¨
|
Preliminary Proxy Statement
|
¨
|
Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))
|
þ
|
Definitive Proxy Statement
|
¨
|
Definitive Additional Materials
|
¨
|
Soliciting Material under §240.14a-12
|
¨
|
No fee required.
|
¨
|
Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11.
|
|
(1)
|
Title of each class of securities to which transaction applies:
|
|
(2)
|
Aggregate number of securities to which transaction applies:
|
|
(3)
|
Per unit price or other underlying value of transaction computed pursuant to Exchange Act Rule 0-11 (set forth the amount on which the filing fee is calculated and state how it was determined):
|
|
(4)
|
Proposed maximum aggregate value of transaction:
|
|
(5)
|
Total fee paid:
|
¨
|
Fee paid previously with preliminary materials.
|
¨
|
Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing.
|
|
(1)
|
Amount Previously Paid:
|
|
(2)
|
Form, Schedule or Registration Statement No.:
|
|
(3)
|
Filing Party:
|
|
(4)
|
Date Filed:
|
|
1.
|
Elect the five nominees to our Board of Directors named herein to serve for the ensuing year;
|
|
2.
|
Ratify the appointment of Habif, Arogeti & Wynne, LLP as our independent registered public accounting firm for our fiscal year ending December 31, 2011; and
|
|
3.
|
Transact any other business that may properly come before the meeting.
|
Sincerely,
|
|
William R. Doyle
|
|
Chairman, CEO and President
|
INFORMATION CONCERNING SOLICITATION AND VOTING
|
1
|
|
QUESTIONS AND ANSWERS
|
1
|
|
PROPOSAL 1 ELECTION OF DIRECTORS
|
3
|
|
PROPOSAL 2 RATIFICATION OF APPOINTMENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
|
8
|
|
PRINCIPAL ACCOUNTING FEES AND SERVICES
|
9
|
|
AUDIT COMMITTEE PRE-APPROVAL OF SERVICES PERFORMED BY OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTANTS
|
9
|
|
REPORT OF THE AUDIT COMMITTEE*
|
10
|
|
CORPORATE GOVERNANCE
|
11
|
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
|
11
|
|
SECTION 16(a) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE
|
12
|
|
EQUITY COMPENSATION PLAN INFORMATION
|
13
|
|
COMPENSATION DISCUSSION AND ANALYSIS
|
14
|
|
COMPENSATION COMMITTEE REPORT*
|
15
|
|
EXECUTIVE COMPENSATION
|
16
|
|
Summary Compensation Table
|
16
|
|
Employment Agreements
|
17
|
|
Grants of Plan-Based Awards for Fiscal Year 2010
|
18
|
|
Outstanding Equity Awards at Fiscal Year-End
|
19
|
|
Risk Analysis of Performance-Based Compensation Programs
|
19
|
|
Retirement and Deferred Compensation Plan Benefits
|
20
|
|
Perquisites and Additional Benefits and Programs
|
20
|
|
Potential Payments upon Termination Without Cause
|
20
|
|
DIRECTOR COMPENSATION
|
21
|
|
COMPENSATION COMMITTEE INTERLOCKS AND INSIDER PARTICIPATION
|
21
|
|
TRANSACTIONS WITH RELATED PERSONS
|
21
|
|
ANNUAL REPORT
|
22
|
|
SHAREHOLDER PROPOSALS TO BE PRESENTED AT NEXT ANNUAL MEETING
|
|
23
|
Q:
|
Who may vote at the meeting?
|
A:
|
Our Board set May 2, 2011, as the record date for the meeting. If you owned our common stock at the close of business on May 2, 2011, you may attend and vote at the meeting. Each shareholder is entitled to one vote for each share of common stock held on all matters to be voted on. As of April 20, 2011, there were 15,457,524 shares of our common stock outstanding and entitled to vote at the meeting.
|
Q:
|
What is the quorum requirement for the meeting?
|
A:
|
A majority of our outstanding shares as of the record date must be present at the meeting in order to hold the meeting and conduct business. This is called a quorum.
|
|
§
|
are present and entitled to vote in person at the meeting; or
|
|
§
|
have properly submitted a proxy card or voting instruction card.
|
Q:
|
What proposals will be voted on at the meeting?
|
A:
|
There are two proposals scheduled to be voted on at the meeting:
|
|
§
|
Election of the five members of our Board named herein;
|
|
§
|
Ratification of Habif, Arogeti & Wynne, LLP as our independent registered public accounting firm.
|
Q:
|
How may I vote my shares in person at the meeting?
|
A:
|
If your shares are registered directly in your name with our transfer agent, Island Stock Transfer, you are considered, with respect to those shares, the shareholder of record. As the shareholder of record, you have the right to vote in person at the meeting. If your shares are held in a brokerage account or by another nominee or trustee, you are considered the beneficial owner of shares held in street name. As the beneficial owner, you are also invited to attend the meeting. Since a beneficial owner is not the shareholder of record, you may not vote these shares in person at the meeting unless you obtain a “legal proxy” from your broker, nominee, or trustee that holds your shares, giving you the right to vote the shares at the meeting. The meeting will be held at the the offices of Greenberg Traurig LLP, 3290 Northside Parkway, Suite 400, Atlanta, GA. If you need directions to the meeting, please visit
http://www.gtlaw.com/Locations/Atlanta?wosView=directions.
|
Q:
|
How can I vote my shares without attending the meeting?
|
A:
|
Whether you hold shares directly as a registered shareholder of record or beneficially in street name, you may vote without attending the meeting. You may vote by granting a proxy or, for shares held beneficially in street name, by submitting voting instructions to your stockbroker, trustee or nominee. You will be able to do this by submitting your proxy by mail, fax or online by following the instructions on your proxy card if your shares are registered
or
, for shares held beneficially in street name, by following the voting instructions included by your stockbroker, trustee or nominee, and mailing it in the enclosed envelope. If you provide specific voting instructions, your shares will be voted as you have instructed.
|
Q:
|
What happens if I do not give specific voting instructions?
|
A:
|
Registered Shareholder of Record
. If you are a registered shareholder of record and you sign and return a proxy card without giving specific voting instructions then the proxy holders will vote your shares in the manner recommended by the Board on all matters presented in this proxy statement and as the proxy holders may determine in their discretion with respect to any other matters properly presented for a vote at the meeting.
|
Q.
|
Which ballot measures are considered “routine” or “non-routine?”
|
A.
|
The ratification of the appointment of Habif, Arogeti & Wynne, LLP as the Company’s independent registered public accounting firm for 2011 (Proposal No. 2) is considered routine under applicable rules. A broker or other nominee may generally vote on routine matters, and therefore no broker non-votes are expected to exist in connection with Proposal No. 2. The election of directors (Proposal No. 1) is considered non-routine under applicable rules. A broker or other nominee cannot vote without instructions on non-routine matters, and therefore there may be broker non-votes on Proposal No. 1.
|
Q:
|
How can I revoke my proxy and change my vote after I return my proxy card?
|
A:
|
You may revoke your proxy and change your vote at any time before the final vote at the meeting. If you are a shareholder of record, you may do this by signing and submitting a new proxy card with a later date or by attending the meeting and voting in person. Attending the meeting alone will not revoke your proxy unless you specifically request your proxy to be revoked. If you hold shares through a bank or brokerage firm, you must contact that bank or firm directly to revoke any prior voting instructions.
|
Q:
|
Where can I find the voting results of the meeting?
|
A:
|
The preliminary voting results will be announced at the meeting. The final voting results will be reported in a current report on Form 8-K, which will be filed with the SEC within four business days after the meeting. If our final voting results are not available within four business days after the meeting, we will file a current report on Form 8-K reporting the preliminary voting results and subsequently file the final voting results in an amendment to the current report on Form 8-K within four business days after the final voting results are known to us.
|
Name
|
|
Principal Occupation During Last Five Years
|
|
Age
|
|
Director
Since
|
William R. Doyle
|
Mr. Doyle, the Chairman of the Board, President and Chief Executive Officer, joined Vystar in 2004 as Vice President Sales & Marketing. He became President and Chief Operating Officer in December 2005. He became Chairman of the Board, President and Chief Executive Officer of Vystar in March 2008. Prior to that, Mr. Doyle served as Vice President of Marketing, Women’s Health, for Matria Healthcare, Inc., a disease management company, from 1999 to 2004. Mr. Doyle spearheaded the initial branding efforts at Matria as well as held responsibility for sales development, training, public relations, and marketing. He has worked in many aspects of healthcare industry for over twenty years encompassing manufacturing, sales, marketing and advertising. In addition to Matria, he has experience with such companies as Isolyser Company, Inc., McGaw, Inc., Lederle Laboratories (now Wyeth), and in an advertising capacity for Novartis Ophthalmics. Mr. Doyle is a member of the Board of Directors of the Georgia Chapter of the March of Dimes. He holds a Bachelor of Science in Biochemistry from Penn State University and Master of Business Administration from Pepperdine University.
|
53
|
2005
|
|||
J. Douglas Craft
|
Since 1983, Mr. Craft has been the founder and chief executive officer of Atlanta-based Medicraft Inc., one of the largest independent distributors for Medtronic Spinal Products worldwide. Mr. Craft has more than 27 years experience in the medical device arena and holds a biomedical engineering degree from Mississippi State University.
|
49
|
2006
|
|||
Joseph C. Allegra, M.D.
|
Dr. Allegra was previously a member of Vystar’s Board from April 2008 to June 2009, and rejoined Vystar’s Board in September 2009. Dr. Allegra is the founder/owner of various limited liability companies in the Atlanta area including Diamond II Investments, Oncology Molecular Imaging, and Kids'Time Pediatrics. He is also the owner of Cyberlogistics, Inc and is a partner with the Seraph Group. Dr. Allegra has held various professorships and chairmanships as a practicing oncologist. He has an undergraduate degree in Chemistry from Temple University and obtained his MD from the Milton S. Hershey Medical Center of the Pennsylvania State University.
|
62
|
2009
|
|||
Mitsy Y. Mangum
|
From July 2009 to present, Ms. Mangum has been Vice President, Investments, WMS, RPC at MidSouth Capital, Inc., an independent investment banking firm in Atlanta, GA. From July 2004 to July 2009, Ms. Mangum was a Vice President-Investments, Financial Advisor WMS, RPC with Raymond James & Associates in the Atlanta area. Ms. Mangum is an accomplished investment professional with over 23 years of financial service and industry experience both from the retail side as well as the institutional side. Ms. Mangum maintains an in-depth knowledge of the financial markets, professional money management and managing portfolios. She has a Bachelor of Science in Business Administration/ Management from College of Charleston.
|
47
|
2008
|
|
Mr. Waters founded and is Managing Director of FiveFold Capital, a company focused on the capital needs of community banks. Mr. Waters has more than twenty years of diversified business experience, sixteen of which has been focused on raising capital. Over his career, Mr. Waters has raised both equity and debt financings totaling more than $5 billion. Prior to FiveFold Capital, he was Senior Vice President in Commerce Street Capital’s Bank Development Group managing both initial and secondary community bank capital offerings. Mr. Waters founded and was Managing Partner of Poseidon Capital Investments, LLC and was Director of Equity and Debt Syndications at Global Capital Finance. He was Senior Vice President, Director and one of the founding members of the Capital Markets Group within GMAC Commercial Finance’s Equipment Finance Division. Mr. Waters began his finance career at NationsBank, predecessor to the current Bank of America and in less than five years became the Managing Director of Equity Distributions of Bank of America Leasing & Capital Group. Mr. Waters received a B.S. in Economics from East Carolina University in Greenville, N.C., and earned an M.B.A., with honors, from Wake Forest University’s Babcock Graduate School of Management in Winston-Salem, N.C. He also represented Wake Forest in the European Business Studies program at St. Peters College of Oxford University and served eight years as a board member on the Babcock Graduate School of Management’s Alumni Council. He holds multiple securities licenses.
|
|
45
|
|
2008
|
|
·
|
appointing, approving the compensation of, and assessing the independence of our independent registered public accounting firm;
|
|
·
|
overseeing the work of our independent registered public accounting firm, including through the receipt and consideration of reports from such firm;
|
|
·
|
reviewing and discussing with management and the independent registered public accounting firm our annual and quarterly financial statements and related disclosures;
|
|
·
|
monitoring our internal control over financial reporting, disclosure controls and procedures and code of business conduct and ethics;
|
|
·
|
discussing our risk management policies;
|
|
·
|
establishing policies regarding hiring employees from the independent registered public accounting firm and procedures for the receipt and resolution of accounting related complaints and concerns;
|
|
·
|
meeting independently with our independent registered public accounting firm and management;
|
|
·
|
reviewing and approving or ratifying any related person transactions; and
|
|
·
|
preparing the audit committee report required by SEC rules.
|
|
·
|
annually reviewing and approving corporate goals and objectives relevant to chief executive officer compensation;
|
|
·
|
determining our chief executive officer’s compensation;
|
|
·
|
reviewing and approving, or making recommendations to our Board with respect to, the compensation of our other executive officers;
|
|
·
|
overseeing an evaluation of our senior executives;
|
|
·
|
overseeing and administering our cash and equity incentive plans;
|
|
·
|
reviewing and making recommendations to our Board with respect to director compensation;
|
|
·
|
reviewing and discussing annually with management our “Compensation Discussion and Analysis” disclosure required by SEC rules; and
|
|
·
|
preparing the compensation committee report required by SEC rules.
|
Name
|
Board
|
Audit
|
Compensation
|
Executive
|
||||
Mr. Doyle
|
Chair
|
Chair
|
||||||
Mr. Craft
|
X
|
X
|
X
|
X
|
||||
Dr. Allegra
|
X
|
Chair
|
X
|
|||||
Ms. Mangum
|
X
|
X
|
||||||
Mr. Waters
|
X
|
Chair
|
X
|
Fee Category
|
2010
|
2009
|
||||||
Audit Fees
|
$
|
99,145
|
$
|
113,394
|
||||
Audit-Related Fees
|
$
|
-
|
$
|
-
|
||||
Tax Fees
|
$
|
5,120
|
$
|
3,000
|
||||
All Other Fees
|
$
|
-
|
$
|
-
|
||||
Total
|
$
|
104,265
|
$
|
116,394
|
*
|
The material in this report is not “soliciting material,” is not deemed “filed” with the SEC and is not to be incorporated by reference into any filing of Vystar under the Securities Act of 1933 or the Securities Exchange Act of 1934, whether made before or after the date hereof and irrespective of any general incorporation language in any such filing
|
5% Stockholders:
|
||||||||
Travis W. Honeycutt
Gainesville, GA
|
2,496,900
|
16.2
|
%
|
|||||
Margaret S. Honeycutt
Gainesville, GA
|
2,497,000
|
16.2
|
%
|
|||||
Directors and Executive Officers
|
||||||||
William Doyle* (1)
|
2,714,000
|
15.0
|
%
|
|||||
Matthew Clark* (2)
|
605,334
|
3.8
|
%
|
|||||
Sandra Parker* (3)
|
329,282
|
2.1
|
%
|
|||||
Jack W. Callicutt* (4)
|
150,000
|
1.0
|
%
|
|||||
J. Douglas Craft (5)
Atlanta, GA
|
490,000
|
3.1
|
%
|
|||||
Joseph C. Allegra, M.D. (6)
Atlanta, GA
|
815,000
|
5.2
|
%
|
|||||
W. Dean Waters (7)
Atlanta, GA
|
324,334
|
2.1
|
%
|
|||||
Mitsy Y. Mangum (7)
Atlanta, GA
|
225,000
|
1.4
|
%
|
|||||
All directors and executive officers as a group
|
5,652,950
|
28.4
|
%
|
(1)
|
Includes vested options to acquire 2,650,000 shares of common stock at a price of $0.68 per share.
|
|
|
(2)
|
Includes vested options to acquire 418,334 shares of common stock at a price of $0.68 per share.
|
|
|
(3)
|
Includes vested options and warrants to acquire 281,282 shares of common stock at a price of $0.68 per share.
|
|
|
(4)
|
Consists of vested options to acquire shares of common stock at $0.68 per share.
|
|
|
(5)
|
Includes vested options and warrants to acquire 360,000 shares of common stock at a price of $0.68 per share.
|
|
|
(6)
|
Includes vested options and warrants to acquire 220,000 shares of common stock at a price of $0.68 per share.
|
|
|
(7)
|
Includes vested options and warrants to acquire 240,000 shares of common stock at a price of $0.68 per share.
|
Plan Category
|
Number of securities
to be issued upon
exercise of
outstanding options
by Executive Officers
|
Weighted
average
exercise price
of outstanding
options
|
Number of
securities
remaining available
for future issuance
under equity
compensation plans
(excluding
securities reflected
in first column)
|
|||||||||
2004 Long-Term Incentive Compensation Plan, as amended, approved by shareholders
|
7,112,500 | $ | 0.69 | 2,887,500 | ||||||||
Total
|
7,112,500 | $ | 0.69 | 2,887,500 |
|
·
|
the number of shares of common stock covered by options and the dates upon which those options become exercisable;
|
|
·
|
the exercise prices of options;
|
|
·
|
the duration of options;
|
|
·
|
the methods of payment of the exercise price; and
|
|
·
|
the number of shares of common stock subject to any restricted stock or other stock-based awards and the terms and conditions of those awards, including the conditions for repurchase, issue price and repurchase price.
|
|
·
|
attract, retain and motivate talented executives;
|
|
·
|
promote the achievement of key financial and strategic performance measures by linking short- and long-term cash and equity incentives to the achievement of measurable corporate and, in some cases, individual performance goals; and
|
|
·
|
align the incentives of our executives with the creation of value for our shareholders.
|
|
·
|
base salary;
|
|
·
|
cash incentive bonuses;
|
|
·
|
equity incentive awards;
|
|
·
|
termination benefits upon termination without cause; and
|
|
·
|
insurance and other employee benefits and compensation.
|
Option
|
All Other
|
|||||||||||||||
|
Awards
|
Compensation
|
|
|||||||||||||
Name and Principal Position
|
Salary
|
(1)
|
(2)
|
|
Total
|
|||||||||||
William R. Doyle
|
||||||||||||||||
Chairman, Chief Executive Officer and President
|
||||||||||||||||
2010
|
$
|
185,000
|
$
|
198,240
|
$
|
9,024
|
$
|
392,264
|
||||||||
2009
|
$
|
185,000
|
$
|
-
|
$
|
3,128
|
$
|
188,128
|
||||||||
2008
|
$
|
169,519
|
$
|
1,172,747
|
$
|
2,283
|
$
|
1,344,549
|
||||||||
Jack W. Callicutt (3)
|
||||||||||||||||
Chief Financial Officer
|
||||||||||||||||
2010
|
$
|
91,346
|
$
|
149,098
|
$
|
7,304
|
$
|
247,748
|
||||||||
2009
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
||||||||
2008
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
||||||||
Sandra Parker (4)
|
||||||||||||||||
Executive
Vice President of Sales and Business Development
|
||||||||||||||||
2010
|
$
|
125,000
|
$
|
49,560
|
$
|
10,917
|
$
|
185,477
|
||||||||
2009
|
$
|
154,992
|
$
|
-
|
$
|
7,490
|
$
|
162,482
|
||||||||
2008
|
$
|
126,750
|
$
|
147,134
|
$
|
4,370
|
$
|
278,254
|
||||||||
Matthew P. Clark
|
||||||||||||||||
Vice President of Technical Sales
|
||||||||||||||||
2010
|
$
|
85,000
|
$
|
49,560
|
$
|
15,672
|
$
|
150,232
|
||||||||
2009
|
$
|
85,000
|
$
|
46,074
|
$
|
18,392
|
$
|
149,466
|
||||||||
2008
|
$
|
70,659
|
$
|
167,535
|
$
|
16,308
|
$
|
254,501
|
(1)
|
These amounts do not reflect the actual economic value realized by the executive officers. In accordance with SEC rules, this column represents the dollar amount recognized as compensation expense by Vystar for financial statement reporting purposes for fiscal years 2010, 2009 and 2008 for stock options granted to each of the executive officers in fiscal years 2010, 2009 and 2008, respectively, as well as prior fiscal years, in accordance with applicable accounting guidance related to stock-based compensation. Pursuant to SEC rules, the amounts shown disregard the impact of estimated forfeitures related to service-based vesting conditions. No stock options were forfeited by any of the executive officers in fiscal years 2010, 2009 and 2008. For additional information on the valuation assumptions underlying the value of these awards, see the Notes to Financial Statements at Note 9, “Share-Based Compensation” in our 2010 Annual Report on Form 10-K. The individual awards reflected in this summary compensation table are further summarized below under “Outstanding Equity Awards at Fiscal Year End.”
|
(2)
|
Amounts consist of medical, dental, vision, life insurance and disability insurance premiums and 401(K) contributions paid by us on behalf of the named executive officer.
|
(3)
|
Mr. Callicutt joined Vystar as Chief Financial Officer on April 8, 2010.
|
(4)
|
Ms. Parker’s employment with Vystar ended on March 31, 2011.
|
Executive Officer
|
Grant Date
|
All Other Option
Awards: Number
of Securities
Underlying
Options (1) (#)
|
Exercise or Base
Price of Option
Awards
($/Share)
|
Total Grant Date Fair
Value of Option
Awards (2)
|
||||||||||
William R. Doyle
|
April 12, 2010
|
300,000 | $ | 2.00 | $ | 198,240 | ||||||||
Jack W. Callicutt
|
April 12, 2010
|
200,000 | $ | 1.75 | $ | 149,098 | ||||||||
Matthew P. Clark
|
April 12, 2010
|
75,000 | $ | 2.00 | $ | 49,560 | ||||||||
Sandra Parker
|
April 12, 2010
|
75,000 | $ | 2.00 | $ | 49,560 |
(1)
|
This column represents awards of options under our 2004 Plan.
|
(2)
|
These amounts do not reflect the actual economic value realized by the executive officer. In accordance with SEC rules, this column represents the grant date fair value of each equity award. Furthermore, the option grants to Mr. Doyle, Mr. Clark and Ms. Parker only vest based upon the achievement of certain financial targets in 2010-2012, and no options vested in 2010 as the targets were not met. For additional information on the valuation assumptions underlying the value of these awards, see Note 9, “Share-Based Compensation” of the Notes to our Financial Statements included in our 2010 Annual Report on Form 10-K.
|
Name
|
Number of Securities
Underlying
Unexercised Options
Exercisable(#)
|
Number of Securities
Underlying
Unexercised Options
Unexercisable (#)
|
Equity Incentive
Plan Awards:
Number of Securities
Underlying Unexercised
Unearned Options (#)
|
Options
Exercise
Price ($)
|
Option
Expiration
Date
|
||||||||||||
William R. Doyle
|
300,000 | 1.00 |
12/2/2014
|
||||||||||||||
100,000 | 1.50 |
4/28/2015
|
|||||||||||||||
500,000 | 1.00 |
10/1/2016
|
|||||||||||||||
1,750,000 | 1.00 |
2/11/2018
|
|||||||||||||||
300,000 | (1) | 300,000 | 2.00 |
4/12/2012
|
|||||||||||||
Matthew P. Clark
|
100,000 | 1.00 |
1/1/2017
|
||||||||||||||
250,000 | 1.00 |
2/11/2018
|
|||||||||||||||
33,334 | 16,667 | (2) | 16,667 | 1.63 |
7/6/2019
|
||||||||||||
10,000 | 15,000 | (3) | 20,000 | 1.63 |
7/22/2019
|
||||||||||||
75,000 | (1) | 2.00 |
4/12/2012
|
||||||||||||||
Sandra Parker
|
150,000 | 50,000 | (4) | 50,000 | 1.00 |
4/1/2018
|
|||||||||||
75,000 | (1) | 2.00 |
4/12/2012
|
||||||||||||||
Jack W. Callicutt
|
50,000 | 150,000 | (5) | 150,000 | 1.75 |
8/7/2019
|
(1)
|
Vesting is contingent upon achieving certain financial targets in 2010-2012.
|
(2)
|
The remaining unvested portion of the option grant to Matthew P. Clark vests on July 6, 2011.
|
(3)
|
The remaining unvested portion of the option grant to Matthew P. Clark vests 5,000 each on July 22, 2011, 2012 and 2013.
|
(4)
|
The remaining unvested portion of the option grant to Sandra Parker vested on March 31, 2011.
|
(5)
|
The remaining unvested portion of the option grant to Jack W. Callicutt vests 50,000 each on April 8, 2011, 2012, and 2013.
|
|
§
|
health, dental and vision insurance;
|
|
§
|
life insurance;
|
|
§
|
medical and dependent care flexible spending account; and
|
|
§
|
short-term and long-term disability, accidental death and dismemberment.
|
Executive Officer
|
Monthly
Severance
Programs (1)
|
Additional
Monthly Severance
Payments (2)
|
Continuing
Benefits (3)
|
TOTALS
|
||||||||||||
William R. Doyle
|
$ | 92,500 | $ | 138,750 | $ | 962 | $ | 232,212 | ||||||||
Jack W. Callicutt
|
$ | 31,250 | — | $ | 2,400 | $ | 33.650 | |||||||||
Matthew Clark
|
$ | 21,250 | — | $ | 3,920 | $ | 25,170 |
(1)
|
The amounts represent the aggregate of monthly payments for six (6) months for Mr. Doyle and three (3) months for Mr. Callicutt and Mr. Clark.
|
(2)
|
In the event that Mr. Doyle complies with certain restrictive covenants in his employment agreement, after termination without cause, he is additionally entitled to this amount (75% of his base salary) payable in monthly installments over a one (1) year period following the initial six (6) month period of monthly severance payments.
|
(3)
|
Consists of health insurance premiums.
|
Name
|
Fees Earned or
Paid in Cash
($)
|
Stock Awards ($)
|
Option Awards
($) (1)
|
Total ($)(2)
|
||||||||||||
J. Douglas Craft
|
0 | 0 | $ | 46,505 | $ | 46,505 | ||||||||||
Joseph Allegra, M.D.
|
0 | 0 | $ | 48,946 | $ | 48,946 | ||||||||||
W. Dean Waters
|
0 | 0 | $ | 46,505 | $ | 46,505 | ||||||||||
Mitsy Y. Mangum
|
0 | 0 | $ | 46,505 | $ | 46,505 |
(1)
|
In 2009, all non-employee directors were granted 400,000 options at $1.63 per share which vest 20,000 options at the end of each fiscal quarter for five (5) years beginning June 30, 2009, for Messrs. Craft and Waters, and Ms. Mangum, and beginning September 30, 2009 for Dr. Allegra. Such vesting is based on each director’s continued service as a director at each quarterly vesting date. The amounts included represent the portion of the original total grant date fair value of options that vested in 2010.
|
These amounts do not reflect the actual economic value realized by the directors. In accordance with SEC rules, this column represents the dollar amount recognized as compensation expense by Vystar for financial statement reporting purposes for fiscal year 2010 for stock options granted to each of the non-employee directors during fiscal year 2009, in accordance with applicable accounting guidance related to stock-based compensation. Pursuant to SEC rules, the amounts shown disregard the impact of estimated forfeitures related to service-based vesting conditions. For additional information on the valuation assumptions underlying the value of these awards, see the Notes to Financial Statements at Note 9, “Share-Based Compensation” in our 2010 Annual Report on Form 10-K.
|
|
VOTE BY MAIL
Mark, sign and date your proxy card and return it in the postage-paid envelope we have provided or return it to Vystar Corporation, c/o Island Stock Transfer, 100 Second Avenue South, Suite 7055, St. Petersburg, FL 33701.
VOTE BY FAX
Mark, sign and date your proxy card and return it via fax to 1-727-289-0069
VOTE ONLINE
Visit
www.islandstocktransfer.com
Click on Vote Your Proxy
Enter your control number _______________________
Enter your vote
|
VYSTAR CORPORATION
PROXY FOR ANNUAL MEETING OF SHAREHOLDERS
THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS OF THE COMPANY
The undersigned hereby appoints William R. Doyle and Dawn Ely, and each of them, with full power of substitution, to represent the undersigned and to vote all of the shares of stock in Vystar Corporation (the “Company”) which the undersigned is entitled to vote at the Annual Meeting of Shareholders of the Company, to be held at the offices of Greenberg Traurig LLP, 3290 Northside Parkway, Suite 400, Atlanta, GA on Friday, June 3, 2011 at 8:00 am local time, and at any adjournment or postponement thereof: (1) as hereinafter specified upon the proposals listed on the reverse side and as more particularly described in the Company’s Proxy Statement, receipt of which is hereby acknowledged, and (2) in their discretion upon such other matters as may properly come before the meeting.
The shares represented hereby shall be voted as specified.
If no specification is made, such shares shall be voted FOR the election of the nominees listed on the reverse side for the Board of Directors and for the proposal.
Whether or not you are able to attend the meeting, you are urged to sign and mail the proxy card in the return envelope so that the stock may be represented at the meeting.
IF YOU ELECT TO VOTE BY MAIL, PLEASE MARK, SIGN, DATE AND RETURN THIS PROXY CARD
PROMPTLY
USING THE ENCLOSED ENVELOPE
(CONTINUED AND TO BE SIGNED ON REVERSE SIDE)
|