Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers;
Compensatory Arrangements of Certain Officers.
Effective October 8, 2019, Peter Faubert resigned as Chief Financial Officer of SeaChange International, Inc. (SeaChange),
effective immediately. Mr. Faubert currently remains an employee of SeaChange to assist with transition matters.
Effective October 8, 2019, the Board of Directors of SeaChange appointed Michael Prinn as the Chief Financial Officer, Senior Vice
President and Treasurer of SeaChange.
Mr. Prinn, 46, previously served as the Vice President, Finance of Brightcove Inc. (NASDAQ:
BCOV) from October 2018 to September 2019. Prior to that, from October 2012 to September 2018, Mr. Prinn served as the Executive Vice President and Chief Financial Officer of Bridgeline Digital, Inc. (NASDAQ: BLIN). In addition to his duties as
Chief Financial Officer, Mr. Prinn acted as Co-Interim Chief Executive Officer and President of Bridgeline Digital from December 2015 to May 2016, when a new President and Chief Executive Officer was
The selection of Mr. Prinn to serve as the Chief Financial Officer, Senior Vice President and Treasurer of SeaChange was
not pursuant to any arrangement or understanding with respect to any other person. In addition, there are no family relationships between Mr. Prinn and any director or other executive officer of SeaChange and there are no related persons
transactions between SeaChange and Mr. Prinn reportable under Item 404(a) of Regulation S-K.
In connection with the appointment of Mr. Prinn, the Compensation Committee and Board agreed to pay Mr. Prinn an annual base salary
of $300,000 per year and to make a one-time equity award of 100,000 stock options with an exercise price equal to SeaChanges closing stock price on the employment start date of Mr. Prinn,
October 8, 2019, to vest over 3 years. Mr. Prinn will also be eligible to participate in SeaChanges short-term incentive plan and long-term equity plan. Mr. Prinns short-term incentive plan award for the year ending
January 31, 2020 has a targeted payout of 50% of Mr. Prinns annual base salary, pro rated for the partial year period and with a minimum payout in this initial year of $50,000.
If the employment of Mr. Prinn is terminated without cause and Mr. Prinn is not entitled to payment under the Change-in-Control Agreement described below, subject to Mr. Prinns execution of a general release and satisfaction agreement, which will include a noncompete
provision of one year, Mr. Prinn will be entitled to (i) a one-time payment in an amount equal to 12 months of annual base salary, payable over 12 months, and (ii) an amount of
Mr. Prinns annual bonus determined based on pro rated performance targets and actual performance through date of termination.
In connection with his appointment, Mr. Prinn and SeaChange will enter into a Change-in-Control Severance Agreement (the Change-in-Control Agreement) and an Indemnification Agreement (the
Indemnification Agreement), effective October 8, 2019, the terms of which are substantially similar to those agreements previously entered into by SeaChange with its other senior executive officers and described in SeaChanges
2019 proxy statement.
The Change-in-Control Agreement is
designed to provide an incentive to Mr. Prinn to remain with SeaChange leading up to and following a change in control.