MOUNTAIN VIEW, Calif., Jan. 3, 2011 (GLOBE NEWSWIRE) -- Geeknet, Inc. (Nasdaq:GKNT) announced today that it granted an inducement award to Kathryn McCarthy in connection with her employment as Executive Vice President and Chief Financial Officer as previously reported in its Current Report on Form 8-K filed with the Securities and Exchange Commission on December 20, 2010. Her employment will begin on Tuesday, January 4, 2011. The inducement award consists of Seventy-Eight Thousand One Hundred Twenty-Five (78,125) Restricted Stock Units that have been granted outside of Geeknet's 2007 Stock Option Plan. The Board of Directors of Geeknet granted the award on December 14, 2010 as an inducement material to Ms. McCarthy's employment in accordance with NASDAQ Listing Rule 5635(c)(4). The Restricted Stock Units will vest over three (3) years from the date of grant, with one-third (1/3) of the total shares subject to the award vesting on each twelve month anniversary of the date of grant, subject to Ms. McCarthy's continued employment with the company on each such vesting date. If within twelve months following a Change of Control (A) the Company terminates Ms. McCarthy other than for Cause, death or Disability or (B) upon Ms. McCarthy's Constructive Termination (as such terms are defined in Exhibit 10.1 to the Current Report on Form 8-K filed with the Securities and Exchange Commission on December 20, 2010), then subject to Ms. McCarthy executing a release of claims agreement in a form reasonably acceptable to Geeknet, she will receive full acceleration of all outstanding and unvested awards such that they become immediately exercisable and at least 90 days post-termination to exercise any outstanding awards or such longer period as prescribed in the respective stock plan and agreement for such award.
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Geeknet is the online network for the global geek community. Our sites include SourceForge, Slashdot, ThinkGeek, Geek.com, and freshmeat. For more information, visit Geeknet's website at www.geeknet.com.
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NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on our current expectations. Actual results may differ materially from those expressed or implied in such forward-looking statements due to various risks and uncertainties associated with Geeknet's business, including the risk factors disclosed in Geeknet's Annual Report on Form 10-K for the year ended December 31, 2009 and its quarterly report on Form 10-Q for the period ended September 30, 2010. All forward-looking statements included in this press release are based upon information available to us as of the date hereof, and we do not assume any obligations to update such statements or the reasons why actual results could differ materially from those projected in such statements. Investors should consult our filings with the Securities and Exchange Commission at www.sec.gov.