Once again, as Wall Street waited for happy hour Friday night, we Fools waded into 8-K filings that, if the timing is to be believed, executives would rather you not read.
Kicking off today's list is this filing from broadband telecom specialist Occam Networks (Nasdaq: OCNW ) , which said that the Nasdaq is allowing it to remain listed even though it missed key filing requirements.
Actually, it's worse than that. Occam is in trouble because the audit committee of its board of directors is investigating prior revenue recognition practices. That, in turn, has delayed Occam's 2006 10-K and its first-quarter 10-Q. Nasdaq officials are demanding that both be filed by Sept. 28.
Meanwhile, Ernst & Young has quit speech recognition specialist Intervoice (Nasdaq: INTV ) . According to the filing, Intervoice heard the news a week ago. No reasons were given, although the filing goes to great lengths to assure investors that Ernst & Young had "no disagreements" with the company. Yeah, OK. Whatever you say, fellas.
A to-do over DoubleGoo
More interesting is when filings are intended to stir up trouble. That's what Google (Nasdaq: GOOG ) did. According to this filing, DoubleGoo may spend as much as $4.6 billion to acquire wireless spectrum from the Federal Communications Commission, thereby putting carriers such as AT&T (NYSE: T ) and Verizon (NYSE: VZ ) on the defensive.
How? Here's what my Foolish colleague, Dave Mock, a wireless expert in his own right, had to say on the topic:
Rumors say Google is contemplating a "GooglePhone" that would truly be a free-access device -- one that accesses open, ubiquitous broadband networks in the same way PCs can connect to Wi-Fi networks today. The thinking is this: An ISP or broadband provider doesn't dictate where and how you browse the Web, so why should wireless telcos?
If there's one thing mystifying about this 8-K, it's the timing. Why release it on Friday night with all the other duck-and-cover news? This, after all, is anything but bad news. Greater adoption of broadband is likely to be very good for business.
On the other hand, any attempt to derail the iPhone, as Dave suggests this might, would instantly undermine what has been a blossoming partnership with Apple (Nasdaq: AAPL ) . That's why I think this 8-K was hidden in plain sight. It's also why I don't believe you'll soon see a GooglePhone in a retail store near you.
Does Trump shop at Big & Tall?
Some of the best 8-Ks are short, even when they're about big and tall news. Check out this filing from Casual Male (Nasdaq: CMRG ) :
On July 19, 2007, Casual Male ... notified Linda B. Carlo of the termination of her active employment effective August 18, 2007. Ms. Carlo was serving as the Company's Executive Vice President-Business Development and Direct-to-Consumer. Ms. Carlo was a "named executive officer" in the Company's 2007 Proxy Statement.
Can't you just picture The Donald saying that? ("You're fired!") Too bad Ms. Carlo won't have a shot at The Apprentice because she won't qualify (most likely) as a "celebrity." Trump quit the show earlier this year, but recently announced he'd be back with an all-celebrity edition this fall.
Don't feel too bad, though. Carlo, who joined the company in August 2003 after executive stints at an apparel cataloguer and Charming Shoppes' (Nasdaq: CHRS ) Lane Bryant, earned $360,495 in salary and bonuses last year. Now, she may also be due severance.
If so, it won't be a small sum. Quoting from the most recent proxy:
... In the event the executive officer's employment is terminated by us any time for any reason other than "justifiable cause" (as defined in the Employment Agreements), disability or death, we are required to pay the executive officer the greater of (1) the base salary for the remaining term of the related Employment Agreement or (2) an amount equal to one half of the executive officer's annual salary.
But Carlo's contact expires in August, right? Wrong:
The employment agreement with Ms. Carlo, which was most recently amended on August 2, 2006, has a term that currently ends on March 31, 2008. Pursuant to that agreement, Ms. Carlo currently receives an annual salary of $319,930. [Emphasis mine.]
Ouch. Unless Carlo finds a job before March 31, 2008, she could be due 7 1/2 months of severance -- or just under $200,000. Sign me up.
Found a late filing we Fools should see? Let me know.
Fool contributor Tim Beyers usually favors two scoops of ice cream over the inside scoop. Tim didn't own shares in any of the companies mentioned in this article at the time of publication. Find Tim's portfolio here and his latest blog commentary here. The Motley Fool's disclosure policy may be filed under "F" for fair, or Foolish.