
the
vesting of all outstanding options.
|
(2)
|
Bonuses
earned in fiscal 2007 based on the achievement of the targets established
by the Board in June 2006 are shown in column (g).
|
(3)
|
Certain
of the Company's executive officers receive personal benefits in
addition
to salary and cash bonuses, consisting of automobile allowances,
reimbursement of personal tax and financial advisory services, matching
contributions under the Company's retirement plan, group health insurance,
group life insurance and executive health care. The amount shown
in column
(i) for "All Other Compensation" consists of the following:
|
|
Year
|
Craig
L.
Levra
($)
|
Howard
K.
Kaminsky ($)
|
Dennis
D.
Trausch ($)
|
Tim
A.
Anderson ($)
|
Theodore F.
Jackson ($)
|
|||||||||||||
Automobile
allowance
|
2008
2007
|
18,000
18,000
|
10,800
10,800
|
10,800
10,800
|
15,400
15,400
|
5,000
5,000
|
|||||||||||||
Tax
and financial advisory services
|
2008
2007
|
2,000
2,000
|
750
750
|
750
750
|
750
750
|
—
—
|
|||||||||||||
Matching
contributions to retirement plan
|
2008
2007
|
2,583
2,626
|
2,396
3,015
|
—
686
|
—
—
|
931
1,691
|
|||||||||||||
Group
health and life insurance
|
2008
2007
|
15,024
15,024
|
15,024
15,024
|
10,517
10,517
|
5,008
5,008
|
4,380
4,380
|
|||||||||||||
Executive
health care
|
2008
2007
|
6,416
2,841
|
1,997
1,574
|
34,462
30,506
|
3,434
1,154
|
2,345
1,979
|
|||||||||||||
Total
|
2008
2007
|
44,023
40,491
|
30,967
31,163
|
56,529
53,259
|
24,592
22,312
|
12,656
13,050
|
Estimated Future Payouts
Under Non-Equity
Incentive Plan Awards
|
Estimated Future Payouts
Under Equity
Incentive Plan Awards
|
All
Other Stock Awards: Number of Shares of
Stock or
Units (#)
|
All
Other Option Awards: Number of Securities Underlying
Options (#)
|
Exercise
or Base Price of Option Awards
($/Share)
|
Grant Date
Fair Value
of Stock and
Option Awards(2)
|
|||||||||||||||||||||||||||||
Name
|
Grant
Date
|
Thres-
hold ($)
|
Target
($)(1)
|
Maximum ($)
|
Thres-
hold (#)
|
Target (#)
|
Maximum (#)
|
|||||||||||||||||||||||||||
(a)
|
(b)
|
(c)
|
(d)
|
(e)
|
(f)
|
(g)
|
(h)
|
(i)
|
(j)
|
(k)
|
(l)
|
|||||||||||||||||||||||
Craig
L. Levra
|
6/4/07
|
—
|
399,000
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||||||
Howard
K. Kaminsky
|
6/4/07
|
—
|
148,200
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||||||
Dennis
D. Trausch
|
6/4/07
|
—
|
98,262
|
—
|
—
|
—
|
—
|
—
|
3,000
|
10.28
|
2,308
|
|||||||||||||||||||||||
Tim
A. Anderson
|
6/4/07
|
—
|
95,400
|
—
|
—
|
—
|
—
|
—
|
5,000
|
10.28
|
3,831
|
|||||||||||||||||||||||
Theodore
F. Jackson
|
6/4/07
|
—
|
90,365
|
—
|
—
|
—
|
—
|
—
|
3,000
|
10.28
|
2,308
|
(1)
|
Under
the Company's executive bonus plan, certain executive officers may
earn a
bonus equal to a percentage of their annual base salaries. Generally,
if
the Company achieves 90% or more of the performance criteria set
by the
Committee at the beginning of the fiscal year, then the executives
receive
50% of the full annual bonus plus 5% for each full percentage point
above
90% achieved, up to 100%. However, even if the performance criteria
are
achieved, the Compensation Committee may exercise negative discretion
and
determine not to award any bonuses. The amount in column (d) is the
amount
payable if the Company had achieved 100% of the performance criteria
for
fiscal 2008 established by the Compensation Committee. In fiscal
2008, the
Company did not achieve 90% of the performance criteria, and no bonuses
were paid to any of the Named Executive Officers. See "How and Why
Compensation Decisions Were Made – Bonuses."
|
(2)
|
In
accordance with SFAS 123(R), stock option amounts are determined
using the
Black-Scholes option valuation model. This model was developed to
estimate
the fair value of traded options, which have different characteristics
than employee stock options, and changes to the subjective assumptions
used in the model can result in materially different fair value estimates.
See Note 2 to the Company's audited financial statements for the
fiscal
year ended March 30, 2008, included in the Company's Annual Report on
Form 10-K filed with the SEC on June 24, 2008, for a discussion
of the relevant assumptions used in calculating grant date fair value
pursuant to SFAS 123(R). The
value of the equity awards
in
column (l) is the dollar amount recognized for financial statement
reporting purposes for fiscal 2008 under SFAS 123(R) for equity awards
granted in fiscal 2008.
|
Option
Awards
|
Stock
Awards
|
|||||||||||||||||||||||||||
Name
|
Number of
Securities
Underlying
Unexercised
Options
Exercisable(#)
|
Number of
Securities
Underlying
Unexercised
Options
Unexercisable(#)(1)
|
Equity
Incentive
Plan
Awards:
Number of
Securities
Underlying
Unexercised
Unearned
Options (#)
|
Option
Exercise
Price ($)
|
Option
Expiration
Date
|
Number of
Shares or
Units of
Stock That
Have Not
Vested (#)
|
Market
Value of
Shares or
Units of
Stock That
Have Not
Vested ($)
|
Equity
Inventive Plan
Awards:
Number of
Unearned
Shares, Units
or Other
Rights That
Have Not
Vested (#)
|
Equity
Incentive Plan
Awards:
Market or
Payout Value
of Unearned
Shares, Units
or Other
Rights That
Have Not
Vested ($)
|
|||||||||||||||||||
(a)
|
(b)
|
(c)
|
(d)
|
(e)
|
(f)
|
(g)
|
(h)
|
(i)
|
(j)
|
|||||||||||||||||||
Craig
L. Levra
|
143,750
90,000
80,000
100,000
|
—
—
—
—
|
—
—
—
—
|
2.22
2.38
4.30
7.49
|
4/15/09
5/11/10
5/11/11
3/31/16
|
—
—
—
—
|
—
—
—
—
|
—
—
—
—
|
—
—
—
—
|
|||||||||||||||||||
Howard
K. Kaminsky
|
40,000
60,000
46,000
8,000
10,000
|
—
—
—
—
—
|
—
—
—
—
—
|
2.22
2.38
4.30
3.62
7.49
|
4/15/09
5/11/10
5/11/11
9/29/13
3/31/16
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
|||||||||||||||||||
Dennis
D. Trausch
|
40,000
40,000
46,000
8,000
25,000
25,000
10,000
—
|
—
—
—
—
—
—
—
3,000
|
—
—
—
—
—
—
—
—
|
2.22
2.38
4.30
3.64
6.35
8.15
7.49
10.28
|
4/15/09
5/11/10
5/11/11
9/25/13
8/26/14
6/28/15
3/31/16
7/02/17
|
—
—
—
—
—
—
—
—
|
—
—
—
—
—
—
—
—
|
—
—
—
—
—
—
—
—
|
—
—
—
—
—
—
—
—
|
|||||||||||||||||||
Tim
A. Anderson
|
8,000
25,000
25,000
15,000
—
|
—
—
—
—
5,000
|
—
—
—
—
—
|
3.62
6.35
8.15
7.49
10.28
|
9/29/13
8/26/14
6/28/15
3/31/16
7/02/17
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
|||||||||||||||||||
Theodore
F. Jackson
|
6,668
10,000
7,500
10,000
—
|
—
—
—
—
3,000
|
—
—
—
—
—
|
6.35
8.15
7.30
7.49
10.28
|
8/26/14
6/28/15
2/07/16
3/31/16
7/02/17
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
—
—
—
—
—
|
(1)
|
Such
options first become exercisable in five equal annual installments
on each
of the first five anniversaries of the date of grant. Does not include
an
aggregate of 107,500 additional shares that may be issued upon the
exercise by the Named Executive Officers of options granted to date
in
fiscal 2009. See "How and Why Executive Compensation Decisions Were
Made -
Equity
Awards."
|
Option Awards
|
Stock
Awards
|
||||||||||||
Name
|
Number of Shares
Acquired on Exercise (#)
|
Value Realized
on Exercise ($)(1)
|
Number of Shares
Acquired on Vesting |
Value Realized
on Vesting ($)(1)
|
|||||||||
Craig
L. Levra
|
86,250
|
652,788
|
—
|
—
|
|||||||||
Howard
K. Kaminsky
|
12,500
|
52,875
|
—
|
—
|
|||||||||
Dennis
D. Trausch
|
—
|
—
|
—
|
—
|
|||||||||
Tim
A. Anderson
|
—
|
—
|
—
|
—
|
|||||||||
Theodore
F. Jackson
|
—
|
—
|
—
|
—
|
|
(1)
|
Value
realized on exercise (or vesting) is calculated by (i) multiplying
the number of shares acquired on exercise (or vesting) by (ii) the
difference between the closing price on the exercise (or vesting)
date and
the exercise price, and does not reflect an actual sales price. The
actual
value realized depends upon the number of shares actually sold by
the
Named Executive Officer, if any.
|
· |
any
merger or consolidation in which the Company is not the surviving
entity
(or survives only as a subsidiary of another entity whose stockholders
did
not own all or substantially all of the Common Stock in substantially
the
same proportions as immediately before the
transaction);
|
· |
the
sale of all or substantially all of the Company's
assets;
|
· |
the
acquisition of beneficial ownership of a controlling interest of
the
outstanding shares of Common Stock of the Company by any
person;
|
· |
the
dissolution or liquidation of the
Company;
|
· |
a
contested election of directors which result in the directors before
such
election or their nominees ceasing to constitute a majority of the
Board;
or
|
· |
any
other event specified by the Board, regardless of whether at the
time an
award is granted or thereafter.
|
Name
|
Voluntary
Termination
($)(1)
|
Termination
With Cause
($)(1)
|
Termination
Without
Cause ($)(1)
|
Change in
Control
($)(1)
|
Termination
for Good
Reason
($)(1)
|
Death
($)(1)(2)
|
Disability
($)(1)(3)
|
|||||||||||||||
Craig
L. Levra
|
—
|
—
|
760,000
|
—
|
760,000
|
15,000
|
120,000
|
|||||||||||||||
Howard
K. Kaminsky
|
—
|
—
|
228,000
|
—
|
228,000
|
15,000
|
120,000
|
|||||||||||||||
Dennis
D. Trausch
|
—
|
—
|
92,700
|
—
|
92,700
|
15,000
|
111,240
|
|||||||||||||||
Tim
A. Anderson
|
—
|
—
|
—
|
—
|
—
|
15,000
|
108,000
|
|||||||||||||||
Theodore
F. Jackson
|
—
|
—
|
—
|
—
|
—
|
15,000
|
102,200
|
(1)
|
Excludes
the value of vested stock options as of March 30, 2008, calculated
by
multiplying the number of shares underlying vested options by the
difference between the exercise price and the closing price of the
Company’s Common Stock on March 30, 2008. The value of vested stock
options as of March 30, 2008 is as follows: Mr. Levra $758,000 (313,750
shares); Mr. Kaminsky $345,000 (154,000 shares); Mr. Trausch $288,000
(134,000 shares); Mr. Anderson $13,000 (8,000 shares); and Mr. Jackson
has
no vested stock options with the market price in excess of the exercise
price.
|
(2)
|
Represents
the amount due from Company purchased life
insurance.
|
(3)
|
The
Company maintains long-term disability insurance which pays 60% of
salary
limited to $120,000 annually.
|
Plan
Category
|
Number of Securities to be
Issued Upon Exercise of
Outstanding Options,
Warrants and Rights
|
Weighted-Average
Exercise Price of
Outstanding Options,
Warrants and Rights
|
Number of Securities Remaining
Available for Future Issuance Under
Equity Compensation Plans
(Excluding Securities
Reflected in Column (a))
|
|||||||
(a)
|
(b)
|
(c)
|
||||||||
Plans
Approved by Stockholders
Class
A
|
1,295,011
|
(1)
|
$
|
5.41
|
1,529,021
|
(2)
|
||||
Class
B
|
137,044
|
$
|
4.05
|
1,529,021
|
(2)
|
|||||
Plans
Not Approved by Stockholders
|
—
|
—
|
—
|
(1) |
At
June 6, 2008, there were 1,522,511 shares of Class A Common Stock
issuable
upon the exercise of outstanding options. The change from March 30,
2008
is due to subsequent grants of options to purchase up to 227,500
shares of
the Company's Class A Common Stock and the absence of any forfeitures.
|
(2) |
At
June 6, 2008, there were 1,301,521 shares of common stock available
for
issuance, which shares may be either Class A Common Stock or Class
B
Common Stock. The change from March 30, 2008 is due to subsequent
grants
of options to purchase up to 227,500 shares of the Company's Class
A
Common Stock and the absence of any forfeitures.
|
SPORT
CHALET, INC.
|
Howard K.
Kaminsky,
|
Secretary
|
Internet
www.proxyvoting.com/SPCH
Use
the Internet to vote your proxy.
Have
your proxy card in hand
when
you access the web site.
|
O
R
|
Telephone
1-888-426-7035
Use
any touch-tone telephone to vote your proxy.
Have
your proxy card in hand when you call.
|
O
R
|
Mail
Mark,
sign and date your proxy card and return it in the enclosed postage-paid
envelope
|
1.
|
ELECTION
OF DIRECTORS
|
2.
|
RATIFICATION
OF APPOINTMENT OF THE INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM
|
3.
|
OTHER
BUSINESS
|
Signature(s)
of Stockholder(s)
|
(See
Instructions Below)
|