def14a
SCHEDULE 14A INFORMATION
PROXY STATEMENT PURSUANT TO SECTION 14(a) OF THE
SECURITIES
EXCHANGE ACT OF 1934
Filed by the Registrant þ
Filed by a Party other than the
Registrant o
Check the appropriate box:
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o Preliminary
Proxy Statement |
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o Confidential,
for Use of the Commission Only (as permitted by
Rule 14a-6(e)(2)) |
þ Definitive Proxy
Statement |
o Definitive
Additional Materials |
o Soliciting
Material Pursuant to Rule 14a-11(c) or Rule 14a-12 |
MOBILE MINI, INC.
(Name of Registrant as Specified in its Charter)
(Name of Person(s) Filing Proxy Statement, if other than the
Registrant)
Payment of Filing Fee (Check the appropriate box):
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No fee required. |
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Fee computed on table below per Exchange Act
Rules 14a-6(i)(1)and 0-11. |
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(1) |
Title of each class of securities to which transaction applies: |
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Aggregate number of securities to which transaction applies: |
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(3) |
Per unit price or other underlying value of transaction computed
pursuant to Exchange Act Rule 0-11 (Set forth the amount on
which the filing fee is calculated and state how it was
determined): |
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(4) |
Proposed maximum aggregate value of transaction: |
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Fee paid previously with preliminary materials. |
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Check box if any part of the fee is offset as provided by
Exchange Act Rule 0-11(a)(2) and identify the filing for
which the offsetting fee was paid previously. Identify the
previous filing by registration statement number, or the Form or
Schedule and the date of its filing. |
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Amount Previously Paid: |
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Form, Schedule or Registration Statement No.: |
7420 South Kyrene Road
Suite 101
Tempe, Arizona 85283
Dear Stockholders:
You are cordially invited to attend the 2005 Annual Meeting of
Stockholders of Mobile Mini, Inc. The meeting will be held on
Wednesday, June 29, 2005, at Hilton Garden Inn
Phoenix-Airport, 3422 E. Elwood Street (off I-10 at
the East University Drive Exit), Phoenix, Arizona 85040. The
meeting will begin at 1:00 p.m. local time.
The formal notice of the meeting follows on the next page. No
admission tickets or other credentials will be required for
attendance at the meeting.
Directors and officers are expected to be available before and
after the meeting to speak with you. During the meeting, we will
answer your questions regarding our business affairs and will
consider the matters explained in the notice and proxy statement
that follow.
Please vote, sign and return the enclosed proxy as soon as
possible, whether or not you plan to attend the meeting. Your
vote is important.
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Sincerely, |
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Steven G. Bunger |
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President, Chief Executive Officer and |
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Chairman of the Board |
TABLE OF CONTENTS
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NOTICE OF ANNUAL MEETING OF STOCKHOLDERS
To the Holders of Common Stock of Mobile Mini, Inc.:
We will hold the Annual Meeting of Stockholders of Mobile Mini,
Inc. at Hilton Garden Inn Phoenix-Airport,
3422 E. Elwood Street (off I-10 at the East University
Drive Exit), Phoenix, Arizona 85040, on June 29, 2005, at
1:00 p.m. local time. The meeting is being called by Mobile
Minis Board of Directors to:
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Elect two members of the Board of Directors for three-year terms; |
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Ratify the appointment of Ernst & Young LLP as the
Companys independent registered public accounting firm for
the year ending December 31, 2005; and |
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Transact any other business that may properly come before the
meeting and any adjournments thereof. |
Only stockholders of record at the close of business on
May 2, 2005 are entitled to receive notice of and to vote
at the meeting. A list of stockholders entitled to vote will be
available for examination at the meeting by any stockholder for
any purpose germane to the meeting. The list will also be
available for the same purpose for ten days prior to the meeting
at our principal executive office at 7420 South Kyrene Road,
Suite 101, Tempe, Arizona 85283.
We have enclosed our 2004 annual report, including financial
statements, and the proxy statement with this notice of annual
meeting.
To assure your representation at the meeting, please vote, sign,
date and return the enclosed proxy as soon as possible in the
postage-prepaid envelope enclosed for that purpose. Any
stockholder attending the meeting may vote in person even if he
or she previously has returned a proxy. Your proxy is being
solicited by the Board of Directors of Mobile Mini.
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Sincerely, |
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Lawrence Trachtenberg |
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Secretary |
Tempe, Arizona
May 12, 2005
1
7420 South Kyrene Road
Suite 101
Tempe, Arizona 85283
ANNUAL MEETING OF STOCKHOLDERS
PROXY STATEMENT
The proxy materials are delivered in connection with the
solicitation by the Board of Directors of Mobile Mini, Inc. of
proxies to be voted at our 2005 annual meeting of stockholders
and at any adjournment or postponement. Information about the
meeting is as follows:
Annual Meeting: June 29, 2005 at 1:00 p.m.
local time at Hilton Garden Inn Phoenix-Airport,
3422 E. Elwood Street (off I-10 at the East University
Drive Exit), Phoenix, Arizona 85040.
Stockholders Entitled to Vote: The record date for the
Annual Meeting is the close of business on May 2, 2005. If
you were a stockholder at that time, you may vote at the
meeting. Each share is entitled to one vote. You may not
cumulate votes. On the record date, we had
14,786,795 shares of our common stock outstanding.
Agenda:
1. Elect three members of the Board of Directors for
three-year terms;
2. Ratify the appointment of Ernst & Young LLP as
the Companys independent registered public accounting firm
for the year ending December 31, 2005;
3. Transact any other business that may properly come
before the meeting and any adjournments thereof.
Proxies and Voting Procedures: You can vote your shares
by completing and returning a proxy card or, if you hold your
shares in street name, a voting instruction form.
Most stockholders can also vote over the Internet or by
telephone. If Internet and telephone voting are available to
you, you can find voting instructions in the materials
accompanying this proxy statement.
You can revoke your proxy at any time before it is exercised by
timely delivery of a properly executed, later-date proxy
(including an Internet or telephone vote) or by voting in person
at the meeting.
The method by which you vote will in no way limit your right to
vote at the meeting if you later decide to attend in person. If
your shares are held in street name, you must obtain
a proxy, executed in your favor, from your broker or other
holder of record, to be able to vote at the meeting.
All shares entitled to vote and represented by properly
completed proxies received prior to the meeting and not revoked
will be voted at the meeting in accordance with your
instructions. If you return a signed proxy card without
indicating how your shares should be voted on a matter and do
not revoke your proxy, the shares represented by your proxy will
be voted FOR the election of the nominees for Director named
below and FOR the proposal to ratify the appointment of the
independent registered public accounting firm set forth in
Proposal 2.
If you hold your shares through a broker, your shares may be
voted even if you do not vote or attend the annual meeting.
Generally, brokers who do not receive instructions from
beneficial owners will be allowed to vote on the election of
Directors and any other proposals.
If any other matters are properly presented at the annual
meeting for consideration, including, among other things,
consideration of a motion to adjourn the meeting to another time
or place, the individuals names as proxies and acting
thereunder will have discretion to vote on those matters
according to their best judgment to the same extent as the
person delivering the proxy would be entitled to vote. If the
annual meeting is postponed or adjourned, your proxy will remain
valid and may be voted at the postponed or adjourned meeting.
You still will be able to revoke your proxy until it is voted.
At the date this proxy statement went to press, we
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did not know of any matters other than those described in this
proxy statement to be presented at the annual meeting.
Required Vote: The presence, in person or by proxy, of
the holders of a majority of all the votes that could be cast by
the holders of all the outstanding shares of common stock is
required in order to transact business at the meeting.
A plurality of the votes duly cast is required for the election
of Directors. That is, the nominees receiving the greatest
number of votes will be elected.
The affirmative vote of a majority of the shares of common stock
present or represented at the annual meeting is required to
approve the proposal to ratify the appointment of the
independent registered public accounting firm.
In the election of Directors, you may withhold your vote.
Withheld votes will be excluded from the vote and will have no
effect on the outcome. You may vote to abstain on
the other proposals. If you vote to abstain, your
shares will be counted as present at the meeting for purposes of
that proposal and your vote will have the effect of a vote
against the proposal. Broker non-votes, if any, will
not be counted as votes cast in the election of Directors and
will have the effect of votes against the proposal to ratify the
appointment of the independent registered public accounting firm.
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PROPOSAL NO. 1
ELECTION OF DIRECTORS
Board Structure. Our Board of Directors has seven
members, the majority of whom are independent directors. Our
board is divided into three classes. Directors in each class
serve for three-year terms. At each annual meeting, the term of
one class expires.
Nominees for Election at this Annual Meeting. The Board
of Directors, acting upon the recommendation of the Nominating
and Corporate Governance Committee, has nominated Steven G.
Bunger, Thomas R. Graunke and Michael L. Watts for re-election
as directors, each to serve a three-year term ending in 2008, or
when the directors successor is duly elected.
Steven G. Bunger has served as our Chief Executive Officer,
President and a director since April 1997, and as our Chairman
of the Board since February 2001. Mr. Bunger joined Mobile
Mini in 1983 and initially worked in our drafting and design
department. He served in a variety of positions including
dispatcher, salesperson and advertising coordinator before
joining management. He served as sales manager of our Phoenix
branch and our operations manager and Vice President of
Operations and Marketing before becoming our Executive Vice
President and Chief Operating Officer in November 1995. He is
also a director of Cavco Industries, Inc., the nations
twelfth largest manufactured housing company. Mr. Bunger
graduated from Arizona State University in 1986 with a B.A. in
Business Administration. He is the brother of Carolyn A.
Clawson, a member of our Board of Directors. Age 44.
Thomas R. Graunke has served as a director since August 2002.
Mr. Graunke is currently the Managing Partner of Genesis
Capital Partners, a Phoenix based private equity firm. From 1998
to 2004, Mr. Graunke served as the Chief Executive Officer
and President of KnowledgeNet, Inc., a business e-learning
company that offered a suite of over 1,000 synchronous and
asynchronous content delivery solutions. In September of 2004,
Thomson Corporation acquired KnowledgeNet. From August 1996 to
1998, he served as President of Mastering Computers, Inc., an
instructor-led Microsoft Windows TM training company that was
acquired by Platinum Technology International, Inc. in 1998.
Mr. Graunke graduated from Arizona State University with a
B.S. in Marketing. Age 39.
Michael L. Watts has served as a Mobile Mini Director for
21/2
years. Mr. Watts founded Sunstate Equipment Company, LLC in
1977 where he serves as Chairman and Chief Executive Officer.
Sunstate Equipment Co. is now the 13th largest construction
equipment rental company in the United States, and currently has
46 locations in eight states. Mr. Watts also served as
Chairman of Trench Safety Equipment Company, a specialty
equipment rental company from 1987-1988 until the company was
sold. Age 57.
The Board recommends that you vote FOR each of
these nominees.
Continuing Directors. The terms of Carolyn A. Clawson and
Stephen A McConnell end in 2006 and the terms of Ronald J.
Marusiak and Lawrence Trachtenberg end in 2007.
Carolyn A. Clawson has served as a director since February 2001.
Since 1996, Ms. Clawson has been President of SkilQuest,
Inc., a sales and management support company which she founded.
SkilQuest provides marketing services to us. Ms. Clawson
was an employee of ours from 1986 until 1996. She served in
various positions including sales representative, branch manager
of our Phoenix branch, and most recently as Vice President of
Sales from 1991 to 1996. Ms. Clawson graduated from
Northern Arizona University with a B.A. in Interior Design in
1986. She is the sister of Steven G. Bunger, our Chairman,
President and Chief Executive Officer. Age 42.
Stephen A McConnell has served as a director since August 1998.
Since 1991, he has been President of Solano Ventures, a private
capital investment company holding over 20 investments in a
broad range of businesses, primarily in Arizona. From 1998 to
2004, Mr. McConnell served as majority stockholder and
Chairman of G-L Industries, L.L.C., a Salt Lake City-based
manufacturer of wood glu-lam beams used in the construction
industry. From 1991 to 1997, he was Chairman of Mallco
Lumber & Building Materials, Inc., a wholesale
distributor of lumber and doors. From 1991 to 1995 he was
President of Belt Perry Associates, Inc.,
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a property tax consulting firm. He is also a director of Capital
Title Group, Inc., OneSource Technologies, Inc. and Miracor
Diagnostics, Inc. Age 52.
Ronald J. Marusiak has served as a director since February 1996.
He has been the Division President of Micro-Tronics, Inc., a
precision machining and tool and die company, for more than
20 years. Mr. Marusiak is also a director of
EyePopMedia, Inc., Micro-Tronics, Inc., and Y2 Ultrafilter, Inc.
Mr. Marusiak received a Masters of Science in Management
from LaVerne University in 1979 and graduated from the United
States Air Force Academy in 1971. Age 57.
Lawrence Trachtenberg has served as our Executive Vice
President, Chief Financial Officer, General Counsel, Secretary,
Treasurer and a director since December 1995. He is responsible
for all of our accounting, banking and related financial
matters. Mr. Trachtenberg is admitted to practice law in
Arizona and New York and is a Certified Public Accountant in New
York. Before he joined us, Mr. Trachtenberg served as Vice
President and General Counsel at Express America Mortgage
Corporation, a mortgage banking company, from February 1994
through September 1995. Before then, he was Vice President and
Chief Financial Officer of Pacific International Services
Corporation, a car rental and sales company, from 1990 to 1994.
Mr. Trachtenberg is also a member of the board of trustees
of the Arizona State Retirement System. Mr. Trachtenberg
received his J.D. from Harvard Law School in 1981 and his B.A.
in Accounting/ Economics from Queens College of the City
University of New York in 1977. Age 48.
Corporate Governance and Related Matters
Corporate governance is typically defined as the system that
allocates duties and authority among a companys
stockholders, board of directors and management. The
stockholders elect the board and vote on extraordinary matters;
the board is the companys governing body, responsible for
hiring, overseeing and evaluating management, particularly the
Chief Executive Officer; and management runs the companys
day-to-day operations. Our Board of Directors currently consists
of seven directors, as described above.
Independent Directors. Each of our
directors other than Messrs. Bunger and Trachtenberg and
Ms. Clawson qualify as independent in
accordance with the published listing requirements of The Nasdaq
Stock Market. The Nasdaq independence definition includes a
series of objective tests, such as that the director is not an
employee of the company and has not engaged in various types of
business dealings with the company. In addition, as further
required by the Nasdaq rules, our board of directors has made a
subjective determination as to each independent director that no
relationships exist which, in the opinion of the board, would
interfere with the exercise of independent judgment in carrying
out the responsibilities of a director. In making these
determinations, the board reviewed and discussed information
provided by the directors and the company with regard to each
directors business and personal activities as they may
relate to Mobile Mini and Mobile Minis management.
Independence for Audit Committee Members and
Audit Committee Financial Expert. In addition, as
required by Nasdaq rules, the members of the Audit Committee
each qualify as independent under special standards
established by the U.S. Securities and Exchange Commission
for members of audit committees. The Audit Committee also
includes at least one independent member who is determined by
the board of directors to meet the qualifications of an
audit committee financial expert in accordance with
SEC rules, including that the person meets the relevant
definition of an independent director. Stephen A
McConnell is the independent director who has been determined to
be an audit committee financial expert. Stockholders should
understand that this designation is a disclosure requirement of
the SEC related to Stephen A McConnells experience and
understanding with respect to certain accounting and auditing
matters. The designation does not impose upon Stephen A
McConnell any duties, obligations or liability that are greater
than are generally imposed on him as a member of the Audit
Committee and the board, and his designation as an audit
committee financial expert pursuant to this SEC requirement does
not affect the duties, obligations or liability of any other
member of the Audit Committee or the board.
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Board Meetings
The board of directors and its committees meet throughout the
year on a set schedule, and also hold special meetings and act
by written consent from time to time as appropriate. The Board
has delegated various responsibilities and authority to
different board committees as described in this section of the
proxy statement. Committees regularly report on their activities
and actions to the full Board. In addition, the Corporate
Governance Guidelines that has been adopted by the board calls
for regular, executive meetings of the independent directors,
chaired by the Lead Independent Director who is responsible for
coordinating the activities of the other independent directors
and performs various other duties. The general authority and
responsibilities of the Lead Independent Director are
established in the Corporate Governance Guidelines, which is
posted at the Companys web site
(www.mobilemini.com) under the Corporate
Governance section of the Investor Relations
page. Thomas R. Graunke has been elected by our independent
directors to serve as the Lead Independent Director.
In 2004, the Board held five meetings. Each Director attended at
least 75% of the Board of Director meetings and meetings of
committees on which he or she served, during his or her tenure
as a director and committee member.
Board Committees and Charters
Our board of directors currently has, and appoints the members
of, standing Audit, Compensation, and Nominating and Corporate
Governance Committees. Each member of the Audit, Compensation,
and Nominating and Corporate Governance Committees is an
independent director in accordance with Nasdaq standards. Each
of the Board committees has a written charter approved by the
board. Copies of each charter are posted on Mobile Minis
web site at www.mobilemini.com under the Corporate
Governance section of the Investor Relations
page. Copies of the charters as presently in effect are also
attached as Appendices to this proxy statement.
Audit Committee. Messrs. Marusiak, Watts, and
McConnell were the members of the Audit Committee during 2004.
Pursuant to the Audit Committee charter, the Audit Committee
oversees Mobile Minis financial reporting process and
meets with management and the independent registered public
accounting firm to review the results and scope of the audit and
the services provided by the independent registered public
accounting firm. The Audit Committee met six times during 2004.
The Audit Committee is required by SEC rules to publish a report
to stockholders concerning the Audit Committees activities
during the prior fiscal year. The Audit Committees report
is set forth elsewhere in this proxy statement. The charter
under which the Audit Committee operates was adopted by the
Board of Directors on November 10, 1999, and was amended
and revised in 2002 to incorporate the mandates of the
Sarbanes-Oxley Act of 2002 and to comply with the SEC rules
promulgated thereunder. The Audit Committees amended
charter is as set forth at Appendix A of this Proxy
Statement.
Compensation Committee. Messrs. McConnell,
Graunke, and Marusiak were members of the Compensation Committee
during 2004. Pursuant to its charter, the Compensation Committee
reviews officer and director compensation and makes
recommendations thereon to the board. The Compensation Committee
also administers our compensation and incentive plans, including
our stock option plans and determines, upon review of relevant
information from the management, the employees to whom options
shall be granted. The Compensation Committee met twice during
2004. The Compensation Committees report on executive
compensation is set forth elsewhere in this proxy statement, and
the Compensation Committee Charter is set forth at
Appendix B of this proxy statement.
Nominating and Corporate Governance Committee.
Messrs. Watts, Marusiak, McConnell and Graunke are current
members of the Nominating and Corporate Governance Committee,
which was formed in February 2004. The Committee met once during
2004. Pursuant to its Charter (a copy of which is set forth at
Appendix C of this proxy statement), the Nominating and
Corporate Governance Committee is responsible for considering
and periodically reporting to the board on matters relating to
the identification, selection and qualification of candidates
nominated to the board and its committees; reviewing and
assessing the effectiveness of the Corporate Governance
Guidelines on significant corporate governance issues and
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recommends to the board proposed revisions to the Guidelines;
overseeing the evaluation of management, the board and the
committees thereof; evaluating and recommending compensation for
non-employee directors to the Compensation Committee and the
board; and performs such other functions as the board may from
time to time assign to it. The Nominating and Corporate
Governance Committee also reviews and makes recommendations to
the board regarding the size and the composition of the board of
directors. In addition, the Nominating and Corporate Governance
Committee will review and consider properly submitted
stockholder recommendations on candidates for membership on the
board of directors as described below. In evaluating such
recommendations, the Nominating and Corporate Governance
Committee will use the same review criteria discussed below
under Director Qualifications and Review of Director
Nominees. Any stockholder recommendations proposed for
consideration by the Nominating and Corporate Governance
Committee should include the candidates name and
qualifications for membership on the board and should be
addressed to:
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Mobile Mini, Inc. |
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7420 South Kyrene Road, Suite 101 |
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Tempe, Arizona 85283 |
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Attn: Corporate Secretary |
Director Qualifications and Review of Director Nominees
The Nominating and Corporate Governance Committee makes
recommendations to the board regarding the size and composition
of the board of directors. The Committee is responsible for
reviewing with the board from time to time the appropriate
skills and characteristics required of board members in the
context of the current size and make-up of the board. This
assessment includes issues of diversity in numerous factors such
as age; understanding of and achievements in manufacturing,
equipment leasing, technology, finance and marketing; and other
knowledge and experience relevant to Mobile Minis core
businesses. These factors, and any other qualifications
considered useful by the Nominating and Corporate Governance
Committee, are reviewed in the context of an assessment of the
perceived needs of the board at a particular point in time. As a
result, the priorities and emphasis that the Nominating and
Corporate Governance Committee, and the board, places on various
selection criteria may change from time to time to take into
account changes in business and other trends, and the portfolio
of skills and experience of current and prospective board
members. Therefore, while focused on the achievement and the
ability of potential candidates to make a positive contribution
with respect to such factors, the Nominating and Corporate
Governance Committee has not established any specific minimum
criteria or qualifications that a nominee must possess.
Board Attendance at Annual Stockholder Meetings
The board does not have a formal policy requiring directors to
attend annual meetings of stockholders. All directors attended
last years annual meeting of stockholders.
Communication with the Board of Directors
Stockholders may communicate with the Board of Directors by
writing to us at either 800 Third Avenue, 36 Floor, New York, NY
10022, Attn: Mobile Mini Investor Relations, or at Mobile Mini,
Inc., 7420 South Kyrene Road, Suite 101, Tempe, Arizona
85283, Attn: Corporate Secretary. Communication received in
writing will be distributed to the chairman of the board or the
appropriate board committees, depending on the facts and
circumstances contained in the communication received.
Code of Business Conduct and Ethics
We have a Code of Business Conduct and Ethics (including
Supplemental Code of Ethics for the Chief Executive Officer and
Senior Financial Officers) (Code) that applies to
all of our employees, including our principal executive officer
and principal financial and accounting officer. This code is
posted on our Internet web site (www.mobilemini.com) under the
Corporate Governance section of the Investor
Relations page.
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We will provide a copy of the Code upon request made by writing
to us at Mobile Minis address provided elsewhere. We
intend to satisfy the disclosure requirement under
Item 5.05 of the Form 8-K regarding an amendment to,
or waiver from, a provision of this Code by posting such
information on our web site, at the address and location
specified above, and to the extent required, by filing a Current
Report on Form 8-K with the SEC disclosing such information.
Compensation of Non-Employee Directors
Non-employee directors receive an annual payment of $15,000 plus
$500 for each board or separate committee meeting attended,
whether in person or by telephone. In addition, non-employee
directors are reimbursed for any expenses related to their
service as directors. Non-employee directors also receive
options to purchase 7,500 shares of our common stock
on August 1st of each year during their term of
service. The exercise price of the options is the fair market
value of our common stock on the date of grant.
On February 23, 2005, the Compensation Committee met and
agreed to a revised compensation plan for non-employee
directors, which will be effective as of the May 2005 board
meeting. Under the revised plan, non-employee directors will
receive an annual payment of $20,000 plus $1,000 for each board
meeting personally attended and $500 per committee meeting
if the director attended in person. No more than $1,500 maybe
received for meetings held on any one day. If the non-employee
director attends a board or committee meeting via telephone
conference call or otherwise than in person, the non-employee
director will receive $250. The revised plan also provides for
annual retainers of an additional $5,000 for both the Lead
Director and the Chairman of the Audit Committee. Further, the
chairs of the Compensation Committee and the Nominating and
Corporate Governance Committee will receive an additional annual
retainer of $2,500.
Directors who are also officers do not receive any separate
compensation for serving as directors. We indemnify our
directors and officers to the fullest extent permitted by law so
that they will be free from undue concern about personal
liability in connection with their service to Mobile Mini. This
is required by our Certificate of Incorporation, and we have
also signed agreements with our directors, contractually
obligating us to provide this indemnification to them.
Audit Committee Report for the Year Ended December 31,
2004
The Audit Committee reviews Mobile Minis financial
reporting process on behalf of the board of directors. The Audit
Committee is composed of three independent directors, operates
under a written charter adopted by the board of directors, and
met six times in 2004. Management has the primary responsibility
for the financial statements and the reporting process,
including the system of internal controls.
In fulfilling its responsibilities, the Audit Committee meets
with management and the independent registered public accounting
firm to review and discuss Mobile Minis annual and
quarterly financial statements, including the disclosures under
Managements Discussion and Analysis of Financial
Condition and Results of Operations in our annual report
on Form 10-K, and the items required to be discussed by
Statement of Auditing Standards 61 and amendments (Communication
with Audit Committees) as in effect in the case of annual
statements and Statement of Auditing Standards 100 as in effect
in the case of the quarterly statements.
The Audit Committee has met and held discussions with management
and the independent registered public accounting firm regarding
the fair and complete presentation of Mobile Minis
results. The Audit Committee has discussed significant
accounting policies applied by Mobile Mini in its financial
statements, as well as alternative treatments. Management has
represented to the Audit Committee that Mobile Minis
consolidated financial statements were prepared in accordance
with accounting principles generally accepted in the United
States, and the Audit Committee has reviewed and discussed the
consolidated financial statements with management and the
independent registered public accounting firm.
In addition, the Audit Committee has discussed with the
independent registered public accounting firm the firms
independence from Mobile Mini and its management, including the
matters in the written disclosures required by the Independence
Standards Board Standard No. 1, Independence
Discussions with
8
Audit Committees. The Audit Committee also has considered
whether the independent registered public accounting firms
provision of non-audit services to Mobile Mini is compatible
with the firms independence. The Audit Committee has
concluded that the independent registered public accounting firm
is independent from Mobile Mini and its management.
The Audit Committee discussed with the independent registered
public accounting firm the overall scope and plans for their
audit. The Audit Committee met with the independent registered
public accounting firm, with and without management present, to
discuss the results of the firms examinations, the
evaluation of Mobile Minis internal controls, the overall
quality of Mobile Minis financial reporting, and other
matters required to be discussed by Statement of Auditing
Standards 61.
In reliance on the reviews and discussions referred to above,
the Audit Committee recommended to the board of directors, and
the board of directors has approved, that the audited financial
statements be included in Mobile Minis annual report on
Form 10-K for the year ended December 31, 2004, for
filing with the Securities and Exchange Commission. The Audit
Committee has also selected Ernst & Young LLP as Mobile
Minis independent registered public accounting firm for
fiscal year ending December 31, 2005.
|
|
|
The Audit Committee: |
|
|
Stephen A McConnell (Chair) |
|
Ronald J. Marusiak |
|
Michael L. Watts |
PROPOSAL 2
RATIFICATION OF APPOINTMENT OF
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
The Audit Committee has selected Ernst & Young LLP as
the independent registered public accounting firm of the Company
with respect to its financial statements for the year ending
December 31, 2005. In taking this action, the Audit
Committee considered Ernst & Young LLPs
independence with respect to the services to be performed and
other factors, which the Audit Committee and the board of
directors believe is advisable and in the best interest of the
stockholders. As a matter of good corporate governance, the
Audit Committee has decided to submit its selection to
stockholders for ratification. In the event that this selection
of the independent registered public accounting firm is not
ratified by a majority of the shares of common stock present or
represented at the annual meeting, the Audit Committee will
review its future selection of an independent registered public
accounting firm.
The Board of Directors Recommends a Vote FOR
Proposal 2
Fees Paid to Ernst & Young
As more fully described in the Audit Committee charter, all
services to be provided by Ernst & Young are
pre-approved by the Audit Committee, including audit services,
audit-related services, tax services and certain other services.
9
The following table shows the fees that Mobile Mini paid or
accrued for the audit and other services provided by
Ernst & Young for fiscal years 2004 and 2003.
|
|
|
|
|
|
|
|
|
|
|
2004 | |
|
2003 | |
|
|
| |
|
| |
Audit fees
|
|
$ |
728,500 |
|
|
$ |
413,500 |
|
Audit-related fees
|
|
|
-0- |
|
|
|
-0- |
|
Tax fees
|
|
|
45,200 |
|
|
|
72,200 |
|
All other fees
|
|
|
24,700 |
|
|
|
-0- |
|
|
|
|
|
|
|
|
Total
|
|
$ |
798,400 |
|
|
$ |
485,700 |
|
|
|
|
|
|
|
|
Audit fees. This category includes the audit of our
annual financial statements, review of financial statements
included in our Form 10-Q quarterly reports, and services
that are normally provided by the independent registered public
accounting firms in connection with statutory and regulatory
filings or engagements for those fiscal years. Also included in
this category during 2003, are fees of approximately $153,000 in
connection with Mobile Minis offering during June 2003 of
9.5% Senior Notes due 2013. The increase in fees for 2004
mostly relate to the added requirements created by the
Sarbanes-Oxley Act of 2002.
Tax fees. This category consists of professional services
rendered by Ernst & Young, primarily in connection with
our tax compliance activities, including technical and tax
advice related to the preparation of tax returns.
All other fees. This category consists of fees related to
documenting our internal controls and procedures in accordance
with section 404 of the Sarbanes-Oxley Act of 2002.
The Audit Committee has considered whether the provision by
Ernst & Young LLP of the non-audit services described
above is compatible with maintaining the independence of
Ernst & Young LLP. The Audit Committee believes that
such non-audit services provided by Ernst & Young LLP
is compatible with maintaining Ernst & Young LLPs
independence.
We expect that representatives of Ernst & Young LLP
will be present at the annual meeting, will have the opportunity
to make a statement if they desire, and will be available to
respond to any appropriate questions from stockholders.
10
EQUITY COMPENSATION PLAN INFORMATION
Mobile Mini maintains the 1994 Stock Option Plan (the 1994
Plan) and the 1999 Stock Option Plan (the 1999
Plan) pursuant to which it may grant equity awards to
eligible persons. The 1994 Plan expired in 2003 and no
additional options may be granted thereunder. The following
table summarizes our equity compensation plan information as of
December 31, 2004. Information is included for both equity
compensation plans approved by Mobile Minis shareholders
and equity plans not approved by our shareholders.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares | |
|
|
|
|
|
|
remaining available | |
|
|
|
|
|
|
for future issuance | |
|
|
Common shares to be | |
|
Weighted-average | |
|
under equity | |
|
|
issued upon exercise | |
|
exercise price of | |
|
compensation | |
|
|
of outstanding | |
|
outstanding | |
|
plans (excluding | |
|
|
options, warrants | |
|
options, warrants | |
|
shares reflected in | |
|
|
and rights | |
|
and rights | |
|
column (a)) | |
Plan category |
|
(a) | |
|
(b) | |
|
(c) | |
|
|
| |
|
| |
|
| |
Equity compensation plans approved by Mobile Mini shareholders(1)
|
|
|
1,862,032 |
|
|
$ |
22.74 |
|
|
|
431,091 |
|
Equity compensation plans not approved by Mobile Mini
shareholders
|
|
|
-0- |
|
|
$ |
0 |
|
|
|
-0- |
|
|
|
|
|
|
|
|
|
|
|
Totals
|
|
|
1,862,032 |
|
|
$ |
22.74 |
|
|
|
431,091 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
Of these shares, options to purchase 274,832 shares were
outstanding under the 1994 Plan, and options to
purchase 1,587,200 shares were outstanding under the
1999 Plan. |
On April 22, 2005, the closing price of Mobile Minis
common stock as reported by the Nasdaq National Market was
$38.53.
OTHER MATTERS
Our board of directors knows of no matters, other than the
proposals presented above, to be submitted to the annual
meeting. If any other matters properly come before the meeting,
it is the intention of the persons named in the proxy card
enclosed with this proxy statement to vote the shares they
represent as the board may recommend.
11
EXECUTIVE COMPENSATION
The following table summarizes the compensation we paid our
Chief Executive Officer and each of our other most highly
compensated executive officers as of the end of 2004 whose
salary and bonus exceeded $100,000.
Summary Compensation Table
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annual Compensation | |
|
|
|
|
|
|
|
|
| |
|
Long Term | |
|
|
|
|
|
|
|
|
Other Annual | |
|
Compensation | |
|
All Other | |
Name and Principal Position |
|
Year | |
|
Salary | |
|
Bonus | |
|
Compensation(1) | |
|
Stock Options | |
|
Compensation(2) | |
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
Steven G. Bunger,
|
|
|
2004 |
|
|
$ |
324,135 |
|
|
$ |
372,755 |
|
|
$ |
500 |
|
|
|
50,000 |
|
|
$ |
|
|
|
Chairman Chief Executive |
|
|
2003 |
|
|
|
308,700 |
|
|
|
123,480 |
|
|
|
500 |
|
|
|
50,000 |
|
|
|
|
|
|
Officer, President |
|
|
2002 |
|
|
|
294,000 |
|
|
|
44,100 |
|
|
|
500 |
|
|
|
40,000 |
|
|
|
|
|
Lawrence Trachtenberg,
|
|
|
2004 |
|
|
$ |
231,525 |
|
|
$ |
266,254 |
|
|
$ |
500 |
|
|
|
40,000 |
|
|
$ |
|
|
|
Chief Financial Officer, |
|
|
2003 |
|
|
|
220,500 |
|
|
|
88,208 |
|
|
|
500 |
|
|
|
40,000 |
|
|
|
|
|
|
Executive Vice President, |
|
|
2002 |
|
|
|
210,000 |
|
|
|
31,500 |
|
|
|
500 |
|
|
|
30,000 |
|
|
|
|
|
|
Secretary, Treasurer |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deborah K. Keeley,
|
|
|
2004 |
|
|
$ |
111,819 |
|
|
$ |
62,421 |
|
|
$ |
500 |
|
|
|
15,000 |
|
|
$ |
2,500 |
|
|
Vice President and |
|
|
2003 |
|
|
|
103,351 |
|
|
|
26,203 |
|
|
|
500 |
|
|
|
7,500 |
|
|
|
2,500 |
|
|
Controller |
|
|
2002 |
|
|
|
93,454 |
|
|
|
20,321 |
|
|
|
500 |
|
|
|
7,500 |
|
|
|
2,500 |
|
|
|
(1) |
Includes our contributions to the 401(k) retirement plan. |
|
(2) |
Payments under non-compete agreements with us. |
Stock Options
The following table lists our grants during 2004 of stock
options to the officers named in the Summary Compensation Table.
The amounts shown as potential realizable values rely on
arbitrarily assumed rates of share price appreciation prescribed
by the SEC. In assessing those values, please note that the
ultimate value of the options, as well as those shares, depends
on actual future share values. Market conditions and the efforts
of our directors, officers and others to foster Mobile
Minis future success can influence those future share
values.
Option Grants In Last Fiscal Year
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Potential Realizable | |
|
|
|
|
|
|
|
|
|
|
Value at Assumed Annual | |
|
|
Number of | |
|
|
|
|
|
|
|
Rate of Stock Price | |
|
|
Shares | |
|
% of Total | |
|
|
|
|
|
Appreciation for | |
|
|
Underlying | |
|
Options Granted | |
|
Exercise or | |
|
|
|
Option Term | |
|
|
Options | |
|
to Employees in | |
|
Base Price | |
|
|
|
| |
Name |
|
Granted | |
|
Fiscal Year | |
|
($/Sh) | |
|
Expiration Date | |
|
5% ($) | |
|
10% ($) | |
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
Steven G. Bunger
|
|
|
50,000 |
|
|
|
14.6% |
|
|
$ |
28.22 |
|
|
|
November 2014 |
|
|
$ |
887,370 |
|
|
$ |
2,248,771 |
|
Lawrence Trachtenberg
|
|
|
40,000 |
|
|
|
11.7% |
|
|
$ |
28.22 |
|
|
|
November 2014 |
|
|
$ |
709,896 |
|
|
$ |
1,799,016 |
|
Deborah K. Keeley
|
|
|
15,000 |
|
|
|
4.4% |
|
|
$ |
28.22 |
|
|
|
November 2014 |
|
|
$ |
266,211 |
|
|
$ |
674,631 |
|
Option Exercises and Year-End Values
The following table sets forth certain information regarding the
exercise and values of options held by the officers named in the
Summary Compensation Table, as of December 31, 2004. The
table contains values for in the money options,
meaning a positive spread between the year-end share price of
$33.04 and the exercise
12
price. These values have not been, and may never be, realized.
The options might never be exercised, and the value, if any,
will depend on the share price on the exercise date.
Aggregated Option Exercises in Last Fiscal Year and Fiscal
Year-end Option Values
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Securities | |
|
Value of Unexercised | |
|
|
|
|
|
|
Underlying Unexercised | |
|
In-the-Money Options at | |
|
|
Shares Acquired | |
|
Value | |
|
Options at December 31, 2004 | |
|
December 31, 2004 | |
Name |
|
on Exercise | |
|
Realized | |
|
Exercisable/Unexercisable | |
|
Exercisable/Unexercisable(1) | |
|
|
| |
|
| |
|
| |
|
| |
Steven G. Bunger
|
|
|
-0- |
|
|
$ |
0 |
|
|
|
311,000/174,000 |
|
|
$ |
4,098,840/$1,217,760 |
|
Lawrence Trachtenberg
|
|
|
-0- |
|
|
$ |
0 |
|
|
|
152,227/130,000 |
|
|
$ |
1,641,796/$ 951,100 |
|
Deborah K. Keeley
|
|
|
2,000 |
|
|
$ |
50,000 |
|
|
|
28,000/ 30,000 |
|
|
$ |
93,906/$ 252,617 |
|
|
|
(1) |
All the exercisable options were exercisable at a price less
than the last reported sale price of our common stock $33.04 on
the Nasdaq Stock Market on December 31, 2004. |
Employment Agreements
In September 1999, Mobile Mini entered into employment
agreements with Steven G. Bunger and Lawrence Trachtenberg. Each
agreement has a three year term, and the term automatically
renews for additional one year periods unless either we or the
employee gives notice of non-renewal. In 2004,
Mr. Bungers base salary under his employment
agreement was $324,135 and Mr. Trachtenbergs was
$231,525. The base salaries may be increased or decreased by the
board of directors, but decreases are limited to 15% of the
then-current base salary, unless greater decreases are in effect
for other Key Executives, as defined in the employment
agreements. Each employee is eligible to participate in Mobile
Minis incentive bonus programs, which are administered by
the Compensation Committee of the board of directors.
Each employment agreement provides that Mobile Mini will make
specified payments to the employee if either the employees
employment is terminated involuntarily as determined under the
agreement, for any reason other than cause (as defined in the
employment agreement), or if there is a change of control (as
defined in the employment agreement) of Mobile Mini. In the
event of any such involuntary termination, the employee would be
entitled under the employment agreement to receive a termination
payment equal to three times his base salary for the twelve
month period preceding the date of termination, and Mobile Mini
would have the right to pay that amount over an 18 month
period. If within six months after a change in control either
the employee is terminated or elects for any reason to terminate
his employment, the employee would be entitled to be paid an
amount equal to four times the greater of his annual base salary
in effect the day before the change of control occurred and his
annual base salary during the last twelve months preceding the
change of control. This amount would be payable in a lump sum,
unless Mobile Mini provided a letter of credit to the employee,
in which event the amount could be paid over a period of up to
18 months. Any payment upon termination, however, will be
limited to an amount which is less than the parachute
payment threshold under section 280G of the Internal
Revenue Code (currently, $1,000,000).
Each employment agreement contains provisions restricting the
employees disclosure and use of Mobile Mini confidential
information, and providing that the employee will not compete
with Mobile Mini during the 18 months following the
termination of employment in connection with a change of control
and during the three years following termination under any other
circumstances.
Although we have not entered into any long-term employment
contracts with any of our other key employees, we have entered
into numerous agreements with key employees which are terminable
at will, with or without cause, including agreements with
Deborah K. Keeley. Each agreement contains a covenant not to
compete for a period of six months to two years after
termination of employment and a covenant not to disclose
confidential information of a proprietary nature to third
parties.
We had numerous bonus and incentive arrangements with several
employees during 2004, including Steven G. Bunger, Lawrence
Trachtenberg, and Deborah K. Keeley. These agreements included
an incentive
13
program to provide financial awards for increases in
profitability and based upon a subjective evaluation of
performance. Compensation arrangements with Steven G. Bunger and
Lawrence Trachtenberg are administered by the Compensation
Committee of the board of directors.
COMPENSATION COMMITTEE INTERLOCKS
Messrs. Marusiak, McConnell and Graunke served as the
members of the Compensation Committee during 2004. None of these
directors was an executive officer or otherwise an employee of
Mobile Mini before or during such service, and no executive
officer of Mobile Mini served on any other companys
compensation committee.
COMPENSATION COMMITTEE REPORT
ON EXECUTIVE COMPENSATION
Mobile Minis executive compensation program is
administered by the Compensation Committee of the board of
directors, which is comprised only of independent directors as
that term is defined in the rules of the Nasdaq Stock Market. As
a part of its duties, the Compensation Committee reviews
compensation levels and performance of our executive officers.
The Compensation Committee also administers our short and
long-term incentive programs, which include our stock option
plans and our bonus plans for various executive officers.
The following report of the Compensation Committee shall not be
deemed to be incorporated by reference into any previous filing
by Mobile Mini under either the Securities Act of 1933 or the
Securities Exchange Act of 1934 that incorporates future
Securities Act or Exchange Act filings in whole or in part by
reference.
Compensation Philosophy
Mobile Mini encourages each individual to enhance the value of
Mobile Mini through his or her entrepreneurial efforts. As such,
we position Mobile Minis base compensation levels for its
executive officers consistent with the individuals
performance and skills and the competitive marketplace.
Annual incentive payments are provided for achieving positive
results that prepare Mobile Mini for strategic growth and
continued financial strength. These results are usually
expressed by reference to ranges of net earnings, revenue and
earnings (EBITDA) targets set by the Compensation Committee
following review of managements projected financial plan
for the year. Annual incentives are designed to provide total
cash compensation at competitive levels relative to a peer group
of companies in the durable goods leasing industry as warranted
by performance.
Long-term incentives in the form of stock options are provided
to align the interests of management and the interests of the
stockholders, as well as reward members of management for
ongoing implementation of Mobile Minis strategic planning
objectives.
In total, the three elements of Mobile Minis executive
officer compensation program are designed to provide a
competitive compensation program taking into account Mobile
Minis financial performance relative to its expectations
and the peer companies performance.
Compensation of the Chairman, the Chief Executive Officer and
President
Steven G. Bunger serves as our Chairman, Chief Executive Officer
and President. During 2004, Mr. Bunger received base
compensation of $324,135, an increase from the $308,700 base
compensation received in 2003. In November 2004, the Committee
reviewed base salaries of its executive officers, including
Mr. Bunger. The Committee approved an adjustment of
Mr. Bungers base salary by increasing his base salary
to $340,342 for 2005, an increase of 5% over his 2004 base
salary.
In light of Mobile Minis 2004 financial performance,
Mr. Bunger was awarded a cash incentive payment of $372,755
in 2004. The incentive payment was based upon the executive
bonus plan, which the Committee
14
approved in December 2003 and which provided for a bonus of up
to 100% of base salary depending upon the Company achieving
specified earnings, revenue and EBITDA targets in 2004. In
addition, the bonus plan provided for a bonus of up to 15% of
base salary, with the amount determined by the Committee based
upon its evaluation of such subjective factors as it deems
appropriate. In connection with the bonus paid to
Mr. Bunger in respect of 2004, the Committee evaluated
Mr. Bungers contribution to Mobile Minis 2004
earnings before taxes, increase in the size of the container
rental fleet, increase in lease revenue, and other objective
factors to which the committee attributed less weight. During
2004, income from operations, excluding the effect of the
Florida litigation and before depreciation and amortization
expense, increased 20.1%, the number of units in the lease fleet
increased 12.4% and lease revenues increased 16.6% over the 2003
levels. These results were evaluated in light of several
subjective factors, including: success in keeping the company
sharply focused on marketing and sales; strong orderly growth;
effectively monitoring and amending a credit agreement in
concurrence with the Companys strategic objectives;
gaining institutional investor support of managements
growth and capital objectives; and effective outsourcing of
certain manufacturing activities complementing the geographical
growth of the companys operations. Both the objective and
subjective factors played a role in the committees
deliberations regarding executive compensation, and no single
factor predominated in respect of the committees
evaluation of the performance levels.
The Compensation Committee considers long-term incentives,
typically in the form of stock options, as an important
component of Mobile Minis overall executive compensation
program. On November 2, 2004, Mr. Bunger received
stock options on 50,000 shares of Mobile Minis common
stock. In connection with this grant, the Compensation Committee
considered Mr. Bungers position within Mobile Mini
and his contributions to the continuing success of Mobile Mini.
Internal Revenue Code Section 162(m) Compliance
Internal Revenue Code Section 162(m), enacted in 1993,
limits the deductibility of non-performance based compensation
in excess of $1 million for certain of Mobile Minis
executive offices. The non-performance based compensation paid
to Mobile Minis executive officers in 2004 did not exceed
the $1 million limit per officer, nor is it expected that
the non-performance based compensation to be paid to Mobile
Minis executive officers in 2004 will exceed the limit.
Mobile Minis 1994 and 1999 stock option plans qualify as
performance based compensation plans. As such, awards granted
under the plans will not be subject to the $1 million
limitation.
Because it is not likely that the cash compensation payable to
any of Mobile Minis executive officers will exceed the
$1 million limitation in the foreseeable future, the
committee has decided at this time not to take any other action
to limit or restructure the elements of cash compensation
payable to Mobile Minis executive officers. The committee
will reconsider this decision should the individual compensation
of any executive officer approach $1 million.
|
|
|
Compensation Committee |
|
|
Ronald J. Marusiak (Chair) |
|
Thomas R. Graunke |
|
Stephen A McConnell |
15
STOCK PERFORMANCE GRAPH
This graph compares our total stockholder returns to the
Standard & Poors 500 Stock Index, the Nasdaq
Stock Market (U.S.) Index and the Standard &
Poors SmallCap 600 Index from December 31, 1999 to
December 31, 2004. We are included in the
Standard & Poors SmallCap 600 Index and believe
it would be relevant to include this measurement in our
Performance Graph as a basis for comparison because this index
includes companies that typically have a market capitalization
between $300 million and $2 billion. Because the
Standard & Poors SmallCap 600 only includes
companies of similar market capitalization to us, beginning with
next years proxy materials, we will be including the
Standard & Poors SmallCap 600 instead of the
Standard & Poors 500 Stock Index. The graph
assumes that $100 was invested on December 31, 1999, and
any dividends were reinvested on the date on which they were
paid.
Total Return Performance
|
|
|
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Dec. 31, | |
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Dec. 31, | |
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Dec. 31, | |
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Dec. 31, | |
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Dec. 31, | |
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Dec. 31, | |
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1999 | |
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2000 | |
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2001 | |
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2002 | |
|
2003 | |
|
2004 | |
| |
Mobile Mini, Inc.
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|
$ |
100.00 |
|
|
$ |
106.98 |
|
|
$ |
181.95 |
|
|
$ |
72.88 |
|
|
$ |
91.72 |
|
|
$ |
153.67 |
|
Standard & Poors 500 Stock Index
|
|
$ |
100.00 |
|
|
$ |
91.20 |
|
|
$ |
80.42 |
|
|
$ |
62.84 |
|
|
$ |
80.62 |
|
|
$ |
89.47 |
|
Nasdaq Stock Market Index (U.S.)
|
|
$ |
100.00 |
|
|
$ |
60.31 |
|
|
$ |
47.84 |
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|
$ |
33.07 |
|
|
$ |
49.45 |
|
|
$ |
53.81 |
|
Standard & Poors SmallCap 600
|
|
$ |
100.00 |
|
|
$ |
111.80 |
|
|
$ |
119.11 |
|
|
$ |
101.68 |
|
|
$ |
141.13 |
|
|
$ |
173.09 |
|
16
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL
OWNERS AND MANAGEMENT
The following table sets forth information as of April 16,
2005 with respect to the beneficial ownership of shares of our
common stock by:
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each person we know to be the beneficial owner of 5% or more of
the outstanding shares of common stock; |
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each of our directors, director nominees and named
officers; and |
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all of our executive officers and directors as a group. |
Beneficial ownership is determined in accordance with
Rule 13d-3 under the Securities and Exchange Act of 1934,
as amended, and generally includes voting or investment power
over securities. Under this rule, a person is deemed to be the
beneficial owner of securities that can be acquired by such
person within 60 days of April 16, 2005 upon the
exercise of options. Each beneficial owners percentage
ownership is determined by assuming that all options held by
such person that are exercisable within 60 days of
April 16, 2005 have been exercised. Except in cases where
community property laws apply or as indicated in the footnotes
to this table, we believe that each stockholder identified in
the table possesses sole voting and investment power over all
shares of common stock shown as beneficially owned by the
stockholder.
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Name |
|
Number | |
|
Percent | |
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| |
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| |
Directors and Executive Officers:
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|
|
|
|
|
|
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Bunger Holdings, L.L.C.(1)
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|
|
410,000 |
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|
|
2.8 |
% |
|
Steven G. Bunger(2)
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|
|
579,419 |
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|
|
3.8 |
% |
|
Carolyn A. Clawson(3)
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|
|
163,062 |
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|
|
1.1 |
% |
|
Thomas R. Graunke(4)
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|
|
21,250 |
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|
|
* |
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|
Deborah K. Keeley(5)
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|
|
38,039 |
|
|
|
* |
|
|
Ronald J. Marusiak(6)
|
|
|
161,903 |
|
|
|
1.1 |
% |
|
Stephen A McConnell(7)
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|
|
70,875 |
|
|
|
* |
|
|
Lawrence Trachtenberg(8)
|
|
|
215,023 |
|
|
|
1.4 |
% |
|
Michael L. Watts(9)
|
|
|
21,250 |
|
|
|
* |
|
|
All directors and executive officers as a group (8 persons)(10)
|
|
|
1,270,821 |
|
|
|
8.2 |
% |
5% Holders:
|
|
|
|
|
|
|
|
|
|
Columbia Wanger Asset Management, L.P.(11)
|
|
|
850,000 |
|
|
|
5.7 |
% |
|
Dimensional Fund Advisors, Inc.(12)
|
|
|
1,075,643 |
|
|
|
7.3 |
% |
|
Luther King Capital Management Corporation(13)
|
|
|
861,400 |
|
|
|
5.8 |
% |
|
Smith Group(14)
|
|
|
777,020 |
|
|
|
5.3 |
% |
|
T. Rowe Price Associates, Inc.(15)
|
|
|
1,448,500 |
|
|
|
9.8 |
% |
|
TimesSquare Capital Management, LLC(16)
|
|
|
1,114,289 |
|
|
|
7.5 |
% |
Unless otherwise noted, the address of each person named in the
table is 7420 South Kyrene Road, Suite 101, Tempe,
Arizona 85283.
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(1) |
The members of Bunger Holdings, L.L.C. are Steven G. Bunger,
Carolyn A. Clawson, Michael J. Bunger, Jennifer Blackwell and
Susan Keating, who are siblings. |
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(2) |
Includes 82,000 shares owned by Bunger Holdings, L.L.C.;
109,295 shares owned by REB/ BMB Family Limited
Partnership; 3,140 shares of common stock held indirectly;
and 384,984 shares subject to exercisable options. |
17
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(3) |
Includes 82,000 shares owned by Bunger Holdings, L.L.C.;
56,450 shares owned by REB/ BMB Family Limited Partnership;
and 862 shares of common stock held indirectly and
23,750 shares subject to exercisable options. |
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(4) |
Includes 21,250 shares of common stock subject to
exercisable options. |
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(5) |
Includes 2,539 shares of common stock held indirectly and
35,500 shares subject to exercisable options. |
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(6) |
Includes 66,000 shares held by a Profit Sharing Plan and
Trust of which Mr. Marusiak is Trustee and Plan
Administrator. Mr. Marusiak disclaims any beneficial
ownership of these shares. Also includes 13,400 shares held
by Mr. Marusiaks children, 25,753 shares held by
Mr. Marusiak and his wife, and 56,750 shares subject
to exercisable options. |
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|
(7) |
Includes 27,125 shares of common stock held directly and
43,750 shares subject to exercisable options. |
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(8) |
Includes 15,796 shares of common stock, of which 10,500 are
held directly and 5,296 are held indirectly and
199,227 shares subject to exercisable options. |
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(9) |
Includes 21,250 shares of common stock subject to
exercisable options. |
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(10) |
Includes 484,360 shares of common stock and
786,461 shares subject to exercisable options. |
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(11) |
Based solely on the information provided in Amendment No. 4
to Schedule 13G filed with the Securities Exchange Commission
dated February 14, 2005 by Columbia Wanger Asset
Management, L.P. (WAM), WAM Acquisition GP, Inc.
(WAM GP) and Columbia Acorn Trust
(Acorn). WAM is an Investment Adviser registered
under the Investment Advisers Act of 1940; WAM GP is the general
partner of WAM; Acorn is an Investment Company under the
Investment Company Act of 1940 and is a client of WAM. Each of
WAM and WAM GP has shared voting power and shared dispositive
power with respect to 850,000 shares. Acorn has shared
voting power and shared dispositive power with respect to
825,000 shares. The address of principal business offices
for WAM, WAM GP and Acorn is 227 West Monroe Street,
Suite 3000, Chicago, Illinois 60606. |
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(12) |
Based solely on the information provided in Amendment No. 1
to Schedule 13G filed by Dimensional Fund Advisors Inc.
(Dimensional) with the Securities and Exchange
Commission dated February 9, 2005. Dimensional is an
Investment Advisor registered under the Investment Advisors Act
of 1940 and, in its role as investment advisor or manager, has
shared voting and investment power with respect to all
1,075,643 shares. The business address of Dimensional is
1299 Ocean Avenue, 11th Floor, Santa Monica, CA 90401. |
|
(13) |
Based on the information provided in a Form 13-F filed by
Luther King Capital Management Corporation (Luther
King) with the Securities and Exchange Commission dated
April 19, 2005. Luther King is an Investment Adviser
registered under the Investment Advisers Act of 1940 and, in its
role as investment advisor or manager, has sole power to vote or
direct the vote of 861,400 shares. The business address of
Luther King is 301 Commerce Street, Suite 1600,
Fort Worth, TX 76102. |
|
(14) |
Based on the information provided in Amendment No. 4 to
Schedule 13G filed by Thomas W. Smith and Scott J.
Vassalluzzo, with the Securities Exchange Commission dated
February 14, 2005. Of the 777,020 shares, each of
Thomas W. Smith and Scott J. Vassalluzzo has shared voting power
and shared investment power with respect to 662,020 shares.
In addition, Thomas W. Smith has sole voting and sole investment
power with respect to 115,000 shares. The principal
business office of each Thomas W. Smith and Scott J. Vassalluzzo
is 323 Railroad Avenue, Greenwich, Connecticut 06830. |
|
(15) |
Based solely on the information provided in Amendment No. 6
to Schedule 13G jointly filed by T. Rowe Price Associates,
Inc. and T. Rowe Price New Horizons Fund, Inc. with the
Securities Exchange Commission dated February 14, 2005. Of
the 1,448,500 shares, T. Rowe Price Associates, Inc. has
sole voting power with respect to 333,200 shares and sole
dispositive power with respect to 1,448,500 shares, and T.
Rowe Price New Horizons Fund, Inc. has sole voting power with
respect to 1,100,000 shares. Each of T. Rowe Price
Associates, Inc. and T. Rowe Price New Horizons Fund, Inc. is an
Investment Adviser registered under the Investment Advisers Act
of 1940 and an Investment Company registered under
Section 8 of the Investment Company Act of 1940 and, as
such, has beneficial ownership of the shares through the
investment discretion it exercises over its clients
accounts. The business address for |
18
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|
T. Rowe Price Associates, Inc. and T. Rowe Price New Horizons
Fund, Inc. is 100 E. Pratt Street, Baltimore, Maryland
21202. |
|
(16) |
Based solely on the information provided in Amendment No. 2
to Schedule 13G filed by TimesSquare Capital Management, LLC
(TimesSquare) to the Securities and Exchange
Commission dated February 11, 2005. Of the
1,114,289 shares, TimesSquare has sole dispositive power
over 1,114,289 and sole voting power with respect to 964,189.
TimesSquare is an Investment Adviser registered under the
Investment Advisers Act of 1940 and, in its role as investment
advisor or manager, has shared voting and investment power with
respect to all 1,114,289 shares. The business address of
TimesSquare is Four Times Square, 25th Floor, New York, NY
10036. |
SECTION 16(a) BENEFICIAL OWNERSHIP
REPORTING COMPLIANCE
Section 16(a) of the Securities Exchange Act of 1934, as
amended, requires our directors and executive officers to file
reports of holdings and transactions in Mobile Mini shares with
the Securities and Exchange Commission. Based on a review of
reports filed by our directors, executive officers and
beneficial holders of ten percent (10%) or more of our shares,
and based upon representations from those persons, all stock
ownership reports required to be filed by those reporting
persons during 2004 were timely made, except as follows: each of
Ms. Clawson, Messrs. Graunke, Marusiak, McConnell and
Watts received an annual automatic grant of options to
purchase 7,500 shares of our common stock on
August 2, 2004 and Aric Clawson was granted an option to
purchase 5,000 shares of our common stock on
November 2, 2004. Mr. Clawson is the husband of
Carolyn A. Clawson who is deemed to have beneficial ownership
with respect to the underlying shares of Mr. Clawsons
option grant. The corresponding Form 4 for each of the
persons identified above has since been filed.
RELATED PARTY TRANSACTION
When we were a private company prior to 1994, we leased some of
our properties from entities controlled by our founder, Richard
E. Bunger, and his family members. These related party leases
remain in effect. We lease a portion of the property comprising
our Phoenix location and the property comprising our Tucson
location from entities owned by Steven G. Bunger and his
siblings (including Carolyn A. Clawson, a member of our Board of
Directors). Steven G. Bunger is our President and Chief
Executive Officer and has served as our Chairman of the Board
since February 2001. Annual base lease payments under these
leases total approximately $66,000, with annual adjustment based
on the Consumer Price Index. Payments in 2004 for these leases
were approximately $84,000. The term of each of these leases
expires on December 31, 2008. Mobile Mini leases its
Rialto, California facility from Mobile Mini Systems, Inc., a
corporation wholly owned by Barbara M. Bunger, for total annual
base lease payments of $204,000, with annual adjustment based on
the Consumer Price Index. Barbara M. Bunger is the mother of
Steven G. Bunger and Carolyn A. Clawson. Payments in 2004 under
this lease were approximately $261,000. The Rialto lease expires
on April 1, 2016. Management believes that the rental rates
reflect the fair market rental value of these properties.
Mobile Mini obtains services throughout the year from SkilQuest,
Inc., a company engaged in sales and management support
programs. SkilQuest, Inc. is owned by Carolyn A. Clawson, a
member of our Board of Directors. Mobile Mini made aggregate
payments of approximately $334,000 and $188,000 to SkilQuest,
Inc. in 2003 and 2004, respectively, which management believes
represented the fair market value for the services performed.
In February 2001, Mobile Mini and its former chairman of the
Board, Richard E. Bunger, entered into an employment agreement
pursuant to which Mr. Bunger provides services to Mobile
Mini during the term of the agreement, which is scheduled to end
on June 30, 2005. Under the agreement, we paid
Mr. Bunger $112,000 in 2003 and $12,000 in 2004, and will
pay Mr. Bunger approximately $1,000 per month through
June 30, 2005. Through February 2004, Mobile Mini also
provided office space and an administrative assistant to
Mr. Bunger.
19
The agreement also provides that Mr. Bunger is bound by an
agreement pertaining to confidentiality of Mobile Minis
confidential information, and a non-competition agreement.
It is Mobile Minis intention not to enter into any
additional related party transactions other than extension of
lease agreements and renewal of the relationship with SkilQuest,
in each case on terms no less favorable to Mobile Mini than are
available from unrelated parties. The Board of Directors has
reviewed the terms of each of the transactions described above,
and concurs with managements judgment that each
transaction is on terms no less favorable to Mobile Mini than
may reasonably be expected in arms-length transactions
with unrelated parties.
SUBMISSION OF STOCKHOLDER PROPOSALS
From time to time, stockholders seek to nominate directors or to
present proposals for inclusion in the proxy statement and form
of proxy, or otherwise for consideration at the annual meeting.
To be included in the proxy statement or considered at an annual
meeting, you must timely submit nominations of directors or
other proposals to Mobile Mini in addition to complying with
certain rules and regulations promulgated by the Securities and
Exchange Commission. We intend to hold our year 2006 annual
meeting during June 2006. We must receive proposals for our 2006
annual meeting no later than January 13, 2006, for possible
inclusion in the proxy statement, or between March 2 and
April 1, 2006, for possible consideration at the meeting.
Direct any proposals, as well as related questions, to our
Corporate Secretary at the address set forth on the first page
of this Proxy Statement.
ANNUAL REPORT
Our 2004 annual report to stockholders has been mailed to
stockholders concurrently with the mailing of this proxy
statement, but is not incorporated into this proxy statement and
is not to be considered to be a part of our proxy solicitation
materials.
Upon request, we will provide, without charge to each
stockholder of record as of the record date specified on the
first page of this proxy statement, a copy of our annual report
on Form 10-K for the year ended December 31, 2004 as
filed with the SEC. Any exhibits listed in the annual report on
Form 10-K also will be furnished upon request at the actual
expense we incur in furnishing such exhibits. Any such requests
should be directed to our Corporate Secretary at our executive
offices set forth on the first page of this Proxy Statement.
DELIVERY OF DOCUMENTS TO SECURITY HOLDERS
Pursuant to the rules of the SEC, we and services that we employ
to deliver communications to our stockholders are permitted to
deliver to two or more stockholders sharing the same address a
single copy of each of our annual report to stockholders and our
proxy statement. Upon written or oral request, we will deliver a
separate copy of the annual report to stockholders and/or proxy
statement to any stockholder at a shared address to which a
single copy of each document was delivered and who wishes to
receive separate copies of such documents in the future.
Stockholders receiving multiple copies of such documents may
likewise request that we deliver single copies of such documents
in the future. Stockholders may notify us of their requests by
calling or writing us at our investor relations firm at The
Equity Group, Inc., 800 Third Avenue, 36th Floor, New
York, New York 10022, telephone (212) 836-9609.
Tempe, Arizona
Dated: May 12, 2005
20
APPENDIX A
AUDIT COMMITTEE CHARTER
(As revised and approved by the Board of Directors
on October 28, 2002)
The Audit Committee is appointed by the Companys Board of
Directors to assist the Board in monitoring (1) the
integrity of the financial statements of the Company,
(2) the compliance by the Company with legal and regulatory
requirements and (3) the independence and performance of
the Companys internal and external auditors.
The members of the Audit Committee shall meet the independence
and sophistication requirements of the Marketplace Rules of The
Nasdaq Stock Market (the Nasdaq Rules) and the
Sarbanes-Oxley Act of 2002 (the Act). In particular,
at least one member of the Audit Committee shall have accounting
or related financial management expertise which results in the
individuals qualification as a financial
expert pursuant to the Nasdaq Rules and the Act.
The Audit Committee shall have the authority to engage, and
determine the compensation of, special legal, accounting or
other consultants to advise the Committee. The Audit Committee
may request any officer or employee of the Company or the
Companys outside counsel or independent auditors to attend
a meeting of the Committee or to meet with any members of, or
consultants to, the Committee. The Audit Committee may also meet
with the Companys investment bankers or financial analysts
who follow the Company.
The Audit Committee shall:
A. Continuous
Activities General
(a) Provide an open avenue of communication between the
independent auditors, Chief Financial Officer and the Board of
Directors.
(b) Address complaints and concerns regarding accounting or
auditing matters brought to the attention of the Committee by
Company personnel.
(c) Review and reassess the adequacy of this Charter
annually with the assistance of the Companys outside
counsel and recommend any proposed changes to the Board for
approval.
(d) Advise financial management and the independent
auditors they are expected to provide a timely analysis of
significant new financial reporting issues and practices and to
provide any reports required by the Act.
(e) Inquire of management and the independent auditors
about significant risks or exposures and assess the steps
management has taken to minimize such risks to the Company.
(f) Meet periodically with the independent auditors, the
Chief Financial Officer and other members of management in
separate executive sessions to discuss any matter that the
Committee or these groups believe should be discussed privately
with the Audit Committee.
(g) Report periodically to the Board of Directors on
significant results of the foregoing activities.
(h) Appoint, compensate and oversee the Companys
independent auditors and resolve any disagreements between
management and the auditors regarding financial reporting. If so
determined by the Audit Committee, replace the independent
auditors.
(i) Instruct the independent auditors that the Act requires
the auditors to report directly to the Committee.
A-1
(j) Review and approve in advance all related-party
transactions, all audit services to be provided by the
independent auditors, and (to the extent pre-approval is not
waived under the Act) all permitted non-audit services.
(k) Monitor the independence of Committee members to ensure
compliance with the Nasdaq Rules and the Act.
B. Continuous
Activities Specific Tasks
(a) Review the experience and qualifications of the senior
members of the independent auditors team and the quality
control procedures of the independent auditors. Confirm that
neither the lead or coordinating audit partner nor the primary
reviewing partner of the independent auditors has performed
audit services for the Company for the previous five consecutive
years.
(b) Meet with the independent auditors prior to the audit
to review the planning and staffing of the audit and approve the
services to be provided by the independent auditors in
connection with the audit.
(c) Meet quarterly or more frequently as circumstances
require to review with management and the independent auditors
the Companys quarterly financial statements prior to the
public release of the Companys quarterly earnings press
release and the filing of its Form 10-Q, including the
results of the independent auditors reviews of the
quarterly financial statements.
(d) Consider and review with management including the Chief
Financial Officer and with the independent auditors:
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(a) Significant financial reporting issues, including
disclosures of insider and affiliated party transactions, and
judgments made in connection with the preparation of the
Companys financial statements, accompanying footnotes and
the independent auditors report thereon. |
|
|
(b) Any difficulties encountered in the course of audit
work, including any restrictions on the scope of activities or
access to required information and any disagreements with
management. |
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|
(c) Any changes required on the planned scope of the audit. |
|
|
(d) An analysis of the effect of alternative GAAP methods
on the Companys financial statements and a description of
any transactions as to which management obtained Statement on
Auditing Standards No. 50 letters. |
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(e) The effect of regulatory and accounting initiatives on
the Companys financial statements. |
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(f) Any material off-balance sheet transactions,
arrangements, obligations (including contingent obligations) and
other relationships of the Company with unconsolidated entities
or other persons that may have a material current or future
effect on financial condition, changes in financial condition,
results of operations, liquidity, capital expenditures, capital
resources or significant components of revenues or expenses. |
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|
(g) The managements and the independent
auditors qualitative judgments about the appropriateness,
not just the acceptability, of accounting principles and
financial disclosure practices used or proposed to be adopted by
the Company and, particularly, about the degree of
aggressiveness or conservatism of its accounting principles and
underlying estimates on an annual basis. |
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(h) Any material correcting adjustments that have been
identified by the independent auditors in accordance with GAAP
and the SECs rules and regulations. |
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(i) Other matters related to the conduct of the audit which
are to be communicated to the audit committee under generally
accepted auditing standards. |
(e) Determine, with regard to new transactions or events,
the auditors reasoning for the appropriateness of the
accounting principles and disclosure practices adopted by
management.
A-2
(f) Review the independent auditors report required
by the Act, describing (i) all critical accounting policies
and practices to be used, (ii) all alternative treatments
of financial information within GAAP that have been discussed
with management, ramifications of the use of such alternative
disclosures and treatments and the treatment preferred by the
independent auditors, and (iii) other material written
communications between the auditors and management, such as any
management letter or schedule of unadjusted differences.
(g) Pursuant to the Act, review quarterly with the Chief
Executive Officer and Chief Financial Officer (i) any
significant deficiencies in the design or operation of internal
controls which could adversely affect the Companys ability
to record, process, summarize and report financial data, and
(ii) any fraud, whether or not material, involving
management or other employees who have a significant role in the
Companys internal controls.
(h) Review with management and the independent auditors the
internal control assessment and report to be included in the
Companys 10-K as required by the Act.
(i) Assure that the auditors reasoning is described
in accepting or questioning significant estimates by management.
(j) Inquire as to the auditors views about whether
Companys choices of accounting principles are
conservative, moderate, or aggressive from the perspective of
income, asset, and liability recognition, and whether those
principles are common practices.
(k) Review with management and the independent auditors any
correspondence with regulators or governmental agencies and any
published reports which raise material issues regarding the
Companys financial statements or accounting policies.
(l) Inquire as to the auditors views about how the
Companys choices of accounting principles and disclosure
practices may affect members and public views and attitudes
about the Company.
(m) Review and approve in advance the retention of the
independent auditors for any non-audit service that is not
prohibited by the Act, provided, however, that
(a) permitted non-audit services that account for less than
$10,000 shall be deemed to be pre-approved, and (b) as
permitted by Section 302 of the Act, such pre-approval is
waived and shall not be required with respect to non-audit
services (i) that account, in the aggregate, for less than
5% of the total fees paid by the Company to its independent
auditors during the fiscal year in which such non-audit services
are provided, (ii) that the Company did not recognize as
non-audit services at the time of the engagement,
and (iii) that are promptly brought to the attention of,
and approved by, the Committee before the completion of the
audit (and such approval may be given by the Audit Committee or
any member of the Audit Committee). The Audit Committee may
delegate to any one of its members the authority to grant
pre-approval of any permitted non-audit services that account
for between $10,000 and $20,000 (and except as otherwise
provided in a resolution of the Audit Committee adopted
hereafter, the Audit Committee shall be deemed to have delegated
such authority, such that any one member of the Audit Committee
shall have the authority to grant pre-approval of any permitted
non-audit services within such dollar limits). The pre-approval
of any non-audit services pursuant to delegated authority or
deemed approval shall be reported to the full Audit Committee at
its next scheduled meeting. Approval of non-audit services to be
performed by the independent auditors pursuant to
section 13(b) hereof will be disclosed by the Company as
required pursuant to Section 202 of the Act in the
applicable reports filed with the SEC.
(n) Prior to the Company hiring employees of the
independent auditors who were engaged on the Companys
account, recommend to the Board guidelines for the
Companys hiring of such employees of the independent
auditors, bearing in mind the restrictions of the Nasdaq Rules
and the Act regarding auditors conflicts of interest.
(o) Assist the Board in the development and review of a
code of ethics for the Companys senior financial officers
that complies with the Act and the Nasdaq Rules.
A-3
(p) Arrange for the independent auditors to be available to
the full Board of Directors, at least annually, to help provide
a basis for the Board to provide input to the Committee
regarding the retention or dismissal of the auditors.
(q) Review periodically with general counsel, legal and
regulatory matters that may have a material impact on the
Companys financial statements, compliance policies and
programs.
(r) Establish procedures for (i) the receipt,
retention and treatment of complaints received by the Company
regarding accounting, internal accounting controls or auditing
matters, and (ii) the confidential, anonymous submission by
Company employees of concerns regarding questionable accounting
or auditing matters.
While the Audit Committee has the responsibilities and powers
set forth in this Charter, it is not the duty of the Audit
Committee to plan or conduct audits or to determine that the
Companys financial statements are complete and accurate
and are in accordance with generally accepted accounting
principles. The accuracy of the financial statements is the
responsibility of management. The conduct of an audit in
accordance with auditing standards generally accepted in the
United States is the responsibility of the Companys
independent auditors. It is also not the duty of the Audit
Committee to conduct investigations or to assure compliance with
laws and regulations or the Companys Code of Business
Conduct and Ethics.
A-4
APPENDIX B
COMPENSATION COMMITTEE CHARTER
Purpose
The Compensation Committee (the Committee) is
appointed by the Board of Directors (the
Board) of Mobile Mini, Inc. (the
Company) to discharge the Boards
responsibilities relating to compensation of the directors and
executive officers of the Company. The Committee has overall
responsibility for managing officer compensation, administering
the Companys compensation and incentive plans and
recommending policies relating to compensation and any such
plans.
The Committee is also responsible for producing an annual report
on executive compensation for inclusion in the Companys
proxy statement.
Committee Membership
The Committee shall consist of no fewer than three Board
members. Each member of the Committee shall satisfy the
definition of independent under the listing
standards of The Nasdaq Stock Market. All Committee members hall
also be non-employee directors as that term is
defined in Rule 16b-3 under the Securities Exchange Act of
1934, as amended, and outside directors as defined
by Section 162(m) of the Internal Revenue Code. The
Committee members will be appointed by the Board and may be
removed by the Board in its discretion. The Committee shall have
the authority to delegate any of its responsibilities to
subcommittees as the Committee may deem appropriate, provided
the subcommittees are composed entirely of independent directors
Committee Structure and Meetings
The Committee shall meet as often as its members deem necessary
to perform the Committees responsibilities.
Committee Authority and Responsibilities
The Committee will have the authority, to the extent it deems
necessary or appropriate, to retain a compensation consultant to
assist in the evaluation of director, Chief Executive Officer
(CEO) or senior executive compensation. The Committee shall have
sole authority to retain and terminate any such consulting firm,
including sole authority to approve the firms fees and
other retention terms. The Committee shall also have authority,
to the extent it deems necessary or appropriate, to retain other
advisors. The Company will provide for appropriate funding, as
determined by the Committee, for payment of compensation to any
consulting firm or other advisors employed by the Committee.
The Committee will make regular reports to the Board and will
propose any necessary action to the Board. The Committee will
review and reassess the adequacy of this charter annually and
recommend any proposed changes to the Board for approval. The
Committee will annually evaluate the Committees own
performance.
The Committee, to the extent it deems necessary or appropriate,
will
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Approve CEO compensation. |
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Approve non-CEO executive officer compensation (the
Companys CEO may be present at the meeting deliberations
on this subject, but may not vote). |
Adopted by the Board on February 25, 2004.
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APPENDIX C
NOMINATING AND CORPORATE GOVERNANCE COMMITTEE CHARTER
This Charter states the purpose, composition, meeting
requirements, committee responsibilities, annual evaluation
procedures and investigations and studies of the Nominating and
Governance Committee (the Committee)
of the Board of Directors (the Board)
of Mobile Mini, Inc., a Delaware Corporation (the
Company).
The Committee is responsible for: (a) assisting the Board
in determining the desired experience, mix of skills and other
qualities to assure appropriate Board composition, taking into
account the current Board members and the specific needs of the
Company and the Board; (b) identifying highly qualified
individuals meeting those criteria to serve on the Board;
(c) proposing to the Board a slate of nominees for election
by the stockholders at the Annual Meeting of Stockholders and
prospective director candidates in the event of the resignation,
death, removal or retirement of directors or other change in
Board composition; (d) reviewing candidates nominated by
stockholders for election to the Board; (e) developing
plans regarding the size and composition of the Board and its
committees; (f) reviewing management succession plans;
(g) developing and recommending to the Board a set of
corporate governance principles applicable to the Company,
reviewing such principles from time to time as necessary or
appropriate and monitoring and making recommendations to the
Board with respect to such principles applicable to the Company;
and (h) such other functions as the Board may from time to
time assign to the Committee. In performing its duties, the
Committee shall seek to maintain an effective working
relationship with the Board and the Companys management.
The Committee shall be composed of at least three members, all
of whom shall be independent directors, as such term
is defined in the listing standards of The Nasdaq Stock Market
The members of the Committee and the Committees
Chairperson shall be selected annually by the Board and serve at
the pleasure of the Board. A Committee member (including the
Chairperson) may be removed at any time, with or without cause,
by the Board. The Board may designate one or more independent
directors as alternate members of the Committee, who may replace
any absent or disqualified member or members at any meetings of
the Committee. No person may be made a member of the Committee
if his or her service on the Committee would violate any
restriction on service imposed by any rule or regulation of the
United States Securities and Exchange Commission or any
securities exchange or market on which shares of the common
stock of the Company are traded. The Committee shall have
authority to delegate responsibilities listed herein to
subcommittees of the Committee if the Committee determines such
delegation would be in the best interest of the Company.
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Meeting Requirements |
The Committee shall meet as necessary, but at least once each
year, to enable it to fulfill its responsibilities. The
Committee shall meet at the call of its Chairperson, preferably
in conjunction with regular Board meetings. The Committee may
meet by telephone conference call or by any other means
permitted by law or the Companys Bylaws. A majority of the
members of the Committee shall constitute a quorum. The
Committee shall act on the affirmative vote of a majority of
members present at a meeting at which a quorum is present.
Without a meeting, the Committee may act by unanimous written
consent of all members. The Committee shall determine its own
rules and procedures, including designation of a chairperson pro
tempore, in the absence of the Chairperson, and designation of a
secretary. The secretary need not be a member of the Committee
and shall attend Committee meetings and prepare minutes. The
Committee shall
C-1
keep written minutes of its meetings, which shall be recorded or
filed with the books and records of the Company. Any member of
the Board shall be provided with copies of such Committee
minutes if requested.
The Committee may ask members of management or others whose
advice and counsel are relevant to the issues then being
considered by the Committee, to attend any meetings and to
provide such pertinent information as the Committee may request.
The Chairperson of the Committee shall be responsible for
leadership of the Committee, including preparing the agenda,
presiding over Committee meetings, making Committee assignments
and reporting the Committees actions to the Board from
time to time (but at least once each year) as requested by the
Board.
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Committee Responsibilities |
In carrying out its oversight responsibilities, the
Committees policies and procedures should remain flexible
to enable the Committee to react to changes in circumstances and
conditions so as to ensure the Company remains in compliance
with applicable legal and regulatory requirements. In addition
to such other duties as the Board may from time to time assign,
the Committee shall have the following responsibilities:
A. Board Candidates and Nominees
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1. To propose to the Board a slate of nominees for election
by the shareholders at the Annual Meeting of Shareholders and
prospective director candidates in the event of the resignation,
death, removal or retirement of directors or a change in Board
composition requirements; |
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2. To develop criteria for the selection of new directors
and nominees for vacancies on the Board, including procedures
for reviewing potential nominees proposed by shareholders; |
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3. To review with the Board the desired experience, mix of
skills and other qualities to assure appropriate Board
composition, taking into account the current Board members and
the specific needs of the Company and the Board; |
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4. To conduct candidate searches, interview prospective
candidates and conduct programs to introduce candidates to the
Company, its management and operations, and confirm the
appropriate level of interest of such candidates; |
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5. To recommend to the Board, with the input of the Chief
Executive Officer, qualified candidates for the Board who bring
the background, knowledge, experience, skill sets and expertise
that would strengthen and increase the diversity of the Board; |
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6. To conduct appropriate inquiries into the background and
qualifications of potential nominees; |
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7. To review the suitability for continued service as a
director of each Board member when he or she has a significant
change in status, such as an employment change, and recommending
whether or not such director should be re-nominated; and |
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8. To work with senior management to provide an orientation
and continuing education program for directors. |
B. Board and Committees
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1. To review periodically the size of the Board and
recommend to the Board changes as appropriate; |
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2. To recommend to the Board policies pertaining to the
roles, responsibilities, retirement age, tenure and removal of
directors; |
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3. To assist the Board in determining and monitoring
whether or not each director and prospective director is an
independent director within the meaning of any rules
and laws applicable to the Company; |
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4. To review and consider possible conflicts of interests
that may arise between the Company and any director; |
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5. To review and monitor the size and composition of the
Board to ensure that a majority of the directors are
independent directors within the meaning of any
rules and laws applicable to the Company; |
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6. To review and consider the compensation and benefits of
directors who are not employees of the Company and to recommend
to the Compensation Committee or the Board, as applicable, any
changes that the Committee deems appropriate; |
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7. To review periodically, with the participation of the
Chief Executive Officer, all Board committees and recommend to
the Board changes, as appropriate, in the number,
responsibilities, membership and chairs of the
committees; and |
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8. To recommend that the Board establish such special
committees as may be necessary or appropriate to address
ethical, legal or other matters that may arise. |
C. Evaluations and Management Development
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1. To develop and review periodically a process for and to
assist the Board with conducting, not less frequently than
annually, an evaluation of the effectiveness of the Board as a
whole; |
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2. To develop and review periodically a process for and to
assist the Board with conducting, not less frequently than
annually, an evaluation of the Companys management; |
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3. To review the Companys management succession plans
to help assure proper management planning; and |
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4. To review the Chief Executive Officers
recommendations, and to make recommendations to the Board, as
requested, for senior officer positions. |
D. Corporate Governance
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1. To review periodically and monitor the Companys
corporate governance principles and guidelines to assure that
they reflect best practices and are appropriate for the Company
and to assist the Board in achieving such best
practices; and |
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2. To periodically review and recommend changes to the
Companys Certificate of Incorporation and Bylaws as they
relate to corporate governance issues, including any
modifications and enhancements to the Companys takeover
and structural defenses. |
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Annual Evaluation Procedures |
The Committee shall annually assess its performance to confirm
that it is meeting its responsibilities under this Charter. In
this review, the Committee shall consider, among other things,
(a) the appropriateness of the scope and content of this
Charter, (b) the appropriateness of matters presented for
information and approval, (c) the sufficiency of time for
consideration of agenda items, (d) frequency and length of
meetings and (e) the quality of written materials and
presentations. The Committee may recommend to the Board such
changes to this Charter as the Committee deems appropriate.
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VI. |
Investigations and Studies |
The Committee may conduct or authorize investigations into or
studies of matters within the Committees scope of
responsibilities as described herein, and may retain, at the
expense of the Company, independent counsel or other consultants
necessary to assist the Committee in any such investigations or
studies, if authorized by the Board. The Committee shall have
authority to retain and terminate any search firm to be used to
identify director candidates, including the authority to
negotiate and approve the fees and retention terms of such
search firm.
Approved by the Board of Directors on February 25,
2004.
C-3
Proxy Card
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![(MOBILE MINI INC. LOGO)](p70553dep7055300.gif)
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PROXY SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS
FOR 2005 ANNUAL MEETING OF STOCKHOLDERS
TO BE HELD ON JUNE 29, 2005
The undersigned appoints Deborah K. Keeley and Lawrence Trachtenberg, and each of them, as proxies,
each with full power of substitution, on behalf and in the name of the undersigned, to represent
the undersigned at the 2005 Annual Meeting of Stockholders of MOBILE MINI, INC. (Mobile Mini), to
be held on June 29, 2005, and at any adjournment or postponement thereof and authorizes them to
vote at such meeting, as designated on the reverse side of this form, all the shares of common
stock of Mobile Mini, Inc. held of record by the undersigned on May 2, 2005.
IF NO OTHER INDICATION IS MADE ON THE REVERSE SIDE OF THIS FORM, THE PROXIES WILL VOTE FOR ALL
PROPOSALS AND, IN THEIR DISCRETION, UPON SUCH OTHER BUSINESS AS MAY PROPERLY COME BEFORE THE
MEETING.
See reverse for voting instructions.
Please Mark Your Votes In The Following Manner, Using Dark Ink Only: x
The Board of Directors Recommends a Vote FOR Item 1.
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1. Election of Directors:
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01 Steven G. Bunger |
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02 Thomas R. Graunke |
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03 Michael L. Watts |
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Vote FOR all nominees (except as marked) |
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Vote WITHHELD from all nominees |
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(Instructions: To withhold authority to vote for any indicated nominee, write the number(s) of the nominee(s)
in the box provided to the right.) |
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The Board of Directors Recommends a Vote FOR Item 2.
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2. Ratification Of Appointment Of Independent Registered Public Accounting Firm. |
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At the proxies discretion on any other matters which may properly come before the meeting or any adjournment or
postponement thereof. |
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THIS PROXY WHEN PROPERLY EXECUTED WILL BE VOTED AS DIRECTED OR, IF NO DIRECTION IS GIVEN, WILL BE VOTED FOR THE
PROPOSAL. |
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Address Change? Mark Box o
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Indicate changes below: |
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Date |
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Signature(s) in Box
This proxy should be dated, signed by
the stockholder(s) exactly as his or
her name appears herein, and returned
promptly in the enclosed envelope.
Persons signing in a fiduciary
capacity should so indicate. If shares are held by joint tenants or as
community property, both stockholders
should sign.