SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (Date of earliest event reported): July 14, 2011
IGI LABORATORIES, INC.
(Exact name of registrant as specified in charter)
105 Lincoln Avenue
Buena, New Jersey 08310
(Address of principal executive offices)(Zip Code)
(Registrants telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Departure of Directors or Certain Officers; Election of Directors; Appointment
of Certain Officers; Compensatory Arrangements of Certain Officers.
On July 15, 2011, IGI Laboratories, Inc. (the Company) announced that it has named Jenniffer Collins its new Chief Financial Officer, effective July 21, 2011. Joyce Erony will continue to serve as the Companys Acting Principal Financial and Accounting Officer until August 15, 2011.
Jenniffer Collins, age 42, has twenty years of experience in accounting and finance. Prior to joining IGI, she most recently served as Vice President-Treasurer and previously the Corporate Controller at the Lightstone Group, a privately held real estate firm. Ms. Collins also served as Corporate Controller for Orchid Cellmark, Inc., a biotechnology company, and Director of Finance and Investor Relations for Tellium, Inc. an optical switching company. Her background also includes seven years of public accounting experience, including a position with Pricewaterhouse Coopers. Jenniffer earned her CPA in New Jersey in 1993 and graduated with a B.S. in Accounting from Lehigh University.
Under the terms of her employment agreement, Ms. Collins will receive an annual salary of $210,000. As soon as practicable following the effective date of her employment agreement and subject to the approval of the Board of Directors, Ms. Collins will also receive an option to purchase 225,000 shares of the Companys common stock, the vesting terms of which are explained below. In addition, Ms. Collins will be entitled to participate in certain of the Companys benefit programs on the same terms and conditions generally provided by the Company to its executive employees. Ms. Collins will also be eligible to receive an annual performance bonus for each calendar year during the term of her employment, which may be payable in either, cash, stock options and/or restricted stock. Ms. Collins target bonus will be equal to 30% of her base salary for the applicable fiscal year. All performance targets pursuant to such plan shall be determined by the Companys Compensation Committee. Ms. Collins is also subject to certain restrictive covenants as set forth in her employment agreement, including confidentiality, non-solicitation and non-competition. Ms. Collins employment agreement further provides for payments upon certain types of employment termination events as further set forth in her employment agreement.
The above stock option grant will have an exercise price equal to the closing price of the Companys common stock on the date of grant and will become fully vested over a period of three years as follows: (i) one-third of the stock options shall vest on the first anniversary of the date of the grant; (ii) one-third of the stock options shall vest on the second anniversary of the date of the grant and (iii) one-third of the stock options shall vest on the third anniversary of the date of the grant. In addition, any options that remain unvested immediately prior to a change in control will become vested, provided that the executive remains in continuous service with the Company through the consummation of the change in control.
The foregoing description of the employment agreement for Ms. Collins is qualified in its entirety by reference to the full text of the Employment Agreement, a copy of which is attached as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference. The Form of Stock Option Award Agreement under the IGI Laboratories, Inc. 2009 Equity Incentive Plan is filed as Exhibit 10.2 and incorporated herein by reference.
Financial Statements and Exhibits.
(d) The following exhibits are furnished with this Form 8-K:
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.