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February 14, 2018

Gary Owens, Chairman of the Board of Directors
The Board of Directors
Geospace Technologies Corporation
7007 Pinemont Drive
Houston, Texas 77040

RE: Annual Meeting Circus

Dear Gary,

I trust that you are aware that entities under our control collectively own approximately 10%
of the issued and outstanding shares of common stock of Geospace Technologies, Inc. This
makes us one of the company’s largest shareholders.1

As one of the largest shareholders, we cannot but be deeply troubled by the actions of this
board of directors in responding to the activities of current executives and directors of the
company, who have knowingly violated securities laws as outlined in our letter to you of
February 9, 2018.2 As you know our vote against the proposed executive compensation plan
was confirmed by both you and the transfer agent at the annual meeting held on February 7,
2018. Nevertheless, company executives have acted as if this vote was never cast, and, even
worse, to cover up this deception in the form 8-K which was filed on February 12, 2018. Mr.
McIntire’s attempt to justify the chicanery of later disregarding the votes in the most recent
form 8-K, to put it nicely, is fanciful. This action is particularly offensive considering Mr.
Wheeler’s recent comments on the Q1 2018 conference call--that the executive management

1
This fact is acknowledged in Geospace Technologies definitive proxy statement filed with the SEC on January 4,
2018. See page 25: “Security Ownership of Certain Beneficial Owners and Management,” and is further publicly
verifiable via Schedule 13G Amendment No. 2 filed with the Securities and Exchange Commission on January 11,
2017, indicating that Lemelson Capital Management, LLC beneficially owns 1,200,000 shares and has voting power
with respect to these shares.
2
See “Lemelson Capital Management calls for Removal of Geospace Technologies (NASDAQ: GEOS) Senior
Executives, Sale of Company,” February 9, 2017 (click here to access a copy).

www.lemelsoncapital.com
225 Cedar Hill Street, Ste 200 – Marlborough, MA 01752 - Tel. 508-630-2281

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team and directors of the company “...have a very good dialogue [with Lemelson Capital]…”
and that “[Lemelson Capital] is a very valued shareholder.” 3

We cannot reach any other conclusion other than the one that your actions are part of an
attempt to ram-through a dilutive, overpriced and value-destroying compensation plan by
engaging in a scheme to stifle and hide from public view the significant concerns of major
shareholders against the plan. We believe the primary goal of the compensation plan is to
continue to insulate and entrench yourselves at the expense of shareholders while using the
company’s mountain of cash to cover-over the incompetence of current management. Ken
Funston from FAMCo. summed it up nicely on the recent conference call when he remarked
that the current management team “sounds more like morticians than visionary leaders.”

It has now become apparent that Geospace Technologies has operated in a leadership vacuum
for almost four years. The board’s refusal, thus far, to hold Mr. Wheeler and Mr. McEntire
accountable for their performance since 2014, a period during which they presided over a
massive destruction of shareholder value, defies reason. The company’s stock price has
plummeted almost 90 percent since Mr. Wheeler took over as CEO in 2014, but under your
watch, Mr. Wheelers and Mr. McIntire enjoyed a 125% increase in compensation since 2015,
even as the company’s sales hit a 13-year low in 2016.

Your attempt to entrench yourselves by engaging in a scheme to hide from public view our
valid vote in opposition to the compensation plan, in a verbose 8-K filing designed to
obfuscate, would make Andrew Fastow and Jeffrey Skilling blush while your utter disregard
for accountability to the owners of Geospace Technologies and carefully engineered opacity
would leave the Maduro regime marveling at your talent.

Based on the above, it is clear, that without shareholder or regulatory intervention, the board
of directors cannot be trusted to oversee management to ensure that these egregious
practices are not repeated. Therefore, as we discussed in our letter of February 9, 2018, we
believe the following changes must be made immediately:

1. Correct the recently filed form 8-K to reflect the accurate tally of votes and make public
any correspondence or process in which Geospace invited or directed third parties to
make motions or alter the vote count (the "process letters") at the most recent annual
meeting.

2. Remove Mr. Wheeler and Mr. McEntire for clearly breaching their fiduciary
responsibilities to shareholders and for violating securities laws and regulations by
knowingly filing a false and materially misleading form 8-K on both February 8 and
February 12, 2018.

3. Engage an investment bank to explore strategic alternatives for a sale of the company.

3
See: Geospace Technologies' (GEOS) CEO Rick Wheeler on Q1 2018 Results - Earnings Call Transcript

www.lemelsoncapital.com
225 Cedar Hill Street, Ste 200 – Marlborough, MA 01752 - Tel. 508-630-2281

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We of course would encourage you to meet with some of Geospace Technologies’ largest
shareholders to discuss their views on the future of the company. While we are extremely
disturbed by your recent conduct and lack of urgency, we nevertheless are willing to meet
with you as part of this process. However, let me be clear: this willingness should not be
mistaken as an exclusive forum for discussing issues vital to the company’s future success.

Geospace Technologies should dispel lingering shareholder concerns by making a public
announcement, stating plainly that discussions among shareholders concerning the above
proposed changes – and any other corporate governance changes suggested by other
shareholders are being reviewed and considered.

We expect you will act swiftly and decisively to correct the matters described above. We’d
prefer that resources not be wasted on needless and disruptive fights.

However, it is important that you clearly understand that if you continue to ignore the
interests of shareholders and continue to aid and abet material misrepresentations of their
votes and wishes, we will not hesitate to take whatever actions we consider necessary to
protect our investment.

Sincerely,

Rev. Fr. Emmanuel Lemelson

Chief Investment Officer
Lemelson Capital Management, LLC

www.lemelsoncapital.com
225 Cedar Hill Street, Ste 200 – Marlborough, MA 01752 - Tel. 508-630-2281

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SPECIAL NOTE REGARDING THIS RELEASE

THIS REPORT INCLUDES INFORMATION BASED ON DATA FOUND IN FILINGS WITH THE SECURITIES AND
EXCHANGE COMMISSION, INDEPENDENT INDUSTRY PUBLICATIONS AND OTHER SOURCES. ALTHOUGH
WE BELIEVE THAT THE DATA IS RELIABLE, WE HAVE NOT SOUGHT, NOR HAVE WE RECEIVED, PERMISSION
FROM ANY THIRD-PARTY TO INCLUDE THEIR INFORMATION IN THIS PRESENTATION. MANY OF THE
STATEMENTS IN THIS PRESENTATION REFLECT OUR SUBJECTIVE BELIEF.

EMMANUEL LEMELSON’S VIEWS AND HIS HOLDINGS OF THE SECURITIES MENTIONED IN THIS RELEASE
COULD CHANGE AT ANY TIME. HE MAY SELL ANY OR ALL OF HIS HOLDINGS OR INCREASE HIS HOLDINGS
BY PURCHASING ADDITIONAL SECURITIES. HE MAY TAKE ANY OF THESE OR OTHER ACTIONS REGARDING
ANY OF SUCH SECURITIES WITHOUT UPDATING THIS RELEASE OR PROVIDING ANY NOTICE WHATSOEVER
OF ANY SUCH CHANGES.

THE INFORMATION CONTAINED ABOVE IS NOT AND SHOULD NOT BE CONSTRUED AS INVESTMENT
ADVICE, AND DOES NOT PURPORT TO BE AND DOES NOT EXPRESS ANY OPINION AS TO THE PRICE AT
WHICH THE SECURITIES OF GEOSPACE TECHNOLOGIES MAY TRADE AT ANY TIME. THE INFORMATION AND
OPINIONS PROVIDED ABOVE SHOULD NOT BE TAKEN AS SPECIFIC ADVICE ON THE MERITS OF ANY
INVESTMENT DECISION. INVESTORS SHOULD MAKE THEIR OWN DECISIONS REGARDING GEOSPACE
TECHNOLOGIES AND ITS PROSPECTS BASED ON SUCH INVESTORS' OWN REVIEW OF PUBLICALLY
AVAILABLE INFORMATION AND SHOULD NOT RELY ON THE INFORMATION CONTAINED ABOVE. NEITHER
LEMELSON CAPITAL MANAGEMENT, LLC NOR ANY OF ITS AFFILIATES ACCEPTS ANY LIABILITY
WHATSOEVER FOR ANY DIRECT OR CONSEQUENTIAL LOSS HOWSOEVER ARISING, DIRECTLY OR
INDIRECTLY, FROM ANY USE OF THE INFORMATION CONTAINED ABOVE.
FORWARD-LOOKING STATEMENTS

Certain statements contained in this letter are forward-looking statements including, but not limited to,
statements that are predications of or indicate future events, trends, plans or objectives. Undue reliance
should not be placed on such statements because, by their nature, they are subject to known and
unknown risks and uncertainties. Forward-looking statements are not guarantees of future performance
or activities and are subject to many risks and uncertainties. Due to such risks and uncertainties, actual
events or results or actual performance may differ materially from those reflected or contemplated in
such forward-looking statements. Forward-looking statements can be identified by the use of the future
tense or other forward-looking words such as "believe," "expect," "anticipate," "intend," "plan,"
"estimate," "should," "may," "will," "objective," "projection," "forecast," "management believes,"
"continue," "strategy," "position" or the negative of those terms or other variations of them or by
comparable terminology. Important factors that could cause actual results to differ materially from the
expectations set forth in this letter include, among other things, the factors identified under the section
entitled "Risk Factors" in Geospace Technologies Annual Report on Form 10-K for the year ended
September 30, 2017. Such forward-looking statements should therefore be construed in light of such

www.lemelsoncapital.com
225 Cedar Hill Street, Ste 200 – Marlborough, MA 01752 - Tel. 508-630-2281

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factors, and Lemelson Capital is under no obligation, and expressly disclaims any intention or obligation,
to update or revise any forward-looking statements, whether as a result of new information, future events
or otherwise, except as required by law.

www.lemelsoncapital.com
225 Cedar Hill Street, Ste 200 – Marlborough, MA 01752 - Tel. 508-630-2281

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