X0304 4 2012-01-30 0 0001004608 PINNACLE DATA SYSTEMS INC PNS 0001114447 BAIR JOHN D 6600 PORT ROAD GROVEPORT OH 43125 1 1 1 0 President, CEO and CTIO Common stock 2012-01-30 4 D 0 1149344 2.40 D 0 D Stock option 3.30 2012-01-30 4 D 0 150000 3.30 D 2005-11-17 2015-05-03 Common stock 150000 347500 D Stock option 1.00 2012-01-30 4 D 0 2500 1.00 D 2009-08-11 2018-08-11 Common stock 2500 345000 D Stock option 1.00 2012-01-30 4 D 0 5000 1.00 D 2010-08-11 2018-08-11 Common stock 5000 340000 D Stock option 1.00 2012-01-30 4 D 0 7500 1.00 D 2011-08-11 2018-08-11 Common stock 7500 332500 D Stock option 1.00 2012-01-30 4 D 0 10000 1.00 D 2012-08-11 2018-08-11 Common stock 10000 322500 D Stock option 0.51 2012-01-30 4 D 0 7500 0.51 D 2010-05-26 2019-05-26 Common stock 7500 315000 D Stock option 0.51 2012-01-30 4 D 0 7500 0.51 D 2011-05-26 2019-05-26 Common stock 7500 307500 D Stock option 0.51 2012-01-30 4 D 0 7500 0.51 D 2012-05-26 2019-05-26 Common stock 7500 300000 D Stock option 1.35 2012-01-30 4 D 0 75000 1.35 D 2011-10-29 2020-10-29 Common stock 75000 225000 D Stock option 1.35 2012-01-30 4 D 0 75000 1.35 D 2012-10-29 2020-10-29 Common stock 75000 150000 D Stock option 1.35 2012-01-30 4 D 0 75000 1.35 D 2013-10-29 2020-10-29 Common stock 75000 75000 D Stock option 1.35 2012-01-30 4 D 0 75000 1.35 D 2014-10-29 2020-10-29 Common stock 75000 0 D Pursuant to the Agreement and Plan of Merger, dated November 10, 2011 ("Merger Agreement") by and among Pinnacle Data Systems, Inc. (the "Company"), Avnet, Inc. ("Avnet") and AIR Acquisition Corp., a wholly-owned subsidiary of Avnet ("Merger Sub"), on January 30, 2012, Merger Sub merged with and into the Company (the "Merger"), and effective upon the consummation of the Merger each share of common stock of the Company that was issued and outstanding as of immediately prior to the effective time of the Merger was converted into the right to receive $2.40 in cash, without interest. Pursuant to the Merger Agreement, each issued and outstanding option to purchase shares of Company common stock was vested in full as of immediately prior to the Merger, and each holder of an option has the right to receive an amount in cash equal to the excess, if any, of $2.40 (without interest) over the exercise price per share of such option. John D. Bair 2012-01-31