SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15 (d) of
The Securities Act of 1934
Date of Report (Date of earliest event reported) April 24, 2000
SIMTEK CORPORATION
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(Exact name of registrant as specified in its charter)
Colorado 0-19027 84-1057605
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(State or other (Commission (I.R.S. Employer
jurisdiction File Number) Identification No.)
of incorporation)
1465 Kelly Johnson Boulevard
Colorado Springs, Colorado 80920
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(Address of principal executive offices) Zip Code
Registrant's telephone, including area code: (719) 531-9444
Not applicable
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Former name or former address, if changed since last report
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Item 5: Other Information:
(1) The following 1998 Annual Report to Shareholders, dated March 24, 2000,
has been mailed by the Registrant to its Shareholders:
[OUTSIDE COVER OF REPORT]
Simtek Corporation
1465 Kelly Johnson Blvd. #301
Colorado Springs, CO 80920
[SIMTEK'S LOGO - GRAPHIC OMITTED]
1999
ANNUAL
REPORT
[END OF OUTSIDE COVER]
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To Our Shareholders:
This report covers the year ended December 31, 1999. Shareholders who desire
further disclosure information may request the following reports from the
Securities and Exchange Commission or from Simtek Corporation: Annual Reports on
Form 10- KSB and Quarterly Reports on Form 10-QSB.
Our net product sales for 1999 totaled $ 6,992,388 compared to $6,180,550 in
1998. The increase in net product sales for the year ended December 31, 1999 was
due primarily to the recovery of the Far East economy, where sales of our
nvSRAMs returned to their historic level as a percent of total sales. During
1999, sales of our 1.2 micron 64 kilobit and 0.8 micron 256 kilobit nvSRAM
military products accounted for approximately 29% of our sales, while the 256
kilobit and 64 kilobit nvSRAM product based on 0.8 micron technology accounted
for approximately 65% of sales. Sales of our 4 kilobit and 16 kilobit nvSRAM
products accounted for the balance of the sales in 1999. Three distributors of
our nvSRAM products accounted for approximately 56% of our net product sales for
the year ended December 31, 1999.
We had a net income of $132,256 for the year ended December 31, 1999 compared to
$162,781 for the year ended December 31, 1998. We realized a positive gross
margin of $2,663,644 in 1999 compared to $2,702,689 in 1998 for percentages of
38% and 44%, respectively.
Operating expenses were approximately $180,000 less for the year ended December
31, 1999 than for the year ended December 31, 1998. Of this decrease,
approximately $108,000 related to research and development, where in 1999, there
was a decrease in the costs associated with yield improvement on our 64 kilobit
and 256 kilobit 0.8 micron technology built at Chartered's wafer fab. There was
a decrease of approximately $80,000 in administration due
March 24, 2000
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primarily to decreased payroll and benefit costs and a decrease in legal
expenses. These decreases were partially offset by an approximate $8,000
increase in sales and marketing which was attributed to an increase in sales
commissions.
In July 1999, we qualified and began shipping small volumes of our 64 kilobit
and 256 kilobit AutoStorePlusTM Products. These parts are intended to be direct
replacements for encapsulated battery- backed SRAM's.
In the third quarter of 1999, we began sampling our Real Time Clock ("RTC")
module products which combine our nvSRAMs with a miniature capacitor- powered
oscillator/counter that eliminates the need for a back-up battery when system
power is lost.
1999 proved to be a good year for Simtek with record volume units being shipped
and record revenues being achieved. We at Simtek appreciate your continued
support.
Sincerely,
DOUGLAS MITCHELL
President and CEO
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<TABLE>
<CAPTION>
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Balance Sheet
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December 31,
1999
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<S> <C>
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 2,173,592
Restricted certificate of deposit 400,000
Accounts receivable - trade, net of allowance for
doubtful accounts and return allowances of $45,271 1,050,219
Inventory 916,692
Prepaid expenses and other 33,802
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Total current assets 4,574,305
EQUIPMENT AND FURNITURE, net 440,654
OTHER ASSESTS 49,425
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TOTAL ASSETS $ 5,064,384
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LIABILITIES AND SHAREHOLDER'S EQUITY
CURRENT LIABILITIES:
Accounts payable $ 731,651
Accrued Expenses 155,479
Accrued Wages 223,012
Accrued Vacation payable 83,688
Obligation under capital leases 51,115
Payable to ZMD 130,153
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Total current liabilities 1,375,098
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CONVERTIBLE DEBENTURES 1,500,000
OBLIGATIONS UNDER CAPITAL LEASES 190,544
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Total liabilities 3,065,642
COMMITMENTS (NOTE 6)
SHAREHOLDER'S EQUITY:
Preferred stock, $1.00 par value; 2,000,000 shares
authorized, none issued -
Common stock, $.01 par value; 80,000,000 shares
authorized, 28,955,226 shares issued and outstanding 289,552
Additional paid-in capital 29,793,041
Accumulated deficit (28,083,851)
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Total shareholder's equity 1,998,742
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TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY $ 5,064,384
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OTC Electronic Bulletin Board Registrar and Transfer Agent
System Symbol: Continental Stock Transfer and Trust
SRAM 2 Broadway
New York, NY 10004
</TABLE>
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<PAGE>
<TABLE>
<CAPTION>
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Statement of Operations
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FOR THE YEARS ENDED
DECEMBER 31,
-------------------------------------
1999 1998
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<S> <C> <C>
NET SALES $ 6,992,388 $ 6,180,550
Cost of Sales 4,328,744 3,477,861
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GROSS MARGIN 2,663,644 2,702,689
OPERATING EXPENSES:
Research and development costs 1,272,836 1,380,649
Sales and marketing 812,065 803,868
General and administrative 406,631 486,718
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Total operating expenses 2,491,532 2,671,235
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INCOME FROM OPERATIONS: 172,112 31,454
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OTHER INCOME (EXPENSE)
Interest income 96,942 78,587
Other income 1,678 128,906
Interest expense (138,477) (76,166)
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Total other income (39,857) 131,327
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NET INCOME AND COMPREHENSIVE INCOME $ 132,255 $ 162,781
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NET INCOME PER COMMON SHARE:
Basic $ * $ 0.01
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Diluted $ * $ 0.01
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WEIGHTED AVERAGE COMMON SHARE OUTSTANDING:
Basic 28,923,966 28,727,276
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Diluted 29,852,960 30,250,334
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*Less than $.01 per share.
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Directors and Officers
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Mr. Douglas Mitchell Dr. Klaus Wiemer, Director Mr. Harold Blomquist, Director
CEO, Director
Mr. John Heightley, Director Mr. Robert Keeley, Director
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Home Page: E-Mail
http://www.simtek.com [email protected]
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned and hereunto duly authorized.
SIMTEK CORPORATION
April 24, 2000 By: /s/Douglas Mitchell
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DOUGLAS MITCHELL
Chief Executive Officer, President and
Chief Financial Officer (acting)
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