e8vk
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
November 29, 2007
Date of Report (Date of earliest event reported)
Smith & Wesson Holding Corporation
(Exact Name of Registrant as Specified in Charter)
|
|
|
|
|
Nevada
|
|
001-31552
|
|
87-0543688 |
|
|
|
|
|
(State or Other
Jurisdiction of Incorporation)
|
|
(Commission File Number)
|
|
(IRS Employer
Identification No.) |
2100 Roosevelt Avenue
Springfield, Massachusetts
01104
(Address of Principal Executive Offices) (Zip Code)
(800) 331-0852
(Registrants telephone number, including area code)
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 (see General Instruction
A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
TABLE OF CONTENTS
Item 5.03. Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.
Effective November 29, 2007, our board of directors amended Article V of our amended and
restated bylaws to provide us with the ability to issue uncertificated shares of our common stock
as required by The Nasdaq Stock Market. Our ability to issue uncertificated shares enables us to
participate in the direct registration system administered by The Depository Trust Company. The
direct registration system will allow our stockholders to have shares of our common stock
registered in their names without the issuance of physical certificates and will give our
stockholders the ability to electronically transfer shares to brokers in order to effect
transactions without the need to transfer physical certificates. Stockholders will still be
entitled to stock certificates if they so request in writing.
The full text of our amended and restated bylaws is attached as Exhibit 3.3 to this Form 8-K
and Article V of our amended and restated bylaws is incorporated by reference in this Item 5.03.
Item 9.01. Financial Statements and Exhibits.
|
(a) |
|
Financial Statements of Business Acquired.
Not applicable. |
|
|
(b) |
|
Pro Forma Financial Information.
Not applicable. |
|
|
(c) |
|
Shell Company Transactions.
Not applicable. |
|
|
(d) |
|
Exhibits. |
|
|
|
Exhibit |
|
|
Number |
|
Exhibits |
|
|
|
3.3
|
|
Amended and Restated Bylaws of Smith & Wesson Holding Corporation |
SIGNATURES
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.
|
|
|
|
|
|
SMITH & WESSON HOLDING CORPORATION
|
|
Date: December 5, 2007 |
By: |
/s/ John A. Kelly
|
|
|
|
John A. Kelly |
|
|
|
Chief Financial Officer |
|
|
2
EXHIBIT INDEX
|
|
|
|
|
|
3.3
|
|
Amended and Restated Bylaws of Smith & Wesson Holding Corporation |
exv3w3
Exhibit 3.3
AMENDED AND RESTATED BYLAWS
OF
SMITH & WESSON HOLDING CORPORATION
Amended as of November 29, 2007
ARTICLE I OFFICES
The principal office of the Corporation shall be located at 3101 W. Spring Mountain Road, Las
Vegas, Nevada, 89102, and it may be changed from time to time by the Board of Directors. The
Corporation may also maintain offices at such other places within or without the United States as
the Board of Directors may, from time to time, determine.
ARTICLE II MEETING OF STOCKHOLDERS
Section 1 Annual Meetings.
Annual meetings of stockholders shall be held at such date and time as the directors may from
time to time fix; provided, however, that each annual meeting shall be held within 15 months of the
date of the preceding annual meeting. At such meetings directors shall be elected, reports of the
affairs of the Corporation shall be considered, and any other business may be transacted that is
within tile powers of the stockholders.
Section 2 Special Meetings.
Special meetings of the stockholders may be called at any time by the majority of the Board of
Directors, the Chairman of the Board, the President, or as otherwise authorized by law. The
business of a special meeting shall be confined to the purpose or purposes stated in the notice of
such meeting.
Section 3 Place of Meetings.
All meetings of the stockholders shall be held at the principal office of the Corporation, or
at such other places as shall be designated in the notices or waivers of notice of such meetings.
Section 4 Notice of Meetings.
(a) Whenever stockholders are required or permitted to take any action at a meeting, a written
notice of the meeting shall be given that shall state the place, date, and hour of the meeting and
the purpose or purposes for which the meeting is called. Unless otherwise provided by law, the
written notice of any meeting shall be given not less than 10 nor more than 60 days before the date
of the meeting to each stockholder entitled to vote at such meeting. Notice may be given by any
means permitted by law. If mailed, such notice shall be deemed to be given when deposited in the
mail, postage prepaid, directed to the stockholder at his address as it appears on the records of
the Corporation.
1
(b) Attendance at a meeting of stockholders, in person or by proxy, constitutes a waiver of
notice of the meeting, except when the stockholder attends a meeting for the express purpose of
objecting at the beginning of the meeting to the transaction of any business on grounds that the
meeting is not lawfully called or convened.
Section 5 Quorum.
(a) The presence in person or by proxy of the persons entitled to vote a majority of the
voting shares at any meeting shall constitute a quorum for the transaction of business. The
stockholders present at a duly called or held meeting at which a quorum is present may continue to
do business until adjournment, notwithstanding the withdrawal of enough stockholders to leave less
than a quorum, if any action taken (other than adjournment) is approved by at least a majority of
the shares required to constitute a quorum.
(b) Despite the absence of a quorum at any annual or special meeting of stockholders, the
stockholders, by a majority of the votes cast by the holders of shares entitled to vote thereat,
may adjourn the meeting. At any such adjourned meeting at which a quorum is present, any business
may be transacted at the meeting as originally called if a quorum had been present.
Section 6 Voting.
(a) Unless otherwise provided in the Articles of Incorporation of the Corporation, each
stockholder entitled to vote at any meeting of stockholders shall be entitled to one vote for each
share of stock held by such stockholder that or in the resolution providing for the issuance of the
stock has voting power upon the matter in question.
(b) Each stockholder entitled to vote at a meeting of stockholders may authorize another
person or persons to act for such stockholder by proxy, but no such proxy shall be voted or acted
upon after six months from its date, unless coupled with an interest, or unless the proxy provides
for a longer period, which in no case shall exceed seven years from the date of its execution. A
duly executed proxy shall be irrevocable if it states that it is irrevocable and if, and only so
long as, it is coupled with an interest sufficient in law to support an irrevocable power. A
stockholder may revoke any proxy that is not irrevocable by attending the meeting and voting in
person or by filing an instrument in writing revoking the proxy or another duly executed proxy
bearing a later date with the Secretary.
(c) Voting at meetings of stockholders need not be by written ballot and need not be conducted
by inspectors unless the holders of a majority of the outstanding shares of all classes of stock
entitled to vote thereon present in person or by proxy at such meeting shall so determine.
(d) Directors shall be elected in accordance with the Articles of Incorporation of the
Corporation and these bylaws by a plurality of the votes cast at an election by the holders of
shares entitled to vote thereon. All other elections and questions shall, unless otherwise
provided by law or by the Articles of Incorporation of the Corporation or these bylaws, be decided
by the vote of the holders of a majority of the outstanding shares of stock entitled to vote
thereon present in person or by proxy at the meeting.
2
(e) No action required or permitted to be taken by the stockholders of the Corporation may be
effected by any consent in writing in lieu of a meeting.
Section 7 Notice of Stockholder Business and Nominations.
(a) (1) Nominations of persons for election to the Board of Directors of the Corporation and
the proposal of business to be considered by the stockholders may be made at an annual meeting of
stockholders (A) by or at the direction of the Chairman of the Board or the Board of Directors
pursuant to a resolution adopted by a majority of the whole Board or (B) by any stockholder of the
Corporation that is entitled to vote at the meeting with respect to the election of directors or
the business to be proposed by such stockholder, as the case may be, who complies with the notice
procedures set forth in clauses (2) and (3) of paragraph (a) of that Section 7 and that is a
stockholder of record at the time such notice is delivered to the Secretary of the Corporation as
provided below.
(2) For nominations or other business to be properly brought before an annual meeting by a
stockholder pursuant to clause (B) of paragraph (a) (1) of this Section 7, the stockholder must
have given timely notice thereof in writing to the Secretary of the Corporation and such business
must be a proper subject for stockholder action under applicable law. To be timely, a
stockholders notice shall be delivered to the Secretary of the Corporation at the principal
executive offices of the Corporation not less than 60 days nor more than 90 days prior to the first
anniversary of the preceding years annual meeting; provided, however, that in the event that the
date of the annual meeting is advanced by more than 30 days, or delayed by more than 60 days, from
such anniversary date, notice by the stockholder to be timely must be so delivered not earlier than
the ninetieth day prior to such annual meeting and not later than the close of business on the
later of the sixtieth day prior to such annual meeting or the tenth day following the day on which
public announcement of the date of such meeting is first made. Such stockholders notice shall set
forth (A) as to each person whom the stockholder proposes to nominate for election or reelection as
a director all information relating to such person that is required to be disclosed in
solicitations of proxies for election of directors, or is otherwise required, in each case pursuant
to Regulation 14A under the Securities Exchange Act of 1934, as amended (the Exchange Act),
including such persons written consent to being named in the proxy statement as a nominee and to
serving as a director if elected; (B) as to any other business that the stockholder proposes to
bring before the meeting, a brief description of the business desired to be brought before the
meeting, the reasons for conducting such business at the meeting and any material interest in such
business of such stockholder and the beneficial owner, if any, on whose behalf the proposal is
made; and (c) as to the stockholder giving the notice and the beneficial owner, if any, on whose
behalf the nomination or proposal is made (i) the name and address of such stockholder, as they
appear on the Corporations books, and of such beneficial owner and (ii) the class and number of
shares of the Corporation which are owned beneficially and of record by such stockholder and such
beneficial owner.
(3) Notwithstanding anything in the second sentence of paragraph (a) (2) of this Section 7 to
the contrary, in the event that the number of directors to be elected to the Board of Directors is
increased and there is no public announcement naming all of the nominees for director or specifying
the size of the increased Board of Directors made by the Corporation at least 80 days prior to the
first anniversary of the preceding years annual meeting, a
3
stockholders notice required by paragraph (a) (2) of this Section 7 shall also be considered
timely, but only with respect to nominees for any new positions created by such increase, if it
shall be delivered to the Secretary of the Corporation at the principal executive offices of the
Corporation not later than the close of business on the tenth day following the day on which such
public announcement is first made by the Corporation.
(b) Nominations of persons for election to the Board of Directors may be made at a special
meeting of stockholders at which directors are to be elected (i) by or at the direction of the
Chairman of the Board or the Board of Directors pursuant to a resolution adopted by a majority of
the whole Board or (ii) by any stockholder of the Corporation that is entitled to vote at the
meeting with respect to the election of directors, that complies with the notice procedures set
forth in this paragraph (b) and that is a stockholder of record at the time such notice is
delivered to the Secretary of the Corporation as provided below. Nominations by stockholders of
persons for election to the Board of Directors may be made at such a special meeting of
stockholders if the stockholders notice as required by paragraph (a) (2) of this Section 7 shall
be delivered to the Secretary of the Corporation at the principal executive offices of the
Corporation not earlier than the ninetieth day prior to such special meeting and not later than the
close of business on the later of the sixtieth day prior to such special meeting or the tenth day
following the day on which public announcement is first made of the date of the special meeting and
of the nominees proposed by the Board of Directors to be elected at such meeting.
(c) (1) Only persons who are nominated in accordance with the procedures set forth in this
Section 7 shall be eligible to serve as directors and only such business shall be conducted at a
meeting of stockholders as shall have been brought before the meeting in accordance with the
procedures set forth in this Section 7.
(2) Except as otherwise provided by law, the Articles of Incorporation or this Section 7, the
chairman of the meeting shall have the power and duty to determine whether a nomination or any
business proposed to be brought before the meeting was made in accordance with the procedures set
forth in this Section 7 and, if any proposed nomination or business is not in compliance with this
Section 7, to declare that such defective nomination or proposal shall be disregarded.
(3) For purposes of this Section 7, public announcement shall mean disclosure in a press
release reported by the Dow Jones News Service, Associated Press, or comparable national news
service or in a document publicly filed by the Corporation with the Securities and Exchange
Commission pursuant to Section 13, 14, or 15(d) of the Exchange Act.
(4) Notwithstanding the foregoing provisions of this Section 7, a stockholder shall also
comply with all applicable requirements of the Exchange Act and the rules and regulations
thereunder with respect to the matters set forth in this Section 7. Nothing in this Section 7
shall be deemed to affect any rights (i) of stockholders to request inclusion of proposals in the
Corporations proxy materials with respect to a meeting of stockholders pursuant to Rule 14a-8
under Exchange Act or (ii) of the holders of any series of Preferred Stock or any other series or
class of stock as set forth in the Articles of Incorporation to elect directors under specified
circumstances or to consent to specific actions taken by the Corporation.
4
Section 8 Presiding Officer; Order of Business; Conduct of Meeting.
(a) Meetings of the stockholders shall be presided over by such person as shall be designated
by the Board of Directors or if no designation is made, then by the Chairman of the Board, or in
his absence or if there is no Chairman of the Board, then the President. The Secretary of the
Corporation, or in the Secretarys absence, an Assistant Secretary, shall act as Secretary of the
meeting, or in the absence of an Assistant Secretary, the chairman of the meeting may appoint any
person to act as secretary of the meeting.
(b) Subject to the following, meetings of stockholders shall generally follow accepted rules
of parliamentary procedure:
(1) The chairman of the meeting shall have absolute authority over matters of procedure, and
there shall be no appeal from the ruling of the chairman. If the chairman, in absolute discretion,
deems it advisable to dispense with the rules of parliamentary procedure as to any one meeting of
stockholders or a part thereof, the chairman shall so state and shall clearly state the rules under
which the meeting or appropriate part thereof shall be conducted.
(2) If disorder shall arise which prevents continuation of the legitimate business of the
meeting, the chairman may quit the chair and announce the adjournment of the meeting; and upon his
so doing, the meeting is immediately adjourned.
(3) The chairman may ask or require that anyone not a bona fide stockholder or proxy holder
leave the meeting.
(4) A resolution or motion shall be only considered for a vote if proposed by a stockholder or
duly authorized proxy, and seconded by an individual , who is a stockholder or a duly authorized
proxy, other than the individual who proposed the resolution or motion.
ARTICLE III BOARD OF DIRECTORS
Section 1 Powers.
Subject to limitations of the Articles of Incorporation and statute as to action to be
authorized or approved by the stockholders, and subject to the duties of directors as prescribed by
these bylaws, the business of the Corporation shall be managed under the direction of the Board of
Directors and the Board of Directors shall have full control over the affairs of the Corporation.
Without prejudice to such general powers, but subject to the same limitations, it is hereby
expressly declared that the directors shall have the following powers:
First To select and remove all the officers, agents, and employees of the Corporation;
prescribe such powers and duties for them as may not be inconsistent with law, with the Articles of
Incorporation or the bylaws; fix their compensation; and require from them security for faithful
service.
Second To conduct, manage, and control the affairs and business of the Corporation and to
make such rules and regulations therefor not inconsistent with law, or with the Articles of
Incorporation or the bylaws, as they may deem best.
5
Third To change the principal executive office and principal office for the transaction of
the business of the Corporation from one location to another; to fix and locate from time to time
one or more subsidiary offices of the Corporation within or without the state of Nevada; to
designate any place within or without the state of Nevada for the holding of any stockholders
meeting or meetings; and to adopt, make, and use a corporate seal, and to prescribe the forms of
certificates of stock, and to alter the form of such seal and of such certificates from time to
time, as in their judgment, they may deem best, provided such seal and such certificates shall at
all times comply with the provisions of law.
Fourth To authorize the issue of shares of stock of the Corporation from time to time, upon
such terms as may be lawful.
Fifth To borrow money and incur indebtedness for the purposes of the Corporation, and to
cause to be executed and delivered therefor, in the corporate name, promissory notes, bonds,
debentures, deeds of trust, mortgages, pledges, hypothecations, or other evidences of debt and
securities therefor.
Sixth By resolution adopted by a majority of the authorized number of directors, to
designate one or more committees, each consisting of at least one director, to serve at the
pleasure of the board, and to prescribe the manner in which proceedings of such committee shall be
conducted. Unless the Board of Directors shall otherwise prescribe the manner of proceedings of
any such committee, meetings of any such committee may be regularly scheduled in advance and may be
called at any time by a majority of the members thereof; otherwise, the provisions of these bylaws
with respect to notice and conduct of meetings of the board shall govern. Any such committee, to
the extent provided in a resolution of the Board, may have all of the authority of the board,
except with respect to the following:
(i) the approval of any action for which state statute or the Articles of Incorporation also
require stockholder approval;
(ii) the filing of vacancies of the Board or in any committee;
(iii) the adoption, amendment or repeal of bylaws;
(iv) the amendment or repeal of any resolution of the Board;
(v) any distribution to the stockholders, except at a rate or in a periodic amount or within a
price range determined by the Board;
(vi) the appointment of other committees of the Board or the members thereof; and
(vii) the authorization of issuance of shares of stock of the Corporation or the grant of
options or other rights to purchase shares of stock of the Corporation.
6
Section 2 Number and Qualification of Directors.
The number of directors of the Corporation shall not be less than three nor more than 12 until
changed by a by-law amending this Section 2. The exact number of directors shall be increased or
decreased from time to time, adopted by resolution by the Board of Directors.
Section 3 Election and Term of Office.
Directors, who need not be stockholders, shall be elected at each annual meeting by a
plurality of votes cast at a meeting of stockholders, by the holders of shares of stock present in
person or by proxy, entitled to vote in the election. Each director shall hold office until the
next annual meeting of stockholders, and until the directors successor is elected and qualified,
or until the directors prior death, resignation, or removal.
Section 4 Annual and Regular Meetings; Notice.
(a) A regular annual meeting of the Board of Directors shall be held immediately following the
annual meeting of the stockholders, at the place of such annual meeting of stockholders or at such
other place as the directors may determine.
(b) The Board of Directors, from time to time, may provide by resolution for the holding of
other regular meetings of the Board of Directors, and may fix the date, time, and place thereof.
(c) Notice of any regular meeting of the Board of Directors shall not be required to be given,
and, if given, need not specify the purpose of the meeting; provided, however, that in case the
Board of Directors shall fix or change the time or place of any regular meeting, notice of such
action shall be given to each director who shall not have been present at the meeting at which such
change was made within the time limited, and in the manner set forth in Paragraph (b) Section 5 of
this Article III, with respect to special meetings, unless such notice shall be waived in the
manner set forth in Paragraph (c) of such Section 5.
Section 5 Special Meetings; Notice.
(a) Special meetings of the Board of Directors shall be held whenever called by the President,
the Chairman, or by a majority of the directors, at such date, time, and place as may be specified
in the respective notices or waivers of notice thereof.
(b) Except as otherwise required by statute, notice of special meetings shall be mailed
directly to each director, addressed to such director at such directors residence or usual place
of business at least four days before the day on which the meeting is to be held, or shall be sent
to him at such place by telegram, facsimile transmission, or e-mail, or shall be delivered to him
personally or given to him orally, not later than the day before the day on which the meeting is to
be held. A notice, or waiver of notice, except as required by Section 9 of this Article III, need
not specify the purpose of the meeting.
(c) Notice of any special meeting shall not be required to be given to any director who shall
attend such meeting without protesting prior thereto or at its commencement, the lack
7
of notice to him, or who submits a signed waiver of notice, whether before or after the
meeting. Notice of any adjourned meeting shall not be required to be given.
Section 6 Chairman.
At all meetings of the Board of Directors, the Chairman of the Board, if any and if present,
shall preside. If there shall be no Chairman, or the Chairman shall be absent, then the Vice
Chairman shall preside, and in the Vice Chairmans absence, a Chairman chosen by the directors
shall preside.
Section 7 Quorum and Adjournments.
(a) At all meetings of the Board of Directors, the presence of a majority of the entire Board
shall be necessary and sufficient to constitute a quorum for the transaction of business, except as
otherwise provided by law, by the Articles of Incorporation, or by these bylaws.
(b) A majority of the directors present at the time and place of any regular or special
meeting, although less than a quorum, may adjourn the same from time to time without notice, until
a quorum shall be present.
Section 8 Manner of Acting.
(a) At all meetings of the Board of Directors, each director present shall have one vote,
irrespective of the number of shares of stock, if any, which he may hold.
(b) Except as otherwise provided by statute, by the Articles of Incorporation, or by these
bylaws, the action of a majority of the directors present at any meeting at which a quorum is
present shall be the act of the Board of Directors.
(c) Unless otherwise required by the Articles of Incorporation or statute, any action required
or permitted to be taken at any meeting of the Board of Directors or any Committee thereof may be
taken without a meeting if a written consent thereto is signed by all the members of the Board or
Committee. Such written consent shall be filed with the minutes of the proceedings of the Board or
Committee.
(d) Unless otherwise prohibited by the Articles of Incorporation or statute, members of the
Board of Directors or of any Committee of the Board of Directors may participate in a meeting of
the Board or Committee by means of telephone conference or a similar method of communications by
which all persons participating in the meeting can hear each other. Such participation constitutes
the presence of all of the participating persons at such meeting, and each person participating in
the meeting shall sign the minutes thereof, which may be signed in counterparts.
Section 9 Vacancies.
Any vacancy in the Board of Directors, occurring by reason of an increase in the number of
directors, or by reason of the death, resignation, disqualification, removal (unless a vacancy
created by the removal of a director by the stockholders shall be filled by the stockholders at the
8
meeting at which the removal was effected) or inability to act of any director, or otherwise,
shall be filled for the unexpired portion of the term by a majority vote of the remaining
directors, though less than a quorum, at any regular meeting or special meeting of the Board of
Directors.
Section 10 Resignation.
Any director may resign at any time by giving written notice to the Board of Directors, the
President, or the Secretary of the Corporation. Unless otherwise specified in such written notice,
such resignation shall take effect upon receipt thereof by the Board of Directors or by such
officer, and the acceptance of such resignation shall not be necessary to make it effective.
Section 11 Removal.
Except as otherwise provided by law, any director may be removed with or without cause at any
time by the affirmative vote of stockholders holding of record in the aggregate at least two-thirds
of the outstanding shares of stock of the Corporation at a meeting of the stockholders called for
that purpose.
Section 12 Compensation.
Directors, and members of any committee of the Board of Directors, shall be entitled to such
reasonable compensation for their services as directors, as members of any such committee or in any
other capacity as shall be fixed from time to time by resolution of the Board of Directors or a
committee of the Board of Directors and shall also be entitled to reimbursement for any reasonable
expenses incurred in attending such meetings. The compensation of directors may be on such basis
as is determined by the resolution of the Board of Directors or a committee of the Board of
Directors. Any director receiving compensation under these provisions shall not be barred from
serving the Corporation in any other capacity and receiving reasonable compensation for such other
services.
Section 13 Contracts.
(a) No contract or other transaction between the Corporation and one or more of its directors
or officers, or between the Corporation and any corporation, firm, or association in which one or
more of the directors or officers of the Corporation is a director or officer or is financially
interested, shall be affected, impaired, invalidated, void, or voidable solely for this reason or
solely because any such director or officer is present at the meeting of the Board of Directors or
a committee thereof that authorizes or approves the contract or transaction, or because such
director or officer joins in the signing of a written contract that authorizes or approves the
contract or transaction or because the vote of any common or interested director is counted for
such purpose, if the circumstances specified in any of the following paragraphs exist:
(i) The fact of the common directorship, office, or financial interest is disclosed or known
to the Board of Directors or committee, and the Board or committee authorizes, approves, or
ratifies the contract or transaction in good faith by a vote sufficient for the purpose without
counting the vote or votes of the common or interested director or directors; or
9
(ii) The fact of the common directorship, office, or financial interest is disclosed or known
to the stockholders, and they approve or ratify the contract or transaction in good faith by a
majority vote of stockholders holding a majority of the shares entitled to vote; or
(iii) The fact of the common directorship, office, or financial interest is not known to the
director or officer at the time the transaction is brought before the Board of Directors or
committee for action; or
(iv) The contract or transaction is fair as to the Corporation at the time it is authorized or
approved.
(b) Common or interested directors may be counted in determining the presence of a quorum at a
meeting of the Board of Directors or a committee thereof that authorizes, approves, or ratifies a
contract or transaction, and if the votes of tile common or interested directors are not counted at
such meeting, then a majority of the disinterested directors may authorize, approve, or ratify a
contract or transaction.
Section 14 Loans to Officers and Directors.
Except as otherwise prohibited by law, the Corporation may lend money to, or guarantee any
obligation of, or otherwise assist any officer or other employee of the Corporation or of any
subsidiary of the Corporation, including any officer or employee who is a director of the
Corporation or any subsidiary, whenever, in tile judgment of the Board of Directors, such loan,
guaranty, or assistance may reasonably be expected to benefit the Corporation. Such loan,
guaranty, or other assistance may be with or without interest and may be unsecured or secured in
such manner as the Board of Directors shall approve, including, without limitation, by a pledge of
shares of the Corporation. The authority of the Board of Directors may be general or confined to
specific instances, and the Board of Directors may delegate to a committee of the Board of
Directors the power to grant, administer, and determine the terms and condition of any loan,
guaranty, or assistance to be made or given pursuant to a general authorization of the Board of
Directors.
Section 15 Indemnification.
(a) The Corporation shall, to the maximum extent permitted by law, indemnify each person
against expenses, judgments, fines, settlements, and other amounts actually and reasonably incurred
in connection with any proceeding arising by reason of the fact that such person has served as an
Agent of the Corporation, and may so indemnify any person in connection with any proceeding arising
by reason of the fact that such person has served as an Agent of the Corporation. For purposes of
this Section, the term Agent shall include any person who is or was a director, officer,
employee, or other agent of the Corporation; the term Corporation shall include any predecessor
of the Corporation and any constituent corporation (including any constituent of a constituent)
absorbed by the Corporation in a consolidation or merger; the term other enterprise shall include
any corporation, partnership, joint venture, trust or employee benefit plan; service at the
request of the Corporation shall include service as an Agent of the Corporation that imposes
duties on, or involves services by, such Agent with respect to any other enterprise or any employee
benefit plan, its participants or beneficiaries; any
10
excise taxes assessed on a person with respect to an employee benefit plan shall be deemed to
be indemnifiable expenses; and action by a person with respect to any employee benefit plan that
such person reasonably believes to be in the interest of the participants and beneficiaries of such
plan shall be deemed to be action not opposed to the best interests of the Corporation. Expenses
incurred in defending any such action, suit, or proceeding by any person who the Corporation is
required to indemnify as set forth above shall be paid or reimbursed by the Corporation promptly
upon receipt by it of an undertaking of such person to repay such expenses if it should ultimately
be determined that such person was not entitled to be indemnified by the Corporation. The rights
provided to any person by this Section shall be enforceable against the Corporation by such person
who shall be presumed to have relied upon it in serving or continuing to serve as an Agent of the
Corporation as defined above. No amendment of this Section shall impair the rights of any person
arising at any time with respect to events occurring prior to such amendment. The indemnification
and advancement of expenses provided by, or granted pursuant to, this Section shall, unless
otherwise provided when authorized or ratified, continue as to a person who has ceased to be an
Agent of the Corporation and shall inure to the benefit of the heirs, executors, and administrators
of such a person.
(b) The provisions of this Article shall be deemed to be a contract between the Corporation
and each such person who serves in any such capacity at any time while this Article and the
relevant provisions of the Nevada General Corporation Law or other applicable laws, if any, are in
effect, and any repeal or modification of any such laws or of this Article shall not affect any
rights or obligations then existing with respect to any state of facts then or theretofore existing
or any action, suit or proceeding theretofore or thereafter brought or threatened based in whole or
in part upon any such state of facts. The Corporation shall also enter into such express
agreements as the Board of Directors deems appropriate for the indemnification of present or future
Agents of the Corporation, consistent with the Corporations Articles of Incorporation, these
bylaws, and applicable law.
Section 16 Insurance.
Upon a determination of the Board of Directors to purchase liability insurance, this
Corporation shall purchase and maintain insurance on behalf of each Agent identified by the Board
against any liability asserted against or incurred by the Agent in such capacity or arising out of
the Agents status as such whether or not this Corporation would have the power to indemnify the
Agent against such liability under the provisions of section 15.
Section 17 Transfer Agents and Registrars.
The Board of Directors may appoint one or more transfer agents or transfer clerks, and one or
more registrars, either domestic or foreign, which shall be appointed at such times and places as
the requirements of the Corporation may necessitate and the Board of Directors may designate.
11
ARTICLE IV OFFICERS
Section 1 Number, Qualifications, Election and Term of Office.
(a) The officers of the Corporation shall consist of a President, Secretary, Treasurer and
such other officers, including a Chairman of the Board of Directors, a Vice Chairman of the Board
of Directors, and one or more Vice Presidents, as the Board of Directors may from time to time deem
advisable. The Board of Directors may designate officers as the Chief Executive Officer and Chief
Financial Officer. Any officer other than the Chairman or Vice Chairman of the Board of Directors
may be, but is not required to be, a director of the Corporation. Any two or more offices may be
held by the same person.
(b) The officers of the Corporation shall be elected by the Board of Directors at the regular
annual meeting of the Board following the annual meeting of stockholders.
(c) Each officer shall hold office until the annual meeting of the Board of Directors next
succeeding his election, and until his successor shall have been elected and qualified, or until
his death, resignation, or removal.
Section 2 Resignation.
Any officer may resign at any time by giving written notice of such resignation to the Board
of Directors or to the President or the Secretary of the Corporation. Unless otherwise specified
in such written notice, such resignation shall take effect upon receipt thereof by the Board of
Directors or by such officer, and the acceptance of such resignation shall not be necessary to make
it effective.
Section 3 Removal.
Any officer may be removed, either with or without cause, and a successor elected by a
majority vote of the Board of Directors at any time.
Section 4 Vacancies.
A vacancy in any office by reason or death, resignation, inability to act, disqualification,
or any other cause, may at any time be filled for the unexpired portion of the term by a majority
vote of the Board of Directors.
Section 5 Duties of Officers.
(a) Chairman of the Board. The Chairman of the Board shall, when present, preside at all
meetings of the stockholders and of the Board of Directors and shall have such other powers and
duties as may be delegated to him by the Board of Directors. The Chairman may from time to time,
with the approval of a majority of the Board, delegate to the Vice Chairman of the Board, if any,
or the President, the duties of presiding at meetings of stockholders and of the Board of
Directors.
12
(b) Vice Chairman of the Board. In the absence or the incapacity of the Chairman of the
Board, the Vice Chairman of the Board shall preside at all meetings of the stockholders and of the
Board of Directors, but shall not have any other duties or powers of the Chairman of the Board with
respect to supervision or control of the business or other officers of the Corporation, except
insofar as such duties or powers may be expressly delegated to him by the Chairman of the Board or
the Board of Directors.
(c) President. In the absence or incapacity of the Chairman of the Board and subject to the
duties and powers granted the Vice Chairman of the Board, the President shall perform all the
duties and functions and shall have all the powers of the Chairman of the Board. The President
shall have the power to execute certificates for shares of Common Stock and other documents as is
normally accorded the President and chief executive officer of a Corporation under Nevada and other
applicable law. The President shall perform such other duties as may be prescribed by the Board of
Directors from time to time.
(d) Vice President. The Vice Presidents shall have such powers and perform such duties as
from time to time may be prescribed for them respectively by the Board of Directors.
(e) Secretary. The Secretary shall record or cause to be recorded, and shall keep or cause to
be kept, at the principal executive office and such other place as the Board of Directors may
order, a book of minutes of actions taken at all meetings of directors and stockholders, with the
time and place of holding, whether regular or special, and, if special, how authorized, the notice
thereof given, the names of those present at directors meetings, the number of shares present or
represented at stockholders meetings, and the proceedings thereof.
The Secretary shall keep, or cause to be kept, at the principal executive office or at the
office of the Corporations transfer agent, a share register, or a duplicate share register,
showing the names of the stockholders and their addresses, the number and classes of shares held by
each, the number and date of certificates issued for the same, and the number and date of
cancellation of every certificate surrendered for cancellation.
The Secretary shall give, or cause to be given, notice of all the meetings of the stockholders
and of the Board of Directors required by the bylaws or by law to be given, and shall keep the seal
of the corporation in safe custody, and shall have such other powers and perform such other duties
as may be prescribed by the Board of Directors or by the bylaws.
(f) Treasurer. The Treasurer shall keep and maintain, or cause to be kept and maintained,
adequate and correct accounts of the properties and business transactions of the Corporation,
including accounts of its assets, liabilities, receipts, disbursements, gains, losses, capital,
surplus, and shares. The books of account shall at all reasonable times be open to inspection by
any director.
The Treasurer shall deposit, or cause to be deposited, all monies and other valuables in the
name and to the credit of the Corporation with such depositories as may be designated by the Board
of Directors. The Treasurer shall disburse the funds of the Corporation as may be ordered by the
Board of Directors, shall render to the Chairman of the Board, the President, and the
13
Board of Directors, whenever they request it, and shall have such other powers and perform
such other duties as may be prescribed by the Board of Directors or by the bylaws.
Section 6 Salaries.
The salaries for the principal officers of the Corporation shall be fixed, from time to time,
by the Board of Directors or by a duly constituted committee of the Board of Directors. No officer
shall be disqualified from receiving a salary by reason of his also being a director of the
Corporation.
Section 7 Sureties and Bonds.
In case the Board of Directors shall so require, any officer, employee, or agent of the
Corporation shall execute to the Corporation a bond in such sum, and with such surety or sureties
as the Board of Directors may direct, conditioned upon the faithful performance of such persons
duties to the Corporation, including responsibility for negligence and for the accounting for all
property, funds, or securities of the Corporation that may come into such persons hands.
Section 8 Shares of Stock of Other Corporations.
Whenever the Corporation is the holder of shares of stock of any other corporation, any right
or power of the Corporation as such stockholder (including the attendance, acting, and voting at
stockholders meetings and execution of waivers, consents, proxies, or other instruments) may be
exercised on behalf of the Corporation by the President, any Vice President, or such other person
as the Board of Directors may authorize.
ARTICLE V SHARES OF STOCK
Section 1 Certificates of Stock.
(a) The Corporation is authorized to issue shares of common stock of the Corporation
in certificated or uncertificated form. The shares of the common stock of the Corporation
shall be registered on the books of the Corporation in the order in which they shall be
issued. Any certificates for shares of the common stock, and any other shares of capital
stock of the Corporation represented by certificates, shall be numbered, shall be signed by
the Chairman of the Board of Directors, the President, or a Vice President, and the
Secretary or an Assistant Secretary, or the Treasurer or an Assistant Treasurer. Any or
all of the signatures on a certificate may be a facsimile signature. In case any officer,
transfer agent, or registrar who has signed or whose facsimile signature has been placed
upon a certificate shall have ceased to be such officer, transfer agent, or registrar
before such certificate is issued, it may be issued by the Corporation with the same effect
as if he, she, or it were such officer, transfer agent, or registrar at the date of issue.
Within a reasonable time after the issuance or transfer of uncertificated stock, the
Corporation shall send, or cause to be sent, to the record owner thereof a written
statement setting forth the name of the Corporation, the name of the stockholder, the
number and class of shares, and a summary of the designations, relative rights,
preferences, and limitations applicable to such class of shares and the variations in
rights, preferences, and limitations determined for each series within a class (and the
authority of the Board of Directors to
14
determine variations for future series), and a full statement of any restrictions on
the transfer or registration of such shares. Each stock certificate must set forth the
same information or, alternatively, may state conspicuously on its front or back that the
Corporation will furnish the stockholders a full statement of this information on request
and without charge. Every stock certificate representing shares that are restricted as to
the sale, disposition, or transfer of such shares shall also indicate that such shares are
restricted as to transfer and there shall be set forth or fairly summarized upon the
certificate, or the certificate shall indicate that the Corporation will furnish to any
stockholders upon request and without charge, a full statement of such restriction. If the
Corporation issues any certificated shares that are not registered under the Securities Act
of 1933, as amended, and registered or qualified under the applicable state securities
laws, the transfer of any such shares shall be restricted substantially in accordance with
the following legend:
THESE SECURITIES ARE SUBJECT TO
RESTRICTIONS ON TRANSFERABILITY AND
RESALE AND MAY NOT BE TRANSFERRED
OR RESOLD EXCEPT AS PERMITTED UNDER
THE SECURITIES ACT OF 1933, AS
AMENDED, AND THE APPLICABLE STATE
SECURITIES LAWS, PURSUANT TO
REGISTRATION OR EXEMPTION
THEREFROM.
(b) No certificate representing shares of stock shall be issued until the full amount
of consideration therefor has been paid, except as otherwise permitted by law.
(c) To the extent permitted by law, the Board of Directors may authorize the issuance
of certificates or uncertificated shares representing fractions of a share of stock that
shall entitle the holder to exercise voting rights, receive dividends, and participate in
liquidating distributions, in proportion to the fractional holdings; or it may authorize
the payment in cash of the fair value of fractions of a share of stock as of the time when
those entitled to receive such fractions are determined; or it may authorize the issuance,
subject to such conditions as may be permitted by law, of scrip in registered or bearer
form over the signature of an officer or agent of the Corporation, exchangeable as therein
provided for full shares of stock, but such scrip shall not entitle the holder to any
rights of a stockholder, except as therein provided.
Section 2 Lost or Destroyed Certificates.
The Board of Directors may require from any person who claims their stock certificate
has been lost, stolen, or destroyed an affidavit of that fact by the person claiming the
certificate of stock to be lost, stolen, or destroyed. The Board of Directors may, in its
discretion and as a condition precedent to the issuance of either a new stock certificate
or uncertificated shares, require the owner of such lost, stolen, or destroyed certificate
or certificates, or his legal representative, to advertise the same in such manner as it
shall require and/or to give the Corporation a bond in such sum as it may direct as
15
indemnity against any claim that may be made against the Corporation with respect to
the certificate alleged to have been lost, stolen, or destroyed.
Section 3 Transfers of Shares.
(a) Transfers of shares shall be made upon the books of the Corporation (i) only by
the holder of record thereof, or by a duly authorized agent, transferee or legal
representative and (ii) in the case of certificated shares, upon the surrender to the
Corporation of the certificate or certificates for such shares duly endorsed or accompanied
by proper evidence of succession, assignment, or authority to transfer, it shall be the
duty of the Corporation to issue a new certificate to the person entitled thereto, cancel
the old certificate and record the transaction upon its books.
(b) The Corporation shall be entitled to treat the holder of record of any share or
shares of stock as the absolute owner thereof for all purposes and, accordingly, shall not
be bound to recognize any legal, equitable, or other claim to, or interest in, such share
or shares of stock on the part of any other person, whether or not it shall have express or
other notice thereof, except as otherwise expressly provided by law.
Section 4 Record Date.
In lieu of closing the stock ledger of the Corporation, the Board of Directors may
fix, in advance, a date not exceeding 60 days, nor less than 10 days, as the record date
for the determination of stockholders entitled to receive notice of, or to vote at, any
meeting of stockholders, or for the purpose of determining stockholders entitled to receive
payment of any dividends, or allotment of any rights, or for the purpose of any other
action. If no record date is fixed, the record date for the determination of stockholders
entitled to notice of or to vote at a meeting of stockholders shall be at the close of
business on the day next preceding the day on which notice is given, or, if no notice is
given, the day preceding the day on which the meeting is held; the record date for
determining stockholders for any other purpose shall be at the close of business on the day
on which the resolution of the directors relating thereto is adopted. When a determination
of stockholders of record entitled to notice of or to vote at any meeting of stockholders
has been made as provided for herein, such determination shall apply to any adjournment
thereof, unless the directors fix a new record date for the adjourned meeting.
Section 5 Stockholders of Record.
Voting by stockholders shall in all cases be subject to the following provisions:
(a) Subject to clause (g) of this Section 5, shares held by an administrator,
executor, guardian, conservator, or custodian may be voted by such holder either in person
or by proxy, without a transfer of such shares into the holders name; and shares standing
in the name of a trustee may be voted by the trustee, either in person or by proxy, but no
trustee shall be entitled to vote shares held by such trustee without a transfer of such
shares into the trustees name.
16
(b) Shares standing in the name of a receiver may be voted by such receiver; and
shares held by or under the control of a receiver may be voted by such receiver without the
transfer thereof into the receivers name if authority to do so is contained in the order
of the court by which such receiver was appointed.
(c) Subject to the provisions of applicable law, and except where otherwise agreed in
writing between the parties, a stockholder whose shares are pledged shall be entitled to
vote such shares until the shares have been transferred into the name of the pledgee, and
thereafter the pledgee shall be entitled to vote the shares so transferred.
(d) Shares standing in the name of a minor may be voted and the Corporation may treat
all rights incident thereto as exercisable by the minor, in person or by proxy, whether or
not the Corporation has notice, actual or constructive, of the non-age, unless a guardian
of the minors property has been appointed and written notice of such appointment given to
the Corporation.
(e) Shares standing in the name of another corporation, domestic or foreign, may be
voted by such officer, agent, or proxy holder as the by-laws of such other corporation may
prescribe or, in the absence of such provision, as the Board of Directors of such other
corporation may determine or, in the absence of such determination, by the chairman of the
board, president, or any vice president of such other corporation, or by any other person
authorized to do so by the board, president, or any vice president of such other
corporation. Shares that are purported to be voted or any proxy purported to be executed
in the name of a corporation (whether or not any title of the person signing is indicated),
shall be presumed to be voted or the proxy executed in accordance with the provisions of
this subdivision, unless the contrary is shown.
(f) Shares of the Corporation owned by any subsidiary shall not be entitled to vote on
any matter.
(g) Shares held by the Corporation in a fiduciary capacity, and shares of the
Corporation held in a fiduciary capacity by any subsidiary, shall not be entitled to vote
on any matter, except to the extent that the settlor or beneficial owner possesses and
exercises a right to vote or to give the corporation binding instructions as to how to vote
such shares.
(h) If shares stand of record in the names of two or more persons, whether
fiduciaries, members of a partnership, joint tenants, tenants in common, husband and wife
as community property, tenants by the entirety, voting trustees, persons entitled to vote
under a stockholder voting agreement, or otherwise, or if two or more persons (including
proxy holders) have the same fiduciary relationship respecting the same shares, unless the
Secretary of the Corporation is given written notice to the contrary and is furnished with
a copy of the instrument or order appointment them or creating the relationship wherein it
is so provided, their acts with respect to voting shall have the following effect:
(i) If only one vote, such act binds all;
(ii) If more than one vote, the act of the majority so voting binds all;
17
(iii) If more than one vote, but the vote is evenly split on any particular
matter, each faction may vote the securities in question proportionately. If the
instrument so filed or the registration of the shares shows that any such tenancy is
held in unequal interests, a majority or even split for the purpose of this section
shall be a majority or even split in interest.
Section 6 Transfer Agent and Registrar. The Board of Directors may appoint one or more transfer agents or
transfer clerks and one or more registrars, and may require all certificates for shares to bear the
signature or signatures of any of them.
ARTICLE VI MISCELLANEOUS
Section 1 Checks, Drafts, Etc.
All checks, drafts, or other orders for payment of money, notes, or other evidences of
indebtedness, issued in the name of or payable to the Corporation, shall be signed or endorsed by
such person or persons and in such manner as, from time to time, shall be determined by resolution
of the Board of Directors.
Section 2 Contracts, Etc., How Executed.
The Board of Directors, except as in the bylaws otherwise provided, may authorize any officer
or officers, agent or agents, to enter into any contract or execute any instrument in the name of
and on behalf of the Corporation, and such authority may be general or confined to specific
instances; and, unless so authorized by the Board of Directors, no officer, agent, or employee
shall have any power or authority to bind the Corporation by any contract or engagement or to
pledge its credit or to render it liable for any purpose of for any amount. Subject to the
provisions of applicable law, any note, mortgage, evidence of indebtedness, contract, share
certificate, conveyance, or other instrument in writing and any assignment or endorsements thereof
executed or entered into between the Corporation and any other person, when signed by the Chairman
of the Board, the President, or any Vice President, and the Secretary, any Assistant Secretary, the
Treasurer, or any Assistant Treasurer of the Corporation shall be valid and binding on the
Corporation in the absence of actual knowledge on the part of the other person that the signing
officers had not authority to execute the same.
Section 3 Seal.
The Corporation shall adopt and use a corporate seal consisting of a circle setting forth on
its circumference the name of the Corporation and showing the state of incorporation.
Section 4 Fiscal Year.
The fiscal year of the Corporation shall be fixed by resolution of the Board of Directors.
18
Section 5 Loans.
No loans shall be contracted on behalf of the Corporation and no evidences of indebtedness
shall be issued in its name unless authorized by a resolution of the Board of Directors; such
authority may be general or confined to specific instances.
Section 6 Deposits.
The Board of Directors shall select banks, trust companies, or other depositories in which all
funds of the Corporation not otherwise employed shall, from time to time, be deposited to the
credit of the Corporation.
Section 7 Dividends.
Subject to applicable law, dividends may be declared and paid out of any funds available
therefor, as often, in such amounts, and at such time or times as the Board of Directors may
determine.
Section 8 Construction and Definitions.
Unless the context otherwise requires, the general provisions, rules of construction and
definitions contained in the laws of the state of Nevada shall govern the construction of these
bylaws. Without limiting the generality of the foregoing, the masculine gender includes the
feminine and neuter, the singular number includes the plural and the plural number includes the
singular, and the term person includes a corporation as well as a natural person.
ARTICLE VII AMENDMENTS
The Board of Directors shall have the power to make, adopt, alter, amend, or repeal, from time
to time, the bylaws of the Corporation.
19