Delaware
|
58-1972600
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(State
or other jurisdiction of
|
(I.R.S.
Employer Identification Number)
|
incorporation
or organization)
|
|
Page
|
||||
PART
I
|
FINANCIAL
INFORMATION
|
|||
Item
1.
|
Financial
Statements
|
|||
Condensed
Consolidated Balance Sheets - March 31,
|
||||
2008
(unaudited) and December 31, 2007
|
1
|
|||
Condensed
Consolidated Statements of Operations (unaudited) -
|
||||
Three
months ended March 31, 2008 and 2007
|
2
|
|||
Condensed
Consolidated Statements of Cash Flows (unaudited) -
|
||||
Three
months ended March 31, 2008 and 2007
|
3
|
|||
Notes
to Unaudited Condensed Consolidated Financial Statements
|
4
|
|||
Item
2.
|
Management's
Discussion and Analysis of Financial Condition
|
|||
and
Results of Operations
|
10
|
|||
Item
3.
|
Quantitative
and Qualitative Disclosures about Market Risk
|
13
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||
Item
4.
|
Procedures
and Controls
|
13
|
||
PART
II
|
OTHER
INFORMATION
|
|||
Item
1A.
|
Risk
Factors
|
14
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||
Item
6.
|
Exhibits
|
14
|
||
SIGNATURE
PAGE
|
14
|
|||
EXHIBIT
INDEX
|
15
|
MARCH
31,
|
DECEMBER
31,
|
||||||
2008
|
2007
|
||||||
(unaudited)
|
|||||||
ASSETS
|
|||||||
CURRENT
ASSETS:
|
|||||||
Cash
and cash equivalents
|
$
|
22,393
|
$
|
41,886
|
|||
Marketable
securities
|
64,561
|
45,223
|
|||||
Interest
receivable
|
3
|
15
|
|||||
Prepaids
and other current assets
|
83
|
175
|
|||||
Total
current assets
|
87,040
|
87,299
|
|||||
PROPERTY
AND EQUIPMENT, NET
|
1,293
|
1,381
|
|||||
TOTAL
ASSETS
|
$
|
88,333
|
$
|
88,680
|
|||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||
CURRENT
LIABILITIES:
|
|||||||
Accounts
payable and accrued liabilities
|
$
|
370
|
$
|
618
|
|||
Total
current liabilities
|
370
|
618
|
|||||
Deferred
rent
|
360
|
343
|
|||||
Total
liabilities
|
730
|
961
|
|||||
STOCKHOLDERS'
EQUITY:
|
|||||||
Preferred
stock, $.0001 par value; 5,000,000 shares authorized; none
|
|||||||
issued
|
—
|
—
|
|||||
Common
stock, $.0001 par value; 100,000,000 shares authorized;
|
|||||||
17,441,747
and 17,226,747 shares issued and 17,366,747 and 17,151,747
|
|||||||
outstanding
in 2008 and 2007, respectively
|
2
|
2
|
|||||
Additional
paid-in capital
|
370,026
|
369,827
|
|||||
Accumulated
deficit
|
(282,538
|
)
|
(282,121
|
)
|
|||
Treasury
stock, at cost
|
(2
|
)
|
(2
|
)
|
|||
Accumulated
other comprehensive gain
|
115
|
13
|
|||||
Total
stockholders' equity
|
87,603
|
87,719
|
|||||
TOTAL
LIABILITIES AND STOCKHOLDERS' EQUITY
|
$
|
88,333
|
$
|
88,680
|
THREE
MONTHS ENDED
|
|||||||
MARCH
31,
|
|||||||
2008
|
2007
|
||||||
REVENUES:
|
$
|
—
|
$
|
—
|
|||
Total
revenues
|
—
|
—
|
|||||
OPERATING
EXPENSES:
|
|||||||
General
and administrative
|
1,150
|
784
|
|||||
Depreciation
expense
|
89
|
90
|
|||||
Total
operating expenses
|
1,239
|
874
|
|||||
OPERATING
LOSS
|
(1,239
|
)
|
(874
|
)
|
|||
OTHER
EXPENSE
|
—
|
(1
|
)
|
||||
INTEREST
INCOME
|
822
|
1,077
|
|||||
NET
(LOSS)/INCOME
|
$
|
(417
|
)
|
$
|
202
|
||
(Loss)/income
per common share:
|
|||||||
Basic
|
$
|
(0.02
|
)
|
$
|
0.01
|
||
Diluted
|
$
|
(0.02
|
)
|
$
|
0.01
|
||
Weighted
average common shares outstanding:
|
|||||||
Basic
|
16,867
|
16,620
|
|||||
Diluted
|
16,867
|
16,990
|
THREE
MONTHS ENDED
|
|||||||
MARCH
31,
|
|||||||
2008
|
2007
|
||||||
CASH
FLOWS FROM OPERATING ACTIVITIES:
|
|||||||
Net
(loss)/income
|
$
|
(417
|
)
|
$
|
202
|
||
Adjustments
to reconcile net (loss)/income to net cash used in operating
activities:
|
|||||||
Depreciation
on property and equipment
|
89
|
90
|
|||||
Amortization
of equity compensation plans
|
198
|
67
|
|||||
Amortization
of discount and premium on securities, net
|
(595
|
)
|
(714
|
)
|
|||
Changes
in operating assets and liabilities:
|
|||||||
Decrease/(increase)
in interest receivable, prepaids and
|
|||||||
other
current assets
|
104
|
(107
|
)
|
||||
(Decrease)/increase
in accounts payable and accrued liabilities
|
(248
|
)
|
8
|
||||
Increase
in deferred rent
|
17
|
16
|
|||||
NET
CASH USED IN OPERATING ACTIVITIES
|
(852
|
)
|
(438
|
)
|
|||
CASH
FLOWS FROM INVESTING ACTIVITIES:
|
|||||||
Purchase
of marketable securities
|
(27,641
|
)
|
(27,261
|
)
|
|||
Proceeds
from maturity of marketable securities
|
9,000
|
43,040
|
|||||
Sale
of property and equipment
|
—
|
2
|
|||||
Purchase
of property and equipment
|
—
|
(23
|
)
|
||||
NET
CASH (USED IN)/PROVIDED BY INVESTING ACTIVITIES
|
(18,641
|
)
|
15,758
|
||||
CASH
FLOWS FROM FINANCING ACTIVITIES:
|
|||||||
NET
CASH PROVIDED BY FINANCING ACTIVITIES
|
—
|
—
|
|||||
CHANGE
IN CASH AND CASH EQUIVALENTS
|
(19,493
|
)
|
15,320
|
||||
CASH
AND CASH EQUIVALENTS, beginning of period
|
41,886
|
1,731
|
|||||
CASH
AND CASH EQUIVALENTS, end of period
|
$
|
22,393
|
$
|
17,051
|
|||
SUPPLEMENTAL
DISCLOSURE:
|
|||||||
Cash
paid for franchise and property taxes
|
$
|
161
|
$
|
141
|
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2008
|
2007
|
||||||
Basic
earnings per share
|
|||||||
calculation:
|
|||||||
Net
(loss) income
|
$
|
(417
|
)
|
$
|
202
|
||
Weighted
average
|
|||||||
common
shares - basic
|
16,867
|
16,620
|
|||||
Basic
net (loss) income
|
|||||||
per
share
|
$
|
(0.02
|
)
|
$
|
0.01
|
||
Diluted
earnings per share
|
|||||||
calculation:
|
|||||||
Net
(loss) income
|
$
|
(417
|
)
|
$
|
202
|
||
Weighted
average
|
|||||||
common
shares - basic
|
16,867
|
16,620
|
|||||
Effect
of dilutive stock
|
|||||||
options
|
—
|
141
|
|||||
Effect
of dilutive restricted
|
|||||||
stock
|
—
|
229
|
|||||
Weighted
average
|
|||||||
common
shares
|
|||||||
diluted
|
16,867
|
16,990
|
|||||
Diluted
net (loss)
|
|||||||
income
per share
|
$
|
(0.02
|
)
|
$
|
0.01
|
Weighted
|
|||||||
Average
|
|||||||
Options
|
Exercise
Price
|
||||||
Outstanding
at December 31, 2007
|
1,848,750
|
$
|
7.24
|
||||
Granted
|
—
|
—
|
|||||
Exercised
|
—
|
—
|
|||||
Forfeited
|
—
|
—
|
|||||
Outstanding
at March 31, 2008
|
1,848,750
|
$
|
7.24
|
||||
Options
exercisable at March 31, 2008
|
1,531,250
|
$
|
7.50
|
Weighted
|
|||||||||||||
Remaining
Life
|
Average
|
||||||||||||
Exercise
Price Range
|
Outstanding
|
Exercisable
|
In
Years
|
Exercise
Price
|
|||||||||
$5.35
- $ 6.06
|
893,750
|
576,250
|
7.0
|
$
|
5.56
|
||||||||
$6.07
- $10.00
|
955,000
|
955,000
|
6.5
|
$
|
8.68
|
||||||||
1,848,750
|
1,531,250
|
6.4
|
$
|
7.50
|
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2008
|
2007
|
||||||
(in
thousands)
|
|||||||
Net
(loss)/income
|
$
|
(417
|
)
|
$
|
202
|
||
Increase
in unrealized
|
|||||||
gain
(loss) on marketable securities
|
102
|
(10
|
)
|
||||
Comprehensive
(loss)/income
|
$
|
(315
|
)
|
$
|
192
|
Net
Operating Loss
|
Capital
Loss
|
||||||
Expiration
Dates
December
31
|
Amount
(000’s)
|
Amount
(000’s)
|
|||||
2008
|
-
|
1,599
|
|||||
2009
|
1900
|
||||||
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
|
||||||
2028
|
132
|
||||||
Total
|
228,550
|
1,599
|
|||||
Section
382 limitation
|
(5,164
|
)
|
-
|
||||
After
Limitations
|
$
|
223,386
|
$
|
1,599
|
ITEM 2. |
MANAGEMENT'S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
|
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 5, 2008
|
/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.
|