SPECTRUM GROUP INTERNATIONAL ANNOUNCES NEW THREE-YEAR CONTRACT FOR PRESIDENT AND CEO GREG ROBERTS
~JOINS FORTUNE 500~
~OBTAINS $7.5 MILLION LINE OF CREDIT~
Irvine, CA – Spectrum Group International, Inc. (SPGZ.PK) announced today that it has entered into a new employment agreement with SGI President and Chief Executive Officer Greg Roberts. Mr. Roberts will also continue to serve as a member of the SGI Board.
In addition the Company announced that it has joined the Fortune 500 group of America’s largest companies. SGI is ranked at number 480, with $4.3 billion in annual revenue for 2009 and earnings per share of 23 cents on net income of $7.1 million.
In making the announcement, the SGI Board cited Mr. Roberts’ strong operational and financial leadership. "Greg is a great leader who has demonstrated an extraordinary and consistent ability to deliver results over his ten years with the Company, first as head of our West Coast operations for eight years and then as President and CEO of SGI as a whole," said SGI Executive Chairman Antonio Arenas. "Greg has strengthened SGI’s brands, instituted operational initiatives, forged important long-term relationships with customers and other partners, and driven several significant acquisitions. Most important, he has revived our creative spirit. With nearly 30 years of industry experience and a unique connection to SGI, Greg has the perspective and the vision to lead SGI to new levels of success for many years to come."
A significant portion of Mr. Roberts’ compensation is in the form of a performance-based bonus, which is subject to the achievement of certain financial targets. Compensation Committee Chairman Jay Moorhead commented, “Our primary goal in reaching a new agreement with Greg was to align his interests with those of the SGI’s shareholders. With this agreement, I think we have achieved this goal.”
Mr. Roberts said, "I have had the privilege of leading an incredible team in a job that I truly love and a business that I am passionate about. I look forward to guiding the Company into the bright future we see ahead.”
Mr. Roberts continued, “We are obviously very pleased to join the Fortune 500. After several very challenging years for our company and the economy as a whole, we feel especially proud that we were able to excel during these difficult times and come out strong. The Spectrum Group International family of companies has grown tremendously in the past 18 months, in both our collectibles divisions and especially our metals trading company, A-Mark Precious Metals. This is a true milestone for us.”
“I am also pleased to report that three of our collectibles subsidiaries have obtained a $7.5 million line of credit from Brown Brothers Harriman & Co.,” Mr. Roberts added. “This line, which is secured by certain assets and guaranteed by SGI, will be used for working capital purposes, including customer advances at our Spectrum Numismatics, Bowers and Merena, and Teletrade units. The line will give us the flexibility to take strategic steps to support the growth of our collectibles operations. Brown Brothers has provided credit to A-Mark since 1997, and we are very pleased at the expansion of this long standing relationship.”
Mr. Roberts was named President and CEO of SGI in March 2008. The new contract extends the term of his employment by three years, through June 30, 2013. His previous agreement was set to expire in June 2010. Terms of the employment agreement are available in filings with the Securities and Exchange Commission. In addition to his role as President and Chief Executive Officer of SGI, Mr. Roberts has served on the Company's Board of Directors since 2000, and has worked for SGI and its subsidiaries since 1991.
