Attached files

file filename
EX-99.1 - EX-99.1 - Verso Corpd397285dex991.htm

 

 

UNITED STATES

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 (Date of earliest event reported): May 12, 2017

 

 

VERSO CORPORATION

(Exact name of registrant as specified in its charter)

 

 

 

Delaware   001-34056   75-3217389

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification Number)

8540 Gander Creek Drive

Miamisburg, Ohio 45342

(Address of principal executive offices) (zip code)

(877) 855-7243

(Registrant’s telephone number, including area code)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

   Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
   Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
   Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company   ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   ☐

 

 

 


Item 5.07 Submission of Matters to a Vote of Security Holders.

Verso Corporation (“Verso”) held its 2017 Annual Meeting of Stockholders (the “Annual Meeting”) on May 12, 2017. At the Annual Meeting, Verso’s stockholders (1) elected seven persons – Robert M. Amen, Alan J. Carr, Eugene I. Davis, B. Christopher DiSantis, Jerome L. Goldman, Steven D. Scheiwe and Jay Shuster – to serve as directors of Verso until its 2018 Annual Meeting of Stockholders and until their respective successors are elected and qualified; (2) approved, on an advisory basis, the compensation of Verso’s named executive officers as disclosed in the Proxy Statement dated April 12, 2017 (the “Proxy Statement”) pursuant to the compensation disclosure rules of the Securities and Exchange Commission; (3) approved, on an advisory basis, Verso conducting an advisory stockholder vote to approve the compensation of its named executive officers every year; and (4) ratified the appointment of Deloitte & Touche LLP to serve as Verso’s independent registered public accounting firm for the year ending December 31, 2017. The proposals considered and acted upon by Verso’s stockholders at the Annual Meeting are described in detail in the Proxy Statement. The tabulations of the stockholders’ votes cast at the Annual Meeting with respect to the proposals are as follows:

 

1. Election of seven persons to serve as directors of Verso until its 2018 Annual Meeting of Stockholders and until their respective successors are elected and qualified:

 

Nominee

 

For

 

Withhold

 

Broker Non-Votes

Robert M. Amen

  15,504,535   6,682,813   3,733,822

Alan J. Carr

  16,661,235   5,526,113   3,733,822

Eugene I. Davis

  19,155,874   3,031,474   3,733,822

B. Christopher DiSantis

  22,161,352        25,996   3,733,822

Jerome L. Goldman

  22,161,318        26,030   3,733,822

Steven D. Scheiwe

  22,161,191        26,157   3,733,822

Jay Shuster

  22,161,357        25,991   3,733,822

Stockholders were not provided the option to abstain from voting on this proposal.

 

2. Approval, on an advisory basis, of the compensation of Verso’s named executive officers as disclosed in the Proxy Statement:

 

For

 

Against

 

Abstain

 

Broker Non-Votes

20,486,656

  1,227,337   473,355   3,733,822

 

3. Approval, on an advisory basis, of the frequency – every one, two or three years – with which Verso will conduct an advisory stockholder vote to approve the compensation of its named executive officers:

 

1 Year

 

2 Years

 

3 Years

 

Abstain

 

Broker Non-Votes

21,250,545

  909   473,729   462,165   3,733,822

Consistent with these results, Verso will conduct an advisory stockholder vote to approve the compensation of its named executive officers every year until the next required advisory stockholder vote on the frequency with which Verso will conduct an advisory stockholder vote on executive compensation.


4. Ratification of the appointment of Deloitte & Touche LLP to serve as Verso’s independent registered public accounting firm for the year ending December 31, 2017:

 

For

 

Against

 

Abstain

 

Broker Non-Votes

24,709,803

  1,208,489   2,878  

 

Item 7.01 Regulation FD Disclosure.

At the conclusion of the Annual Meeting, B. Christopher DiSantis, the President and Chief Executive Officer and a director of Verso, delivered a statement addressing Verso’s performance in 2016 and its priorities in 2017 and beyond. A copy of Mr. DiSantis’ statement is included as Exhibit 99.1 to this report.

During his statement, Mr. DiSantis referenced Verso’s Adjusted EBITDA for the fiscal year ended December 31, 2016. The table set forth below reconciles net (loss) income to Adjusted EBITDA for the fiscal year ended December 31, 2016.

 

     Predecessor                  Successor  
(Dollars in millions)    January 1, 2016
Through
July 14,

2016
                 July 15, 2016
Through
December 31,

2016
 

Net (loss) income

   $ 1,178            $ (32

Income tax expense

     —                (20

Interest expense, net

     39              17  

Depreciation, amortization, and depletion

     100              93  
  

 

 

          

 

 

 

EBITDA

   $ 1,317            $ 58  

Adjustments to EBITDA:

           

Reorganization items, net (1)

     (1,338            —    

Restructuring charges (2)

     151              11  

Fresh-start accounting adjustments (3)

     3              46  

Losses (gains) on disposal of assets (4)

     (57            2  

Pre- and post-reorganization costs (5)

     6              8  

Other items, net (6)

     13              8  
  

 

 

          

 

 

 

Adjusted EBITDA

   $ 95            $ 133  
  

 

 

          

 

 

 

 

  (1) Net gains associated with the Chapter 11 cases.
  (2) Charges are primarily associated with the closure of the Wickliffe mill, of which $137 million is non-cash.
  (3) Non-cash charges related to the one-time impacts of adopting fresh-start accounting.
  (4) Realized losses (gains) on the sale of assets, which are primarily attributable to the sale of hydroelectric facilities in January 2016.
  (5) Costs incurred in connection with advisory and legal services related to planning for and emerging from the Chapter 11 cases.
  (6) Amortization of non-cash incentive compensation, unrealized losses (gains) on energy-related derivative contracts, Wickliffe operating costs while idled, and miscellaneous other non-recurring adjustments.

The information included in this Item 7.01, including Exhibit 99.1, is furnished pursuant to Item 7.01, is not to be considered “filed” under the Securities Exchange Act of 1934, as amended, and shall not be incorporated by reference into any of Verso’s previous or future filings under the Securities Act of 1933, as amended.


Item 9.01 Financial Statements and Exhibits.

 

  (d) Exhibits

 

Exhibit
Number

 

Description

99.1   Statement by B. Christopher DiSantis delivered at the Annual Meeting on May 12, 2017.


SIGNATURE

Pursuant to the requirements 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.

Date: May 18, 2017

 

VERSO CORPORATION

By:

  /s/ Peter H. Kesser
 

 

  Peter H. Kesser
  Senior Vice President,
  General Counsel and Secretary


EXHIBIT INDEX

 

Exhibit
Number

 

Description

99.1   Statement by B. Christopher DiSantis delivered at the Annual Meeting on May 12, 2017.