UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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SCHEDULE 13G
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. __)*
SSP Solutions, Inc.
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(Name of Issuer)
Common Stock, par value $0.01 per share
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(Title of Class of Securities)
784723108
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(CUSIP Number)
June 18, 2004
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(Date of Event Which Requires Filing of this Statement)
Check the appropriate box to designate the rule pursuant to which this Schedule
is filed:
[ ] Rule 13d-1(b)
[X] Rule 13d-1(c)
[ ] Rule 13d-1(d)
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter the
disclosures provided in a prior cover page.
The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
CUSIP No. 784723108 13G Page 2 of 5 Pages
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1 NAME OF REPORTING PERSONS./I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
(Entities Only).
Mr. Steven Derby
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(See Instructions)
(b) [ ]
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3 SEC USE ONLY
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4 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
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5. SOLE VOTING POWER 0
NUMBER OF
SHARES ----------------------------------------------------------------
BENEFICIALLY 6. SHARED VOTING POWER 2,498,769(1)
OWNED BY
EACH ----------------------------------------------------------------
REPORTING 7. SOLE DISPOSITIVE POWER 0
PERSON
WITH ----------------------------------------------------------------
8. SHARED DISPOSITIVE POWER 2,498,769
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9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,498,769
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10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
(See Instructions)
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11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
5.4%
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12 TYPE OF REPORTING PERSON*
IN
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(1) Mr. Steven Derby shares dispositive power of 2,003,607 shares of Common
Stock of the Issuer in his capacity as the sole managing member of SDS
Management, LLC, the investment manager of SDS Capital Group SPC, Ltd. Mr.
Steven Derby shares dispositive power of 495,162 shares of Common Stock of the
Issuer in his capacity as a managing member of Baystar Capital Management, LLC,
the general partner of Baystar Capital II, L.P.
CUSIP No. 784723108 13G Page 3 of 5 Pages
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ITEM 1.
(a) Name of Issuer:
SSP Solutions, Inc.
(b) Address of Issuer's Principal Executive Offices:
17861 Cartwright Road
Irvine, California 92614
ITEM 2. (a) Name of Person Filing:
(b) Address of Principal Business Office or, if None, Residence:
(c) Citizenship:
Mr. Steven Derby
53 Forest Avenue, 2nd Floor
Old Greenwich, CT 06870
United States citizen
(d) Title of Class of Securities:
Common Stock, par value $0.01 per share
(e) CUSIP Number:
784723108
ITEM 3. IF THIS STATEMENT IS FILED PURSUANT TO ss.ss.240.13d-1(b) OR
240.13d-2(b) or (c), CHECK WHETHER THE PERSON FILING IS A:
Not Applicable
ITEM 4. OWNERSHIP.
The following is information regarding the aggregate number
and percentage of the class of securities of the issuer identified in
Item 1 as of June 18, 2004:
(a) Amount beneficially owned: 2,498,769 shares of Common Stock (1)
(b) Percent of Class: 5.4%
(c) Number of shares as to which such person has:
(i) sole power to vote or direct the vote: 0
(ii) shared power to vote or direct the vote: 2,498,769
(iii) sole power to dispose or direct the disposition of: 0
CUSIP No. 784723108 13G Page 4 of 5 Pages
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(iv) shared power to dispose or direct the disposition of:
2,498,769
(1) Mr. Steven Derby shares dispositive power of 2,003,607 shares of
Common Stock of the Issuer in his capacity as the sole managing
member of SDS Management, LLC, the investment manager of SDS
Capital Group SPC, Ltd. Mr. Steven Derby shares dispositive power
of 495,162 shares of Common Stock of the Issuer in his capacity
as a managing member of Baystar Capital Management, LLC, the
general partner of Baystar Capital II, L.P.
ITEM 5. OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS
If this statement is being filed to report the fact that as of the
date hereof the reporting person has ceased to be the beneficial owner
of more than five percent of the class of securities, check the
following [ ].
ITEM 6. OWNERSHIP OF MORE THAN FIVE PERCENT ON BEHALF OF ANOTHER PERSON.
Not Applicable
ITEM 7. IDENTIFICATION AND CLASSIFICATION OF THE SUBSIDIARY WHICH ACQUIRED THE
SECURITY BEING REPORTED ON BY THE PARENT HOLDING COMPANY.
Not Applicable
ITEM 8. IDENTIFICATION AND CLASSIFICATION OF MEMBERS OF THE GROUP.
Not Applicable
ITEM 9. NOTICE OF DISSOLUTION OF GROUP.
Not Applicable
ITEM 10. CERTIFICATIONS.
Certification pursuant to ss.240.13d-1(c).
By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were not acquired and are not
held for the purpose of or with the effect of changing or influencing
the control of the issuer of the securities and were not acquired and
are not held in connection with or as a participant in any transaction
having that purpose or effect.
CUSIP No. 784723108 13G Page 5 of 5 Pages
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SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Date: June 28, 2004
/s/ Steven Derby
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Steven Derby