LAKELAND INDUSTRIES, INC. (NASDAQ:LAKE) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02.
Effective as of July 21, 2017, Stephen M. Bachelder retired as a member of the Board of Directors (the “Board”) of Lakeland Industries, Inc. (the “Company”).
Effective as of July 21, 2017, the Board elected Jeffrey T. Schlarbaum to the Board to serve as a Class II Director, with a term expiring at the Company’s 2018 annual meeting of stockholders, to fill the vacancy created by Mr. Bachelder’s retirement.
Mr. Schlarbaum, age 51, has served as a director and as President and Chief Executive Officer of IEC Electronics Corp., a publicly-traded electronic manufacturing company, since February 2015. From February 2013 to June 2013 and from June 2014 to February 2015, Mr. Schlarbaum pursued personal interests. From June 2013 to June 2014, Mr. Schlarbaum served as Chief Operations Officer for LaserMax, Inc., a manufacturer of laser gun sights for law enforcement and the shooting sports community. From October 2010 to February 2013, Mr. Schlarbaum served as President of IEC Electronics Corp. Prior to that, Mr. Schlarbaum served as Executive Vice President and President of Contract Manufacturing of IEC Electronics Corp. from October 2008 to October 2010, Executive Vice President from November 2006 to October 2008 and Vice President, Sales and Marketing from May 2004 to November 2006. Mr. Schlarbaum received a BBA in marketing from National University and an MBA from Pepperdine University.
Mr. Schlarbaum was not appointed by the Board to any arrangement or understanding between him and the Company or any other person or entity, and Mr. Schlarbaum does not have any family relationship with any director or executive officer of the Company. In addition, there are no transactions between Mr. Schlarbaum and the Company that are required to be disclosed to Item 404(a) of Regulation S-K under the Securities Exchange Act of 1934, as amended.
Mr. Schlarbaum will receive an annual compensation of $75,000 for his service as a non-employee director, to the Company’s standard compensation policy for non-employee directors, as described under “Director Compensation” in the Company’s proxy statement for its 2017 annual meeting of stockholders filed with the Securities and Exchange Commission (“SEC”) on May 8, 2017. Mr. Schlarbaum will also be eligible for awards to non-employee directors under the Company’s 2017 Equity Incentive Plan. The Company and Mr. Schlarbaum will enter into the Company’s standard form of indemnification agreement for directors and officers, which form is filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K filed with the SEC on June 29, 2012.
On July 21, 2017, the Company entered into a consulting agreement with Mr. Bachelder, under which Mr. Bachelder will consult with the Company for a one-year period (the “Term”) to assist the Company with marketing, sales, and operational activities. During the Term, Mr. Bachelder will be paid an aggregate consulting fee of $75,000 and will be issued 6,241 restricted shares of the Company’s common stock scheduled to vest on July 27, 2017, which he otherwise would have forfeited. Mr. Bachelder is subject to non-competition, non-solicitation, and confidentiality provisions.
About LAKELAND INDUSTRIES, INC. (NASDAQ:LAKE)
Lakeland Industries, Inc. (Lakeland) manufactures and sells a line of safety garments and accessories for the industrial and public protective clothing market. The Company’s product categories include limited use/disposable protective clothing; high-end chemical protective suits; firefighting, flame resistant personal protective equipment (FR PPE) and heat protective apparel; reusable woven garments; high visibility clothing, and glove and sleeves. The Company’s products are sold by its in-house customer service group, its regional sales managers and independent sales representatives to a network of over 1,200 North American safety and mill supply distributors. These distributors in turn supply end user industrial customers, such as integrated oil, chemical/petrochemical, utilities, automobile, steel, glass, construction, smelting, munition plants, janitorial, pharmaceutical, mortuaries and high technology electronics manufacturers, as well as scientific and medical laboratories.
