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Note 16 - Subsequent Events
 12 Months Ended
Dec. 31, 2019
Notes to Financial Statements  
Subsequent Events [Text Block]
16.
     Subsequent Events
 
Novel Coronavirus (COVID-
19
) Outbreak
 
In
March 2020,
the World Health Organization declared the novel strain of Coronavirus (COVID-
19
) a global pandemic and recommended containment and mitigation measures worldwide.  Internationally and in the USA, many of our customers have been affected by business closure and stay at home orders, which has hampered our ability to perform in-store services.  Some of our international locations, particularly in China, were impacted very early in
2020,
while most other countries, including the USA, have been impact at varying times generally starting in
March 2020.
As of the date of this filing, many of our Company subsidiaries globally have been impacted by temporary retail closures or reduced in-store hours, although most of our customer’s locations remain open to provide essential products. New store openings and remodels with the Company's assistance are particularly susceptible to such external factors and are being delayed by many of the Company's clients due to the effects of the Novel Coronavirus. In response, the Company has implemented several cost savings measures which include a reduction in the use of contracted workers, furloughing employees, reducing hours and a reduction in other corporate and non-critical expenses. We cannot reasonably estimate the length or severity of this pandemic, but we currently anticipate a material adverse impact on our consolidated financial position, consolidated results of operations, and consolidated cash flows in fiscal
2020.
 
On
March 27, 2020,
President Trump signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act to provide relief as a result of the COVID-
19
outbreak.  The CARES Act, among other things, includes
1
) provisions relating to compensation, benefits and payroll tax relief,
2
) the availability of net operating loss carrybacks for periods beginning in
2018
and before
2021
and alternative minimum tax credit refunds, and
3
) modifications to the net interest deduction limitations.  The Company continues to examine the impacts this CARES Act
may
have on its business.  The governments in which our International subsidiaries are located are offering similar business relief programs and the Company is examining the impacts of these programs on its operations as well.
 
Bartels' Retirement and Director Compensation
 
William H. Bartels retired as an employee of the Company as of
January 1, 2020. 
However, he will continue to serve as Vice Chairman and a member of SGRP's Board of Directors (the "Board"), positions he has held since
July 8, 1999.
 
Effective as of
January 18, 2020,
SGRP's Governance Committee proposed and unanimously approved the following benefits for the
five
year period commencing
January 1, 2020,
and ending
December 31, 2024 (
the "Five Year Period"), for Mr. Bartels in connection with his retirement: (a) retirement payments of
$100,000
per year ("Retirement Compensation"); (b) the then applicable regular non-employee director fees ("Regular Fees"), currently
$55,000
per year, and a supplemental Board fee of
$50,000
per year ("Supplemental Fees"); and (c) the same medical, dental, eye and life insurance benefits he received as of
December 31, 2019,
under an arrangement whereby Mr. Bartels shared part of the cost of Medicare and supplemental health benefits, currently valued at approximately
$15,588
per year ("Medical Benefits"); in each case paid in accordance with SGRP's payroll schedule and policies, and payable whether or
not
Mr. Bartels remains a director of SGRP for any reason.
 
The Retirement Compensation, Regular Fees and Supplemental Fees that remain unpaid during the Five Year Period: (i) shall be accelerated and paid to Mr. Bartels (or his heirs or assigns) in full upon the sale to a
third
party of a majority of the SGRP Shares or all or substantially all of SGRP's assets; and (ii) shall survive and be payable in full to his heirs and assigns in the event of the death of Mr. Bartels.
 
Based on current rates and benefits, the aggregate value of such compensation, fees and benefits payable to Mr. Bartels will be approximately
$220,558
per year and a total of
$1,102,940
for the Five Year Period. Such compensation, fees and benefits (in whole or in part)
may
be extended beyond the Five Year Period in the discretion of the Board.
 
In the event of  any future business transaction involving Mr. Bartels and SGRP for which Bartels
may
receive additional compensation as mutually agreed at the time of or in connection with such transaction, which under applicable law also will require approval of SGRP's Audit Committee as a related party payment or transaction (as Mr. Bartels will still be a related party if he is then a director or significant stockholder), such retirement compensation, fees or benefits will
not
offset, replace or limit any such additional approved transactional compensation payable to Mr. Bartels.
 
Mr. Bartels is
one
of the founders and a significant stockholder of SGRP (holding approximately
25.1%
of the SGRP Shares).  He also is part of a control group holding a majority of the SGRP Shares with Robert G. Brown (together with Mr. Bartels and related parties, the "Majority Stockholders"), which group most recently acted to unilaterally select, appoint and elect Panagiotis ("Panos") N. Lazaretos to serve on the board of directors of SGRP (effective on
December 10, 2019),
and unilaterally select, appoint and elect Robert G. Brown to serve on the board of directors of SGRP (likely to effective as of
April 24, 2020).
 
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