lululemon athletica inc. (NASDAQ:LULU) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02.
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On April 16, 2018, we announced that Patrick Guido will be joining lululemon as its Chief Financial Officer, effective as of Mr. Guido's employment start date which is expected to be April 30, 2018. Mr. Guido will take over from Mr. Haselden, who has served as our Chief Financial Officer since 2015 and who will continue as our Chief Operating Officer.
Mr. Guido has more than 15 years of experience leading the finance functions of several Fortune 500 retail organizations, including VF Corporation, a global leader in branded life>
On April 10, 2018, we entered into an Executive Employment Agreement with Mr. Guido. Under the terms of his employment agreement, upon commencement of Mr. Guido's employment, he will receive an annual base salary of USD$520,000 and will be eligible to receive an annual target performance bonus of 75% of his base salary for the applicable fiscal year, if specified financial performance and individual performance goals are met for that year. Mr. Guido will receive a retention bonus of USD $300,000, payable within 15 days after his employment start date. Mr. Guido has agreed to reimburse us for the retention bonus in the event he voluntarily resigns his position as Chief Financial Officer or his employment is terminated for cause within 12 months from his employment start date. In addition, Mr. Guido will receive a one-time grant of a number of restricted share units equal to USD $100,000, effective as of his employment start date, which award will vest as to 33%, 33%, and 34% on the three anniversary dates following the grant date if he continues to be employed by us on each such vesting date.
Mr. Guido's employment may be terminated by him or by us at any time, with or without cause. In the event Mr. Guido voluntarily resigns or we terminate his employment for cause, he will receive only his base salary then in effect and benefits earned and payable as of the date of termination. In the event we terminate Mr. Guido's employment without cause, and subject to his compliance with the surviving terms of the employment agreement and a non-compete, non-solicitation and non-disparagement agreement and execution of a full release, in addition to the amounts described above, Mr. Guido will be entitled to severance equal to 15 months of his then-current base salary.
The foregoing description of the principal terms of Mr. Guido's employment agreement is qualified in its entirety by reference to the employment agreement, a copy of which will be filed with our quarterly report on Form 10-Q for the quarterly period ended April 29, 2018.
Financial Statements and Exhibits.
Press release, dated April 16, 2018
lululemon athletica inc. ExhibitEX-99.1 2 lulu-20180410xex991.htm GUIDO APPOINTMENT AS CHIEF FINANCIAL OFFICER Exhibit Exhibit 99.1LULULEMON ATHLETICA NAMES PATRICK GUIDO CHIEF FINANCIAL OFFICERVANCOUVER,…To view the full exhibit click here About lululemon athletica inc. (NASDAQ:LULU) Lululemon Athletica Inc. is a designer, distributor and retailer of technical athletic apparel. The Company’s segments include Company-operated stores, Direct to consumer and Other. The Company offers a line of apparel and accessories for women, men and female youth. Its apparel assortment includes items, such as pants, shorts, tops and jackets designed for healthy lifestyle activities and athletic pursuits, such as yoga, running, other sweaty pursuits and athletic wear for female youth. The Company conducts its business through two channels: Company-operated stores and direct to consumer. It operates approximately 360 Company-operated stores located in the United States, Canada, Australia, New Zealand, the United Kingdom, Singapore, Hong Kong, Germany and Puerto Rico. Its direct to consumer segment includes lululemon and ivivva e-commerce Websites, www.lululemon.com and www.ivivva.com, and other country and region specific Websites.