SOURCE: Sigma Designs, Inc.
MILPITAS, CA--(Marketwire - Jun 11, 2012) - Sigma Designs, Inc. (NASDAQ: SIGM), a leading provider of connected media platforms, today announced that it has terminated its Preferred Stock Rights Agreement. Additionally, in connection with its Board's annual review of corporate governance policies, Sigma announced the appointment of William J. Almon, an independent director, as the Chairman of the Board.
Sigma recently amended its Preferred Stock Rights Agreement in April 2012. Sigma subsequently reviewed this action with a number of its institutional shareholders. Based, in part, on their feedback, Sigma's Board of Directors determined to terminate the Preferred Stock Rights Agreement entirely. "We engaged in a collaborative discussion with certain of our shareholders and listened to their views. We believe it is in the best interest of all our shareholders to terminate the Rights Plan at this time," said Thinh Tran, Sigma's President and Chief Executive Officer.
Sigma's Board also recently completed its annual evaluation of the Company's corporate governance policies and procedures. In connection with this review, the Board determined to formally separate the role of Chairman of the Board from the role of Chief Executive Officer. As a result, the Board appointed William Almon, who had been serving as Sigma's lead independent director for the past three years, as the Chairman of the Board.
Mr. Almon is an industry veteran who has brought an independent perspective to Sigma and the operation of its Board of Directors for many years. He has extensive executive experience in technology companies ranging from Fortune 500 enterprises to start ups. While at IBM for 30 years, he served in many executive positions including as Executive Assistant to the President. As a Vice President, Mr. Almon played a key role in taking IBM into the OEM business as well as small form factor disk drives. Mr. Almon served as the President, Chief Executive Officer and Chairman of the Board of Grandis, Inc., a solid-state memory company, from May 2002 to June 2006, where he helped pioneer solid state Magnetic Random Access Memory (MRAM). Mr. Almon also served as President and Chief Operating Officer of Conner Peripherals, Inc., a manufacturer of computer disk drives and storage management devices, when they set the record as the fastest company to reach the Fortune 500.
Mr. Almon commented on his appointment as Chairman of the Board, "I am honored to take this position at this point in time. Many new markets are in the making, and they are ours if we stay focused and execute our plans."
In connection with establishing that the role of Chairman of the Board must be filled by an independent director, the Sigma Board formally amended Sigma's Corporate Governance Guidelines. A copy of the Corporate Governance Guidelines, as amended, is posted to Sigma's corporate website: www.sigmadesigns.com/governance.php.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements include, without limitation, statements regarding Sigma's new markets and results of Sigma executing on its plans. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. For a discussion of factors that may cause results to differ, see Sigma's SEC reports, including its Annual Report on Form 10-Q filed June 7, 2012 with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sigma undertakes no obligation to publicly release or otherwise disclose the result of any revision to these forward-looking statements that may be made as a result of events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
About Sigma Designs, Inc.
Sigma Designs, Inc. (NASDAQ: SIGM) is a world leader in connected media platforms. The company designs and builds the essential semiconductor technologies that serve as the foundation for the world's leading IPTV set-top boxes, connected media players, residential gateways, home control systems and more. For more information about Sigma Designs, please visit www.sigmadesigns.com.
Sigma Designs and the Sigma Designs logo are either registered trademarks or trademarks of Sigma Designs, Inc. and its subsidiaries in the United States and other countries. All other trademarks mentioned herein are believed to be trademarks of their respective owners.