-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, DuAFUGRbo09cz1U+p82SkFDb0nElXbdMNMrlH97iHmMHmqDLTXxv7+FwdlSNRoB3 jm+sRuTEbf74A1yWTWstew== 0001035704-03-000459.txt : 20030627 0001035704-03-000459.hdr.sgml : 20030627 20030627104229 ACCESSION NUMBER: 0001035704-03-000459 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030620 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030627 FILER: COMPANY DATA: COMPANY CONFORMED NAME: QUALMARK CORP CENTRAL INDEX KEY: 0001006691 STANDARD INDUSTRIAL CLASSIFICATION: LABORATORY APPARATUS & FURNITURE [3821] IRS NUMBER: 841232688 STATE OF INCORPORATION: CO FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-28484 FILM NUMBER: 03759855 BUSINESS ADDRESS: STREET 1: 1329 W 121 AVE CITY: DENVER STATE: CO ZIP: 80234 BUSINESS PHONE: 3032548800 MAIL ADDRESS: STREET 1: 1329 WEST 121ST AVENUE CITY: DENVER STATE: CO ZIP: 80234 8-K 1 d07053e8vk.txt FORM 8-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C., 20549 -------- FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 DATE OF REPORT: JUNE 20, 2003 (Date of earliest event reported) ---------------------- QUALMARK CORPORATION - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) ---------------------- COLORADO 0-28484 84-1232688 ------------------------------- ---------------- -------------------- (State or other jurisdiction of (Commission (IRS Employer incorporation or organization) File Number) Identification No.) 4580 FLORENCE STREET, DENVER, COLORADO 80238 ---------------------------------------------------------------- (Address of principal executive offices, zip code) (303) 245-8800 ---------------------------------------------- (Registrant's telephone number, including area code) ITEM 5. OTHER EVENTS On June 20, 2003, the Registrant received the arbitration decision regarding claims brought by Gregg K. Hobbs. Dr. Hobb's original arbitration demand, dated May 31, 2001, alleged that the Company breached several provisions in the September 30, 1995 separation agreement, executed between Dr. Hobbs and the Registrant. The arbitrator found damages totaling $261,650, including interest, in favor of Dr. Hobbs for the breach of certain provisions of the agreement. The arbitrator also confirmed that certain claims of breaches originally alleged by Dr. Hobbs were dismissed. Based on the decision, both parties can make respective requests for attorneys' fees and costs for the claims on which each party prevailed, which must be filed by July 11, 2003. On June 23, 2003, Dr. Hobbs filed an application for confirmation of the arbitration decision in the District Court for the City and County of Denver, Colorado. The Registrant and its counsel are evaluating the arbitration ruling, as well as the impact it will have on the other pending litigation with Dr. Hobbs. The Registrant is also evaluating the impact of the damages, legal fees, and payment timing on its financial position, which could be material depending on the outcome of these matters. ITEM 7. FINANCIAL STATEMENT AND EXHIBITS (c) Exhibits. 99.1 Press Release dated June 27, 2003, announcing the arbitration decision regarding claims brought by Gregg K. Hobbs. SIGNATURES Pursuant to the requirement of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. QUALMARK CORPORATION (Registrant) Date: June 27, 2003 By: /s/ CHARLES D. JOHNSTON ----------------------------------- Charles D. Johnston President & CEO EXHIBIT INDEX Exhibits. 99.1 Press Release dated June 27, 2003, announcing the arbitration decision regarding claims brought by Gregg K. Hobbs.
EX-99.1 3 d07053exv99w1.txt PRESS RELEASE FOR IMMEDIATE RELEASE: EXHIBIT 99.1 QUALMARK CORPORATION RECEIVES ARBITRATION DECISION DENVER--June 27, 2003--QualMark Corporation (OTCBB: QMRK) today announced that a decision was received from the arbitrator based on claims brought by Gregg K. Hobbs. Dr. Hobb's original arbitration demand, dated May 31, 2001, alleged that the Company breached several provisions in the September 30, 1995 separation agreement, executed between Dr. Hobbs and QualMark. The arbitrator found damages totaling $261,650, including interest, in favor of Dr. Hobbs for the breach of certain provisions of the September 30, 1995 separation agreement. The arbitrator also confirmed that certain claims for breaches originally alleged by Dr. Hobbs were dismissed. Based on the decision, both parties can make respective requests for attorneys' fees and costs for the claims on which each party prevailed, which must be filed by July 11, 2003. On June 23, 2003, Dr. Hobbs filed an application for confirmation of the arbitration decision in the District Court for the City and County of Denver, Colorado. "The Company is extremely positive about the outcome of the arbitration. Although we continue to believe that we did not breach the 1995 agreement or cause damages to entitle Hobbs to recovery, we were pleased that the arbitration decision resulted in minimal damages of only 2% of the total damages Hobbs had requested at the hearing," said Charles D. Johnston, President and CEO of QualMark. "Finally we are able to put this arbitration behind us, move forward and continue to focus on our business," Mr. Johnston concluded. QualMark and its counsel are evaluating the arbitration ruling, as well as the impact it will have on the other pending litigation with Dr. Hobbs. QualMark is also evaluating the impact of the damages, legal fees, and payment timing on its financial position, which could be material depending on the outcome of these matters. QualMark Corporation, headquartered in Denver, Colorado is the leader in designing, marketing, and manufacturing accelerated life-testing systems, which provides the World's largest corporations with products that improve product reliability and allow a faster time to market. The Company has installed more than 450 of its proprietary testing systems in 18 countries and operates four of its own testing and consulting facilities in Denver, Colo., Santa Clara, Calif., Hopkinton, Mass., and Huntington Beach, Calif. In Detroit Michigan, the Company has a strategic alliance with a large testing facility. QualMark has also formed international ARTC alliances in the UK, Ireland, the Netherlands, Italy, France and Sweden. The Company also offers engineering services and products that complement the core technologies of QualMark and other test equipment providers. The statements included in this press release concerning the potential impact of the Hobb's arbitration on the Company's financial condition and management's view of the litigation constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. These statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission filings, the arbitrator's decision on awarding attorneys' fees and costs, the impact of the arbitration ruling on the Company's other pending litigation with Dr. Hobbs, the Company's future cash flows, timing of any payment required to be made to Dr. Hobbs and other factors. Contact: - ------------------------------------- QualMark Corporation Charles Johnston, President and CEO Anthony Scalese, CFO 303/254-8800 www.qualmark.com -----END PRIVACY-ENHANCED MESSAGE-----