Month: January 2019
Iconix Brand Group, Inc. Names John T. McClain as CFO
Iconix Brand Group, Inc. (Nasdaq: ICON) today announced that John T. McClain has been appointed Chief Financial Officer, effective February 11, 2019. Mr. McClain has a strong background in financial leadership positions for global brands. He will report to Robert Galvin, chief executive officer, president and a member of the board of directors at Iconix Brand Group, Inc.
“John is a transformational CFO with an impressive background in financing and restructuring and I’m thrilled to have him join my team at Iconix Brand Group, Inc.,” said Mr. Galvin. “I have known John for more than a decade and he is a true professional who will be an asset to Iconix,” added Mr. Galvin.
From 2007 until its sale to Sycamore Partners in 2014, Mr. McClain was CFO at Jones Apparel Group, a $4 billion leading global designer, marketer and wholesaler of over 25 brands with product expertise in apparel, footwear, jeanswear, jewelry and handbags. He has also held senior finance roles at Lindblad Expedition Holdings, Inc., Avis Budget Group, Inc., formerly Cendant Corporation, Sirius Satellite Radio Inc. and ITT Corporation. Mr. McClain is currently a member of the board of directors for Lands’ End, Inc. and Seritage Growth Properties, and is a graduate of Lehigh University with a B.S. in accounting.
Inducement Equity Grants
As an inducement to accept his appointment with Iconix, and in lieu of Mr. McClain’s eligibility to participate in Iconix’s 2019 long-term incentive plan or any similar incentive plan effected in 2019 by Iconix., Mr. McClain will be granted a number of restricted stock units equal to the number of Iconix’s common shares with a value on the date of grant of $262,500 (the “RSUs”), and a number of performance stock units equal to the number of Iconix’s common shares with a value on the date of grant of $262,500 (the “PSUs”).
One-third of the RSUs are vested on the date of grant, with the remaining two-thirds of the RSUs to vest on February 11, 2020, subject to Mr. McClain’s continued employment with Iconix through the vesting date; provided that, if Mr. McClain’s employment terminates for any reason before such vesting date, then all of the RSUs (whether or not then vested) will be forfeited immediately for no consideration; provided that in the event of a termination by Iconix without cause and unrelated to Iconix’s or the Mr. McClain’s performance, all unvested RSUs shall vest on the first anniversary of the grant date. Any vested RSUs will be distributed to Mr. McClain in shares of Iconix’s common stock within 15 days after the applicable vesting date. Mr. McClain has a right to receive dividend equivalents in respect of the RSUs, which will be subject to the same vesting and other restrictions applicable to the underlying RSUs.
The PSUs are eligible to vest at the end of a three-year performance period ending on December 31, 2021, based on the same financial performance metric to be determined by the Compensation Committee of Iconix’s Board of Directors, in its sole discretion, pursuant to Iconix’s 2019 long term incentive plan applicable to Iconix’s other senior executives; provided that, if Mr. McClain’s employment is terminated by Iconix without “cause” (and not due to his death or disability) or by him for “good reason” (each such term as defined in his employment agreement with Iconix), then he will remain eligible to earn a pro rata number of the PSUs, based on the percentage of the Performance Period during which he was employed by Iconix, provided that the applicable performance metric is achieved on the termination date as if the termination date had been the last day of the Performance Period. The pro rata number of PSUs that would be earned by Mr. McClain in accordance with the prior sentence will become vested at the end of the performance period, subject to Mr. McClain’s continued compliance with certain restrictive covenants.
In the event of a change in control of Iconix occurring prior to the last day of the performance period, any outstanding and unvested PSUs will be converted to a number of restricted stock units equal to the number of PSUs that would have vested on the date of such change in control based on the applicable financial metric described above if such change in control had been the last day of the performance period, and any such restricted stock units will vest on the last day of the performance period, subject to Mr. McClain’s continued employment with Iconix and his continued compliance with certain restrictive covenants; provided that, if the PSU award is not assumed, substituted or otherwise continued in a change in control, then such restricted stock units will vest immediately upon such change in control; provided, further, that, if Mr. McClain’s employment is terminated by Iconix without cause (and not due to his death or disability) or by him for good reason, in any case, within 24 months after a change in control of Iconix, then any outstanding restricted stock units into which the PSUs have converted will vest immediately on the termination date (subject to Mr. McClain’s continued compliance with certain restrictive covenants). Any PSUs that remain unvested as of the last day of the performance period will be forfeited immediately for no consideration. Any vested PSUs will generally be distributed to Mr. McClain promptly after the end of the performance period (or, if applicable, the date of termination of his employment). Mr. McClain has a right to receive dividend equivalents in respect of the PSUs, which will be subject to the same vesting and other restrictions that apply to the underlying PSUs.
The RSUs and PSUs described above are being granted as a material inducement to Mr. McClain entering into employment with Iconix in accordance with NASDAQ Listing Rule 5635(c)(4), and are subject to the terms and conditions of the applicable award agreements.
About Iconix Brand Group, Inc.
Iconix Brand Group, Inc. owns, licenses and markets a growing portfolio of consumer brands including: CANDIE’S ®, BONGO ®, JOE BOXER ®, RAMPAGE ®, MUDD ®, MOSSIMO ®, LONDON FOG ®, OCEAN PACIFIC ®, DANSKIN ®, ROCAWEAR ®, CANNON ®, ROYAL VELVET ®, FIELDCREST ®, CHARISMA ®, STARTER ®, WAVERLY ®, ZOO YORK ®, UMBRO ®, LEE COOPER ®, ECKO UNLTD. ®, MARC ECKO ®, ARTFUL DODGER® and HYDRAULIC ®. In addition, Iconix owns interests in the MATERIAL GIRL ®, ED HARDY ®, MODERN AMUSEMENT ®, BUFFALO ® and PONY ® brands. Iconix licenses its brands to a network of leading retailers and manufacturers that touch every major segment of retail distribution in both the U.S. and worldwide. Through its in-house business development, merchandising, advertising and public relations departments, Iconix manages its brands to drive greater consumer awareness and equity.
ICONIX BRAND GROUP, INC. AND G-III SPORTS EXTEND THEIR LONGSTANDING LICENSING AGREEMENT FOR STARTER – THE ICONIC PREMIUM ATHLETIC BRAND
New York, New York – January 22, 2019 – Iconix Brand Group, Inc. and G-III Sports are extending their longstanding licensing agreement for STARTER, the iconic premium athletic brand. The deal includes both STARTER Black Label and all co-branded STARTER collections and extends the current agreement for a five-year contract with an additional five-year renewal, effective January 1, 2019. Iconix and G-III have collaborated on Starter since 2012.
Under the new agreement, Iconix and G-III will work together on the design, development and marketing of both STARTER Black Label and all co-branded STARTER product lines for major professional and college sports leagues including the NFL, NBA, NHL, MLB and NCAA. Additionally, STARTER will be returning to the football field through a new partnership with The Alliance of American Football (AAF), a professional football league debuting February 9, 2019. STARTER will be the official on-field apparel and game day uniform supplier for all eight Alliance teams in the newly formed league.
In addition to co-branded sports apparel, the G-III and Iconix partnership also extends to STARTER Black Label, a premium lifestyle brand extension, focusing on a fashion-forward collection of logo branded apparel and accessories. STARTER Black Label regularly releases collaborations with high-end streetwear designers, global fashion labels and various creative partners.
STARTER’s co-branded collections and the STARTER Black Label line are available at a wide range of retail partners including SIX:02, Fanatics, Pac Sun, Urban Outfitters, top specialty stores and Macy’s, among others.
“I first started working with STARTER in 1985 as a brand ambassador, while playing for the New York Giants,” said Carl Banks, President of G-III Sports and two-time Super Bowl champion. “The STARTER brand has always represented the convergence of sports, culture and fashion, which paved the way for many brands. G-III Sports looks forward to extending our ongoing partnership with Iconix Brand Group to continue introducing the STARTER brand to a new generation of fans.”
“G-III Sports is the perfect partner to help Iconix further grow and maximize the STARTER brand,” said Robert Galvin, chief executive officer, president and a member of the board of directors at Iconix Brand Group, Inc. “STARTER has been part of the sports and fashion landscape for almost five decades and extending our relationship with G-III Sports will allow us to capitalize on the growing consumer demand for retro brands.”
Established in 1971, STARTER is one of the most iconic global sports brands in history. The brand pioneered the fusion of sports clothing with popular culture, including logo apparel, and continues to produce apparel that honors its heritage and emphasizes quality and style.
STARTER, a premium athletic brand established in 1971 and owned by Iconix Brand Group, pioneered the fusion of sports clothing with popular culture by forging partnerships with the major professional basketball, football, baseball and hockey leagues. STARTER launched STARTER Black Label in 2012 as a premium lifestyle brand extension focusing on a fashion-forward collection of logo branded apparel and accessories. Shortly after, STARTER re-launched the legendary STARTER jacket, quickly becoming a wardrobe staple for sports fans, athletes and entertainers to express their team pride and street style. In addition to Pro and NCAA outerwear, Starter expanded its NCAA collection to include apparel and headwear categories for more than 120 top NCAA programs. Starter continues to produce the iconic satin jacket, in addition to expanded apparel offerings, including an exclusive line available on Amazon.com. For more information, please visit Starter.com.
About G-III Apparel Group, Ltd.
G-III designs, sources and markets apparel and accessories under owned, licensed and private label brands. G-III’s owned brands include DKNY, Donna Karan, Vilebrequin, G. H. Bass, Andrew Marc, Marc New York, Eliza J and Jessica Howard. G-III has fashion licenses under the Calvin Klein, Tommy Hilfiger, Karl Lagerfeld Paris, Kenneth Cole, Cole Haan, Guess?, Vince Camuto, Levi’s and Dockers brands. Through our team sports business, G-III has licenses with the National Football League, National Basketball Association, Major League Baseball, National Hockey League, and over 150 U.S. colleges and universities. G-III also operates retail stores under the DKNY, Wilsons Leather, G. H. Bass, Vilebrequin, Karl Lagerfeld Paris and Calvin Klein Performance names.
About Iconix Brand Group, Inc.
Iconix Brand Group, Inc. owns, licenses and markets a growing portfolio of consumer brands including: CANDIE’S ®, BONGO ®, JOE BOXER ®, RAMPAGE ®, MUDD ®, MOSSIMO ®, LONDON FOG ®, OCEAN PACIFIC ®, DANSKIN ®, ROCAWEAR ®, CANNON ®, ROYAL VELVET ®, FIELDCREST ®, CHARISMA ®, STARTER ®, WAVERLY ®, ZOO YORK ®, UMBRO ®, LEE COOPER ®, ECKO UNLTD. ®, MARC ECKO ®and ARTFUL DODGER ®. In addition, Iconix owns interests in the MATERIAL GIRL ®, ED HARDY ®, MODERN AMUSEMENT ®, BUFFALO ®, HYDRAULIC ®, and PONY ® brands. The Company licenses its brands to a network of leading retailers and manufacturers that touch every major segment of retail distribution in both the U.S. and worldwide. Through its in-house business development, merchandising, advertising and public relations departments, Iconix manages its brands to drive greater consumer awareness and equity.
Iconix Brand Group
Sarah Cirkiel Gladstone