BILLERICA, MA, December 10, 2014 – CSP Inc. (NASDAQ: CSPI) today announced several new corporate governance policies, including the adoption of an incentive-based compensation Clawback policy and stock ownership guidelines for elected officers and non-employee members of the Board of Directors. The company also announced that it will waive the mandatory retirement age for Chairman C. Shelton James who will remain on the Board and stand for reelection at the 2015 annual meeting. The Board decided to take this action because it believes that Mr. James’ experience and history with the company is needed at this transitional period in its business. Mr. James will remain as Chairman. Three of the Company’s other four independent directors have been on the Board since July 2013. CEO Victor Dellovo has been on the Board since August 2012.
The new Clawback policy has been implemented as a best practice and is designed to ensure that incentive-based compensation is paid to executive officers based on accurate financial statements. In the event that the Company is required to prepare an accounting restatement due to material noncompliance, the policy applies to incentive-based compensation that is granted to current or former executive officers of the company who received incentive-based compensation during the three-year period preceding the date that the Company is required to prepare a restatement. The Company is not aware of any current need to restate any of its previously reported financial results.
About CSP Inc.
Based in Billerica, Massachusetts and founded in 1968, CSP Inc. and its subsidiaries develop and market IT integration solutions and high-performance computer systems to meet the diverse requirements of our industrial, commercial, and defense customers worldwide.
CSP Inc.’s High Performance Products & Solutions segment includes the MultiComputer Division, which designs and manufactures commercial high-performance computer signal processing systems for a variety of complex real time applications in defense and commercial markets. The Company also owns Myricom, a pioneer in high performance computing interconnect technology. Founded in 1970, Modcomp, Inc. is part of CSPI’s Information Technology Solutions segment, and has offices in North America and Europe. Modcomp provides solutions and services for complex IT environments including disaster recovery, mobility, managed services, security, data center management, and collaboration. More information about CSP Inc. is available at cspiweb.staging.wpengine.com.
CONTACT:
Gary Levine
Chief Financial Officer
CSP Inc.
Tel: 978.663.7598 ext. 1200
Fax: 978.663.0150