| | You are cordially invited to attend the Annual Meeting online. Whether or not you expect to attend the Annual Meeting, please vote as soon as possible. We encourage you to vote via the Internet or by telephone. You may also vote your shares online and submit your questions during the Annual Meeting. Instructions on how to vote while participating at the Annual Meeting live via the Internet are posted at https://www.viewproxy.com/IdealPower/2023/VM and can be found in the proxy statement in the section entitled “Questions and Answers about This Proxy Material and Voting — How can I attend and vote at the Annual Meeting?”. | | |
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Name
|
| |
Position(s) with the Company
|
| |
Age
|
| |
Director
Since |
|
R. Daniel Brdar | | | President, Chief Executive Officer and Director | | |
63
|
| |
2014
|
|
Drue Freeman | | | Director | | |
60
|
| |
2022
|
|
Gregory Knight | | | Director | | |
48
|
| |
2022
|
|
Ted Lesster | | | Director | | |
85
|
| |
2018
|
|
Michael C. Turmelle | | | Chairman of the Board | | |
64
|
| |
2017
|
|
| |
THE BOARD RECOMMENDS VOTING “FOR” EACH
OF THE NOMINEES FOR DIRECTOR |
| |
| | |
Male
|
| |||
Total Number of Directors
|
| | | | 5 | | |
Part I: Gender Identity | | | | | | | |
Directors .
|
| | | | 5 | | |
Part II: Demographic Background | | | | | | | |
White
|
| | | | 5 | | |
Director
|
| |
Audit
Committee |
| |
Compensation
Committee |
| |
Nominating and
Corporate Governance Committee |
|
Drue Freeman
|
| |
|
| | | | |
|
|
Gregory Knight
|
| |
|
| |
|
| |
|
|
Ted Lesster
|
| | | | |
|
| |
|
|
Michael C. Turmelle | | |
|
| |
|
| | | |
R. Daniel Brdar | | |
—
|
| |
—
|
| |
—
|
|
Total Meetings in 2022 | | |
8
|
| |
6
|
| |
6
|
|
|
Chair
|
| |
Member
|
| |
Financial Expert
|
|
Name
|
| |
Fees Earned or
Paid in Cash ($) |
| |
Option
Awards ($)(1) |
| |
Total
($) |
| |||||||||
Drue Freeman(2)
|
| | | $ | 45,000 | | | | | $ | 60,000 | | | | | $ | 105,000 | | |
Gregory Knight(2)
|
| | | $ | 45,000 | | | | | $ | 60,000 | | | | | $ | 105,000 | | |
Ted Lesster
|
| | | $ | 60,000 | | | | | $ | 60,000 | | | | | $ | 120,000 | | |
Michael C. Turmelle(3)
|
| | | $ | 65,000 | | | | | $ | 60,000 | | | | | $ | 125,000 | | |
Name
|
| |
Number of Vested
Stock Options |
| |
Number of Unvested
Stock Options |
| ||||||
Drue Freeman
|
| | | | 8,983 | | | | | | — | | |
Gregory Knight
|
| | | | 8,983 | | | | | | — | | |
Ted Lesster
|
| | | | 34,821 | | | | | | — | | |
Michael C. Turmelle
|
| | | | 45,731 | | | | | | — | | |
Name
|
| |
Age
|
| |
Position(s) with the Company
|
|
R. Daniel Brdar | | |
63
|
| | President, Chief Executive Officer and Director | |
Timothy W. Burns, CPA | | |
48
|
| | Chief Financial Officer, Secretary and Treasurer | |
Name and Principal Position
|
| |
Year
|
| |
Salary
($) |
| |
Bonus
($)(1) |
| |
Stock
Awards ($)(2) |
| |
All Other
Compensation ($)(3) |
| |
Total
($) |
| ||||||||||||||||||
R. Daniel Brdar
President and Chief Executive Officer |
| | | | 2022 | | | | | | 354,200 | | | | | | 247,940 | | | | | | 909,841 | | | | | | 24,128 | | | | | | 1,536,109 | | |
| | | 2021 | | | | | | 331,650 | | | | | | 186,600 | | | | | | 732,000 | | | | | | 30,336 | | | | | | 1,280,586 | | | ||
Timothy Burns
Chief Financial Officer and Secretary |
| | | | 2022 | | | | | | 252,300 | | | | | | 88,305 | | | | | | 520,866 | | | | | | 14,131 | | | | | | 875,602 | | |
| | | 2021 | | | | | | 236,250 | | | | | | 88,600 | | | | | | 244,000 | | | | | | 9,825 | | | | | | 578,675 | | |
| | |
Option Awards
|
| |
Stock Awards
|
| ||||||||||||||||||||||||||||||
Name
|
| |
Number of
securities underlying unexercised options (#) Exercisable |
| |
Number of
securities underlying unexercised options (#) Unexercisable |
| |
Option
exercise price ($) |
| |
Option
expiration date |
| |
Equity
Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) |
| |
Equity
Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(1) |
| ||||||||||||||||||
R. Daniel Brdar(2)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 70,000 | | | | | $ | 749,000 | | |
R. Daniel Brdar(3)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 30,000 | | | | | $ | 321,000 | | |
R. Daniel Brdar(4)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 50,000 | | | | | $ | 535,000 | | |
R. Daniel Brdar
|
| | | | 50,000 | | | | | | — | | | | | $ | 7.59 | | | | | | 12/10/2030 | | | | | | — | | | | | $ | — | | |
R. Daniel Brdar
|
| | | | 25,000 | | | | | | — | | | | | $ | 7.19 | | | | | | 08/06/2030 | | | | | | — | | | | | $ | — | | |
R. Daniel Brdar
|
| | | | 38,000 | | | | | | — | | | | | $ | 1.99 | | | | | | 03/25/2030 | | | | | | — | | | | | $ | — | | |
R. Daniel Brdar
|
| | | | 21,000 | | | | | | — | | | | | $ | 2.85 | | | | | | 10/28/2029 | | | | | | — | | | | | $ | — | | |
Timothy Burns(2)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 27,500 | | | | | $ | 294,250 | | |
Timothy Burns(3)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 27,500 | | | | | $ | 294,250 | | |
Timothy Burns(4)
|
| | | | — | | | | | | — | | | | | $ | — | | | | | | — | | | | | | 16,666 | | | | | $ | 178,326 | | |
Timothy Burns
|
| | | | 25,000 | | | | | | — | | | | | $ | 7.59 | | | | | | 12/10/2030 | | | | | | — | | | | | $ | — | | |
Timothy Burns
|
| | | | 5,700 | | | | | | — | | | | | $ | 7.19 | | | | | | 08/06/2030 | | | | | | — | | | | | $ | — | | |
Timothy Burns
|
| | | | 9,500 | | | | | | — | | | | | $ | 1.99 | | | | | | 03/25/2030 | | | | | | — | | | | | $ | — | | |
Timothy Burns
|
| | | | 9,721 | | | | | | — | | | | | $ | 2.85 | | | | | | 10/28/2029 | | | | | | — | | | | | $ | — | | |
Year
|
| |
Summary
Compensation Table Total for PEO(1) |
| |
Compensation
Actually Paid to PEO(2) |
| |
Average
Summary Compensation Table Total for Non-PEO NEOs(1) |
| |
Average
Compensation Actually Paid to Non-PEO NEOs(3) |
| |
Value of Initial
Fixed $100 Investment Based On Total Shareholder Return(4) |
| |
Net Loss
|
| ||||||||||||||||||
2022
|
| | | | 1,536,109 | | | | | | 1,445,043 | | | | | | 875,602 | | | | | | 849,761 | | | | | | 465 | | | | | | (7,189,350) | | |
2021
|
| | | | 1,280,586 | | | | | | 1,516,526 | | | | | | 578,675 | | | | | | 678,467 | | | | | | 524 | | | | | | (4,770,269) | | |
2020
|
| | | | 996,317 | | | | | | 1,089,128 | | | | | | 541,384 | | | | | | 603,257 | | | | | | 355 | | | | | | (7,793,897) | | |
Year
|
| |
Summary
Compensation Table Total for PEO |
| |
Exclusion of
Stock Awards for PEO |
| |
Inclusion of
Equity Values for PEO |
| |
CAP to PEO
|
| ||||||||||||
2022
|
| | | | 1,536,109 | | | | | | (909,841) | | | | | | 818,775 | | | | | | 1,445,043 | | |
2021
|
| | | | 1,280,586 | | | | | | (732,000) | | | | | | 967,940 | | | | | | 1,516,526 | | |
2020
|
| | | | 996,317 | | | | | | (437,116) | | | | | | 529,927 | | | | | | 1,089,128 | | |
Year
|
| |
Year-End Fair
Value of Unvested Equity Awards Granted During the Year for PEO |
| |
Change in Fair
Value of Unvested Equity Awards Granted in Prior Years for PEO |
| |
Change in Fair
Value to Vesting Date of Equity Awards Granted and Vested During Year for PEO |
| |
Change in Fair
Value to Vesting Date of Equity Awards Granted in Prior Years for PEO |
| |
Inclusion of
Equity Values for PEO |
| |||||||||||||||
2022
|
| | | | 936,971 | | | | | | (68,000) | | | | | | — | | | | | | (50,196) | | | | | | 818,775 | | |
2021
|
| | | | 904,500 | | | | | | 24,945 | | | | | | — | | | | | | 38,494 | | | | | | 967,940 | | |
2020
|
| | | | — | | | | | | 74,248 | | | | | | 437,116 | | | | | | 18,563 | | | | | | 529,927 | | |
Year
|
| |
Summary
Compensation Table Total for non-PEO NEO |
| |
Exclusion of
Stock Awards for non-PEO NEO |
| |
Inclusion of
Equity Values for non-PEO NEO |
| |
CAP to non-PEO
NEO |
| ||||||||||||
2022
|
| | | | 875,602 | | | | | | (520,866) | | | | | | 495,025 | | | | | | 849,761 | | |
2021
|
| | | | 578,675 | | | | | | (244,000) | | | | | | 343,792 | | | | | | 678,467 | | |
2020
|
| | | | 541,384 | | | | | | (213,122) | | | | | | 274,995 | | | | | | 603,257 | | |
Year
|
| |
Year-End Fair
Value of Unvested Equity Awards Granted During the Year for non-PEO NEO |
| |
Change in Fair
Value of Unvested Equity Awards Granted in Prior Years for non-PEO NEO |
| |
Change in Fair
Value to Vesting Date of Equity Awards Granted and Vested During Year for non-PEO NEO |
| |
Change in Fair
Value to Vesting Date of Equity Awards Granted in Prior Years for non-PEO NEO |
| |
Inclusion of
Equity Values for non-PEO NEO |
| |||||||||||||||
2022
|
| | | | 536,239 | | | | | | (22,666) | | | | | | — | | | | | | (18,548) | | | | | | 495,025 | | |
2021
|
| | | | 301,500 | | | | | | 16,628 | | | | | | — | | | | | | 25,664 | | | | | | 343,792 | | |
2020
|
| | | | — | | | | | | 49,497 | | | | | | 213,122 | | | | | | 12,376 | | | | | | 274,995 | | |
Name and Address of Beneficial Owner
|
| |
Number of
Shares Beneficially Owned |
| |
Percentage of
Shares Beneficially Owned |
| ||||||
5% Stockholders: | | | | | | | | | | | | | |
AWM Investment Company, Inc.(1)
|
| | | | 592,564 | | | | | | 9.99% | | |
Lon E. Bell, Ph.D.(2)
|
| | | | 372,145 | | | | | | 6.03% | | |
Named Executive Officers, Directors and Director Nominees: | | | | | | | | | | | | | |
R. Daniel Brdar(3)
|
| | | | 152,097 | | | | | | 2.51% | | |
Timothy Burns(4)
|
| | | | 57,022 | | | | | | * | | |
Drue Freeman(5)
|
| | | | 10,361 | | | | | | * | | |
Gregory Knight(5)
|
| | | | 10,361 | | | | | | * | | |
Ted Lesster(6)
|
| | | | 36,199 | | | | | | * | | |
Michael C. Turmelle(7)
|
| | | | 48,486 | | | | | | * | | |
All Directors and Executive Officers as a Group (6 persons)(7)
|
| | | | 314,526 | | | | | | 5.06% | | |
| | |
2021
|
| |||
Audit Fees(1)
|
| | | $ | 8,000 | | |
Audit-Related Fees(2)
|
| | | | 10,710 | | |
Tax Fees(3)
|
| | | | 3,273 | | |
| | | | $ | 21,983 | | |
| | |
2022
|
| |
2021
|
| ||||||
Audit Fees(1)
|
| | | $ | 82,390 | | | | | $ | 41,000 | | |
Audit-Related Fees(2)
|
| | | | 7,036 | | | | | | 550 | | |
Tax Fees(3)
|
| | | | 15,655 | | | | | | 6,450 | | |
| | | | $ | 105,081 | | | | | $ | 48,000 | | |
| |
THE BOARD RECOMMENDS VOTING “FOR” THE RATIFICATION OF THE APPOINTMENT OF BPM LLP AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM FOR THE FISCAL YEAR ENDING DECEMBER 31, 2023 |
| |
| |
THE BOARD RECOMMENDS A VOTE “FOR” APPROVAL, ON A NON-BINDING, ADVISORY BASIS, OF THE COMPENSATION OF OUR NAMED EXECUTIVE OFFICERS
|
| |
Name
|
| |
Stock
Options |
| |
Other
Awards(1) |
| ||||||
Each Named Executive Officer | | | | | | | | | | | | | |
R. Daniel Brdar, President and Chief Executive Officer
|
| | | | 154,000 | | | | | | 182,500 | | |
Timothy Burns, Chief Financial Officer, Secretary and Treasurer
|
| | | | 84,900 | | | | | | 84,400 | | |
All Named Executive Officers as a Group
|
| | | | 238,900 | | | | | | 266,900 | | |
All Current Directors Who Are Not Executive Officers as a Group
|
| | | | 108,918 | | | | | | 27,550 | | |
Each Nominee for Election as a Director | | | | | | | | | | | | | |
R. Daniel Brdar, President, Chief Executive Officer and Director
|
| | | | 154,000 | | | | | | 182,500 | | |
Drue Freeman, Director
|
| | | | 8,983 | | | | | | 5,510 | | |
Gregory Knight, Director
|
| | | | 8,983 | | | | | | 5,510 | | |
Ted Lesster, Director
|
| | | | 45,221 | | | | | | 5,510 | | |
Michael C. Turmelle, Director
|
| | | | 45,731 | | | | | | 11,020 | | |
Each Associate of Any Such Directors, Executive Officers or Nominees
|
| | | | — | | | | | | — | | |
Each Person Who Received 5% of Such Awards
|
| | | | — | | | | | | — | | |
All Employees, Including All Current Officers Who Are Not Executive Officers, as a Group
|
| | | | 108,800 | | | | | | 76,000 | | |
| |
THE BOARD UNANIMOUSLY RECOMMENDS A VOTE “FOR” THE APPROVAL OF THE AMENDED AND RESTATED IDEAL POWER INC. 2013 EQUITY INCENTIVE PLAN.
|
| |
Plan Category
|
| |
Number of Securities
to be Issued Upon Exercise of Outstanding Options, Warrants, and Rights(1) |
| |
Weighted Average
Exercise Price of Outstanding Options, Warrants, and Rights |
| |
Number of Securities
Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in the First Column)(2) |
| |||||||||
Equity compensation plans approved by security
holders |
| | | | 513,948 | | | | | $ | 7.59 | | | | | | 176,430 | | |
Equity compensation plans not approved by security holders
|
| | | | — | | | | | | — | | | | | | — | | |
Total
|
| | | | 513,948 | | | | | $ | 7.59 | | | | | | 176,430 | | |