Delaware
|
58-1972600
|
|
(State
or other jurisdiction of
|
(I.R.S.
Employer
|
|
incorporation
or organization)
|
Identification
Number)
|
PART
I
|
FINANCIAL
INFORMATION
|
Page
|
Item
1.
|
Financial
Statements
|
|
Condensed
Consolidated Balance Sheets (unaudited) - March 31, 2007 and December
31,
2006.
|
1
|
|
Condensed
Consolidated Statements of Operations (unaudited) - Three months
ended
March 31, 2007 and 2006
|
2
|
|
Condensed
Consolidated Statements of Cash Flows (unaudited) - Three months
ended
March 31, 2007 and 2006.
|
3
|
|
Notes
to Unaudited Condensed Consolidated Financial Statements - March
31,
2007.
|
4
|
|
Item
2.
|
Management's
Discussion and Analysis of Financial Condition and Results of
Operations
|
10
|
Item
4.
|
Procedures
and Controls
|
12
|
PART
II
|
OTHER
INFORMATION
|
|
Item
1A.
|
Risk
Factors
|
14
|
Item
6.
|
Exhibits
|
14
|
SIGNATURE
PAGE
|
14
|
|
EXHIBIT
INDEX
|
15
|
MARCH
31,
2007
|
DECEMBER
31,
2006
|
||||||
ASSETS
|
|||||||
CURRENT
ASSETS:
|
|||||||
Cash
and cash equivalents
|
$
|
17,051
|
$
|
1,731
|
|||
Marketable
securities
|
67,559
|
82,634
|
|||||
Interest
receivable
|
340
|
402
|
|||||
Prepaids
and other current assets
|
615
|
207
|
|||||
Total
current assets
|
85,565
|
84,974
|
|||||
PROPERTY
AND EQUIPMENT, NET
|
1,630
|
1,699
|
|||||
TOTAL
ASSETS
|
$
|
87,195
|
$
|
86,673
|
|||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||
CURRENT
LIABILITIES:
|
|||||||
Accounts
payable and accrued liabilities
|
$
|
688
|
$
|
680
|
|||
Total
current liabilities
|
688
|
680
|
|||||
Deferred
rent
|
293
|
277
|
|||||
Total
liabilities
|
981
|
957
|
|||||
STOCKHOLDERS'
EQUITY:
|
|||||||
Preferred
stock, $.0001 par value; 5,000,000 shares authorized; none
issued
|
--
|
--
|
|||||
Common
stock, $.0001 par value; 100,000,000 shares authorized; 17,226,747
and
17,188,622 shares issued and 17,151,747 and 17,113,622 outstanding
in 2007
and 2006, respectively
|
2
|
2
|
|||||
Additional
paid-in capital
|
368,251
|
367,945
|
|||||
Accumulated
deficit
|
(282,036
|
)
|
(282,238
|
)
|
|||
Treasury
stock, at cost
|
(2
|
)
|
(2
|
)
|
|||
Accumulated
other comprehensive (loss)/gain
|
(1
|
)
|
9
|
||||
Total
stockholders' equity
|
86,214
|
85,716
|
|||||
TOTAL
LIABILITIES AND STOCKHOLDERS' EQUITY
|
$
|
87,195
|
$
|
86,673
|
THREE
MONTHS ENDED
|
|||||||
MARCH
31,
|
|||||||
2007
|
2006
|
||||||
REVENUES:
|
$
|
--
|
$
|
--
|
|||
Total
revenues
|
--
|
--
|
|||||
OPERATING
EXPENSES:
|
|||||||
General
and administrative
|
784
|
881
|
|||||
Transaction
expenses
|
--
|
1,280
|
|||||
Depreciation
expense
|
90
|
88
|
|||||
Total
operating expenses
|
874
|
2,249
|
|||||
OPERATING
LOSS
|
(874
|
)
|
(2,249
|
)
|
|||
OTHER
EXPENSE
|
(1
|
)
|
(1
|
)
|
|||
INTEREST
INCOME
|
1,077
|
868
|
|||||
NET
INCOME/(LOSS)
|
$
|
202
|
$
|
(1,382
|
)
|
||
Income/(loss)
per common share:
|
|||||||
Basic
|
$
|
0.01
|
$
|
(0.08
|
)
|
||
Diluted
|
$
|
0.01
|
$
|
(0.08
|
)
|
||
Weighted
average common shares outstanding:
|
|||||||
Basic
|
16,620
|
16,612
|
|||||
Diluted
|
16,990
|
16,612
|
THREE
MONTHS ENDED
MARCH
31,
|
|||||||
2007
|
2006
|
||||||
CASH
FLOWS FROM OPERATING ACTIVITIES:
|
|||||||
Net
income/(loss)
|
$
|
202
|
$
|
(1,382
|
)
|
||
Adjustments
to reconcile net income/(loss) to net cash used in operating
activities:
|
|||||||
Depreciation
on property and equipment
|
90
|
88
|
|||||
Amortization
of deferred employee compensation
|
67
|
75
|
|||||
Amortization
of discount and premium on securities, net
|
(714
|
)
|
(406
|
)
|
|||
Changes
in operating assets and liabilities:
|
|||||||
Increase
in interest receivable, prepaids and other current assets
|
(107
|
)
|
(22
|
)
|
|||
Increase/(decrease)
in accounts payable and accrued liabilities
|
8
|
(977
|
)
|
||||
Increase
in deferred rent
|
16
|
19
|
|||||
Decrease
in deposits and other long-term assets
|
--
|
956
|
|||||
NET
CASH USED IN OPERATING ACTIVITIES
|
(438
|
)
|
(1,649
|
)
|
|||
CASH
FLOWS FROM INVESTING ACTIVITIES:
|
|||||||
Purchase
of marketable securities
|
(27,261
|
)
|
(40,290
|
)
|
|||
Proceeds
from maturity of marketable securities
|
43,040
|
21,965
|
|||||
Sale
of property and equipment
|
2
|
--
|
|||||
Purchase
of property and equipment
|
(23
|
)
|
(2
|
)
|
|||
NET
CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES
|
15,758
|
(18,327
|
)
|
||||
CASH
FLOWS FROM FINANCING ACTIVITIES:
|
|||||||
NET
CASH PROVIDED BY FINANCING ACTIVITIES
|
--
|
--
|
|||||
CHANGE
IN CASH AND CASH EQUIVALENTS
|
15,320
|
(19,976
|
)
|
||||
CASH
AND CASH EQUIVALENTS, beginning of period
|
1,731
|
23,270
|
|||||
CASH
AND CASH EQUIVALENTS, end of period
|
$
|
17,051
|
$
|
3,294
|
|||
SUPPLEMENTAL
DISCLOSURE:
|
|||||||
Cash
paid for franchise and property taxes
|
$
|
141
|
$
|
206
|
Three
Months Ended
March
31,
|
|||||||
2007
|
2006
|
||||||
Basic
earnings per share calculation:
|
|||||||
Net
income (loss)
|
$
|
202
|
$
|
(1,382
|
)
|
||
Weighted
average common shares - basic
|
16,620
|
16,612
|
|||||
Basic
net income (loss) per share
|
$
|
0.01
|
$
|
(0.08
|
)
|
||
Diluted
earnings per share calculation:
|
|||||||
Net
income (loss)
|
$
|
202
|
$
|
(1,382
|
)
|
||
Weighted
average common shares - basic
|
16,620
|
16,612
|
|||||
Effect
of dilutive stock options
|
141
|
--
|
|||||
Effect
of dilutive restricted stock
|
229
|
--
|
|||||
Weighted
average common shares diluted
|
16,990
|
16,612
|
|||||
Diluted
net income (loss) per share
|
$
|
0.01
|
$
|
(0.08
|
)
|
Options
|
Weighted
Average
Exercise
Price
|
||||||
Outstanding
at December 31, 2006
|
1,673,750
|
$
|
7.36
|
||||
Granted
|
--
|
--
|
|||||
Exercised
|
32,243
|
$
|
7.40
|
||||
Forfeited
|
(2,757
|
) |
$
|
7.40
|
|||
Outstanding
at March 31, 2007
|
1,638,750
|
$
|
7.36
|
||||
Options
exercisable at March 31, 2007
|
1,638,750
|
$
|
7.36
|
Exercise
Price Range
|
Outstanding
|
Exercisable
|
Remaining
Life
In
Years
|
Weighted
Average
Exercise
Price
|
|||||||||
$5.35
- $ 7.55
|
1,068,750
|
1,068,750
|
6.3
|
$
|
6.21
|
||||||||
$7.56
- $10.00
|
570,000
|
570,000
|
6.5
|
$
|
9.51
|
||||||||
Total
|
1,638,750
|
1,638,750
|
6.4
|
$
|
7.36
|
Three
Months Ended
March
31,
|
|||||||
(in
thousands)
|
2007
|
2006
|
|||||
Net
income/(loss)
|
$
|
202
|
$
|
(1,382
|
)
|
||
Increase/(decrease)in
unrealized
|
|||||||
gain(loss)on
marketable securities
|
(10
|
)
|
36
|
||||
Comprehensive
income/(loss)
|
$
|
192
|
$
|
(1,346
|
)
|
Net
Operating Loss
|
Capital
Loss
|
||||||
Expiration
Dates
December
31
|
Amount
(000’s)
|
Amount
(000’s)
|
|||||
2007
|
$
|
-
|
$
|
12,435
|
|||
2008
|
-
|
1,599
|
|||||
2009
|
|
2,437
|
|||||
2010
|
7,417
|
||||||
2011
|
7,520
|
||||||
2012
|
5,157
|
||||||
2020
|
29,533
|
||||||
2021
|
50,430
|
||||||
2022
|
115,000
|
||||||
2023
|
5,712
|
||||||
2024
|
3,566
|
||||||
2025
|
1,707
|
||||||
2026
|
476
|
||||||
Total
|
|
228,955
|
|
14,034
|
|||
Section
382 limitation
|
(6,152
|
)
|
-
|
||||
After
Limitations
|
$
|
222,803
|
$
|
14,034
|
Exhibit
Number
|
Exhibit
|
31.1
|
Certification
of Principal Executive Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
|
31.2
|
Certification
of Principal Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
|
32.1
|
Certification
of Principal Executive Officer pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
|
32.2
|
Certification
of Principal Financial Officer pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
|
CLARUS CORPORATION | ||
Date: May 9, 2007 |
|
|
/s/ Warren B. Kanders | ||
Warren B. Kanders, |
||
Executive Chairman of the Board of Directors | ||
(Principal Executive Officer) |
/s/ Philip A. Baratelli | ||
Philip A. Baratelli, |
||
Chief Financial Officer | ||
(Principal Financial Officer) |
Number
|
Exhibit
|
31.1
|
Certification
of Principal Executive Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
|
31.2
|
Certification
of Principal Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
|
32.1
|
Certification
of Principal Executive Officer pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
|
32.2
|
Certification
Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002.
|