Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
On January 11, 2022, BK Technologies Corporation (the "Company") announced the
upcoming retirement of its current Chief Financial Officer, William P. Kelly. As
of the date of this Report, the Company was actively searching for Mr. Kelly's
replacement. The Company anticipates that Mr. Kelly's retirement will be
effective when his replacement begins full time work with the Company, but no
later than June 30, 2022. The Company will file a subsequent current report on
Form 8-K when Mr. Kelly's retirement is effective and his replacement has been
appointed.
In connection with Mr. Kelly's retirement, on January 11, 2022, the Company and
Mr. Kelly entered into a Separation Agreement and General Release ("Separation
Agreement"). Pursuant to the Separation Agreement, upon Mr. Kelly's retirement,
the Company will pay to Mr. Kelly one hundred sixty-six thousand eighty-seven
dollars and fifty cents ($166,087.50), which amounts to nine months of
compensation at Mr. Kelly's current normal base pay rate, less taxes, social
security and other required withholdings, to be paid in bi-weekly increments in
accordance with the Company's regular payroll practices. Also pursuant to the
Separation Agreement, upon Mr. Kelly's retirement, the Company will pay or
reimburse the monthly premium or cost of COBRA health care coverage
(approximately $1,119.96 monthly) for Mr. Kelly's wife, until August 7, 2022.
Pursuant to the Separation Agreement, Mr. Kelly granted a general release to the
Company from any and all claims (known or unknown), rights, or demands that Mr.
Kelly has or may have against the Company and other released parties described
in the Separation Agreement. In the Separation Agreement, Mr. Kelly was given
required opportunities to seek advice of counsel and to revoke the Separation
Agreement.
The preceding description of the Separation Agreement is a summary of its
material terms, does not purport to be complete, and is qualified in its
entirety by reference to the Separation Agreement, a copy of which is being
filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated
herein by reference.
Item 7.01 Regulation FD Disclosure
On January 11, 2022, the Company issued a press release announcing the planned
retirement of Mr. Kelly. A copy of the press release is furnished herewith as
Exhibit 99.1.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
Exhibit No. Description of Exhibit
10.1 Separation Agreement and General Release
99.1 Press Release dated January 11, 2022
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