ATLANTA, Dec. 5, 2011 (GLOBE NEWSWIRE) -- PRGX Global, Inc. (Nasdaq:PRGX), the world's leading provider of recovery audit services and the pioneer in Profit DiscoveryTM, today announced that on December 1, 2011, it granted inducement equity awards outside the Company's equity plans to a new PRGX employee. The grants were approved by the compensation committee of the Company's board of directors, which committee is comprised solely of independent directors, and were granted as an inducement material to the new employee entering into employment with the Company in accordance with Nasdaq Listing Rule 5635(c)(4).
Grants to the new employee, Mathias Herzog, Managing Director, Advisory Services, consisted of 100,000 shares of restricted stock, as well as options to purchase 100,000 shares of the Company's common stock with a seven-year term and an exercise price equal to $5.81 per share, the closing price of the common stock on the grant date. The restricted stock vests, if at all, over a period from January 31, 2013 through January 31, 2016 depending on both the employee's continued employment with the Company and the employee's achievement of certain advisory services revenue and margin criteria during the period from December 1, 2011 through December 31, 2015. Twenty-five percent of the options vest on each of the first, second, third and fourth anniversaries of the grant date, subject to the employee's continued employment with the Company over such period. The restricted stock and options also vest in full in the event of a change in control of the Company on or before January 31, 2016, provided the employee remains continuously employed by the Company until such event.
About PRGX Global, Inc.
Headquartered in Atlanta, Georgia, PRGX Global, Inc. is the world's leading provider of recovery audit services. With approximately 1,500 employees, the Company operates and serves clients in more than 30 countries and provides its services to over 75% of the top 30 global retailers. PRGX is also pioneering Profit Discovery, a unique combination of audit, analytics and advisory services that improves client financial performance. For additional information, please visit PRGX at www.prgx.com.
Forward-Looking Statements
In addition to historical information, this press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include both implied and express statements regarding the Company's financial condition, growth strategy, business development efforts, service offerings and service delivery models. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from the historical results or from any results expressed or implied by such forward-looking statements. Risks that could affect the Company's future performance include revenues that do not meet expectations or justify costs incurred, the Company's ability to develop material sources of new revenue in addition to revenues from its core accounts payable recovery audit services, changes in the market for the Company's services, the Company's ability to retain and attract qualified personnel, changes to Medicare and Medicaid recovery audit contractor programs, the Company's ability to integrate recent and future acquisitions, uncertainty in the credit markets, the Company's ability to maintain compliance with its financial covenants, client bankruptcies, loss of major clients, and other risks generally applicable to the Company's business. For a discussion of other risk factors that may impact the Company's business, please see the Company's filings with the Securities and Exchange Commission, including its Form 10-K filed on March 16, 2011. The Company disclaims any obligation or duty to update or modify these forward-looking statements.