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How many votes are required to approve each proposal?
| Proposal | | | Votes Required | | | Voting Options | | | Impact of “Withhold” or “Abstain” Votes | | | Broker Discretionary Voting Allowed | |
| Proposal No. 1: Election of Directors | | | The plurality of the votes cast. This means that the nominees receiving the highest number of affirmative “FOR” votes will be elected. | | | “FOR” “AGAINST” “ABSTAIN” | | | None(1) | | | No(2) | |
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Proposal No. 2: Approval of the Amendment to the Company’s Certificate of Incorporation | | | The affirmative vote of the holders of a majority of the total number of votes of the capital stock entitled to vote on such question, voting as a single class. | | | “FOR” “AGAINST” “ABSTAIN” | | | Will count as a vote “Against”(3) | | | No(2) | | |
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Proposal No. 3: Ratification of Appointment of Independent Registered Public Accounting Firm | | | The affirmative vote of the holders of a majority of the total number of votes of the capital stock represented at the Annual Meeting and entitled to vote on such question, voting as a single class. | | | “FOR” “AGAINST” “ABSTAIN” | | | Will count as a vote “Against”(3) | | | Yes(4) | |
What happens if the Annual Meeting is adjourned or postponed?
| Irwin D. Simon | | | | | | Director | | |
| Executive Chairman | | |||||||
| | Director Since:June 2020 Age: 62 | | | Other Public Company Boards: Tilray, Inc. | ||||
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| Committees:None | | | Education:Saint Mary’s University, B.S. in Commerce | |
| Albert Manzone | | | | | | Director | | |
| Chief Executive Officer | | |||||||
| | Director Since:September 2020 Age: 57 | | | Other Public Company Boards: None | | |||
| Committees: None | ||||||||
| | |
| Anuraag Agarwal | | | | | | Independent Director | |
| Group Head | | ||||||
| | Director Since:June 2020 Age: 46 | | | Other Public Company Boards: None | | ||
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Committees:Audit Committee and Nominating and Corporate Governance Committee | | | Education:Birla Institute of Technology & Science, M.Sc (Hons.) Economics, BE (Hons.) Chemical Engineering; Dartmouth College, Master of Engineering Management | |
Select Skills and Qualifications:
| Steven M. Cohen | | | | | | Independent Director | |
| Consultant | | ||||||
| | Director Since:June 2020 Age: 57 | | | Other Public Company Boards: None | |||
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| Committees:Compensation Committee and Nominating and Corporate Governance Committee | | | Education:New York University, B.A.; University of Pennsylvania Law School, J.D. | |
| Denise M. Faltischek | | | | | | Independent Director | |
| Head of International Business and Chief Strategy Officer, Tilray, Inc. | | ||||||
| | Director Since:June 2020 Age: 48 | | | Other Public Company Boards: None | | ||
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Committees:Chair, Nominating and Corporate Governance Committee | | | Education:Lehigh University, B.A.; Brooklyn Law School, J.D. | |
Ira J. Lamel Independent Director Other Public Company Boards: Novanta Inc. Committees:Chair, Audit Committee, and Compensation Committee
| John M. McMillin III | | | | | | Independent Director | |
| Limited Partner with Lord Abbett & Co., LLC | | ||||||
| | Director Since:June 2020 Age: 67 | | | Other Public Company Boards: None | | ||
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Committees:Chair, Compensation Committee, and Audit Committee | | | Education:Bucknell University, B.S.B.A.; Babson College, M.B.A. | |
McMillin'sMcMillin’s qualifications to serve on the Board include his extensive experience in the consumer products industry. Mr. McMillin has over 35 years of experience as equity analysis following consumer products companies. Mr. McMillin also has extensive investment experience and background in the consumer staples sector.
“FOR” THE ELECTION OF ALL SEVEN OF THESE NOMINEES FOR DIRECTOR.
Name | | Audit Committee | | Compensation Committee | | | Nominating and Governance Committee | | ||
Irwin D. Simon | | | | | | | | | | |
Anuraag Agarwal | | | * | | | | | | * | |
Steven M. Cohen | | | | | | * | | | * | |
Denise M. Faltischek | | | | | | | | | + | |
Ira J. Lamel | | | + | | | * | | | | |
Albert Manzone | | | | | | | | | | |
John M. McMillin | | | * | | | + | | | | |
The Nominating and Corporate Governance Committee may retain, as appropriate, search firms to assist in identifying qualified director candidates. The Nominating and Corporate Governance Committee expects to look for individuals who have displayed high ethical standards, integrity, sound business judgment and a willingness to devote adequate time to Board duties. The Nominating and Corporate Governance Committee has the ability to request any search firm that the Nominating and Corporate Governance Committee engages to include candidates with diversity of gender, race, ethnicity and culture in its list of potential director candidates. The Nominating and Corporate Governance Committee continually reviews Board composition and potential additions while striving to maintain and grow a diverse and broad skill set that complements the business. The Nominating and Corporate Governance Committee may consider certain factors related specifically to our business, including, but not limited to:
Name | Stock Awards ($)(1) | All Other Compensation ($) | Total ($) | |||||||||
Irwin D. Simon | $ | 250,000 | $ | 125,000 | $ | 375,000 | ||||||
Anuraag Agarwal | $ | 65,002 | $ | 32,500 | $ | 97,502 | ||||||
Steven M. Cohen | $ | 65,002 | $ | 32,500 | $ | 97,502 | ||||||
Denise M. Faltischek | $ | 65,002 | $ | 32,500 | $ | 97,502 | ||||||
Ira J. Lamel | $ | 65,002 | $ | 32,500 | $ | 97,502 | ||||||
Albert Manzone(2) | -- | -- | -- | |||||||||
John M. McMillin | $ | 65,002 | $ | 32,500 | $ | 97,502 |
Name | | | Stock Awards ($)(1) | | | All Other Compensation ($) | | | Total ($) | | |||||||||
Irwin D. Simon | | | | $ | 250,000 | | | | | $ | 125,000 | | | | | $ | 375,000 | | |
Anuraag Agarwal | | | | $ | 65,002 | | | | | $ | 32,500 | | | | | $ | 97,502 | | |
Steven M. Cohen | | | | $ | 65,002 | | | | | $ | 32,500 | | | | | $ | 97,502 | | |
Denise M. Faltischek | | | | $ | 65,002 | | | | | $ | 32,500 | | | | | $ | 97,502 | | |
Ira J. Lamel | | | | $ | 65,002 | | | | | $ | 32,500 | | | | | $ | 97,502 | | |
Albert Manzone(2) | | | | | — | | | | | | — | | | | | | — | | |
John M. McMillin | | | | $ | 65,002 | | | | | $ | 32,500 | | | | | $ | 97,502 | | |
Name | | | Number of Shares Beneficially Owned | | | Percent of Shares Outstanding | |||||||
| |||||||||||||
Neuberger Berman Alternative Funds, Neuberger Berman Long Short Fund | | | | | 2,104,400 | | | | |||||
| 5.46% | | | ||||||||||
River Road Asset Management, LLC | | | | | 2,936,296 | | | | |||||
| 7.61% | | | ||||||||||
Rubric Capital Management LP | | | | | 2,600,000 | | | | | 6.74% | | |
1 On July 24, 2020, Dicalite Management Group, Inc. (“Dicalite”) filed Amendment No. 1 to its Schedule 13G indicating that it had ceased to be the beneficial owner of more than five percent of the Company’s equity securities. Subsequently, Dicalite informed the Company that it had liquidated its entire position in the Company’s equity securities.
“Beneficial ownership” includes those shares of our common stock the reporting person has the power to vote or transfer, stock options that are currently exercisable or exercisable within 60 days, and deferred stock units that may vest within 60 days. Unless otherwise indicated, the persons named below have sole voting and investment power over the shares listed.
Name | | | Number of Shares Beneficially Owned | | | Percent of Shares Outstanding | | ||||||
Irwin D. Simon(1) | | | | | 1,125,976 | | | | | | 2.92% | | |
Albert Manzone(2) | | | | | 32,935 | | | | | | * | | |
Lucas Bailey(3) | | | | | — | | | | | | — | | |
Andrew Rusie(4) | | | | | 5,570 | | | | | | * | | |
Denise M. Faltischek(5) | | | | | 12,794 | | | | | | * | | |
Steven M. Cohen(6) | | | | | 7,794 | | | | | | * | | |
John M. McMillin(7) | | | | | 29,794 | | | | | | * | | |
Anuraag Agarwal(8) | | | | | 22,794 | | | | | | * | | |
Ira J. Lamel(9) | | | | | 159,572 | | | | | | * | | |
All directors and executive officers as a group (9 persons)(10) | | | | | 1,397,229 | | | | | | 3.62% | | |
For the fiscal year ended December 31, 2020, our named executive officers (each an “NEO”) were:
Named Executive Officer | | | Title | |
Albert Manzone | | | Chief Executive Officer | |
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Andrew “Andy” Rusie | | | Chief Financial Officer | |
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Lucas Bailey | | | President of Flavors & Ingredients | |
The Compensation Committee took the results of Korn Ferry’s comparative analyses of our peer groups (as described below), as well as the considerations provided by Korn Ferry with respect to components and levels of compensation for our executive officers, under advisement in determining competitive market practice in our industry. The Compensation Committee considered the assessment of peer group market compensation, historical compensation levels, subjective assessments of individual performance and value to the Company, and other subjective factors in establishing and approving the various elements of our executive compensation program for fiscal year 2020.
| Lancaster Colony Corporation
| | | The Simply Good Foods Company | | | Beyond Meat, Inc. | |
| Sunopta Inc. | | | J&J Snack Foods | | | E.L.F. Beauty, Inc. | |
| Bellring Brands, Inc. | | | John B. Sanfilippo & Son | | | Newage, Inc. | |
| National Beverage Corp. | | | Farmer Bros. Co. | | | Freshpet, Inc. | |
| Rogers Sugar Inc. | | | MGP Ingredients, Inc.
|
| | Craft Brew Alliance, Inc. | |
| Landec Corporation | | | S&W Seed Company | | | Bridgford Foods Corporation | |
Element | | | Fixed or Variable | | | Purpose & Design Features | |
Base Salary | | | Fixed | | | To attract and retain executives by offering fixed compensation that is competitive with market opportunities and that recognizes each executive’s position, role, responsibility and experience. | |
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Annual Performance-Based Cash Incentive | | | Variable | | | To motivate and reward the achievement of our annual performance goals, based on the attainment of pre-defined financial performance objectives. | |
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Equity Awards | | | Variable | | | To align executives’ interests with the interests of stockholders through equity-based compensation with performance-based and time-based vesting periods and to promote the long-term retention of our executives and other key management personnel. | |
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Benefits | | | Fixed | | | To provide attractive benefits that promote employee (and potentially family) health and wellness. Benefits are provided at a level that is the same or similar to all employees, unless otherwise noted below. | |
Base Salary
Executive & Title | 2020 Base Salary* | |||
Albert Manzone, CEO | $ | 632,800 | (1) | |
Andrew Rusie, CFO | $ | 375,000 | ||
Lucas Bailey, Pres. Flavors & Ingredients | $ | 734,410 | (2) |
Executive & Title | | | 2020 Base Salary* | | |||
Albert Manzone, CEO | | | | $ | 632,800(1) | | |
Andrew Rusie, CFO | | | | $ | 375,000 | | |
Lucas Bailey, Pres. Flavors & Ingredients | | | | $ | 734,410(2) | | |
With respect to our 2020 annual equity grants, we issued time-based restricted stock units (“RSUs”) under our equity-based 2020 long-term incentive plan (the “2020 LTIP”) to our NEOs, as well as our key employees. Due to the Business Combination occurring midyear, in lieu of an annual cash-based bonus plan, the Compensation Committee approved 2020 annual equity grants, subject to a fourteen (14) month service-based vesting condition, except under certain conditions, in order to incentivize all employees at manager level and above (with cash bonuses to our employees below the manager level) for purposes of retention.
Albert Manzone Employment Agreement
Name and Principal Position | Year | Salary ($) | Bonus ($)(1) | Stock Awards ($)(2) | Non-Equity Incentive Plan Compensation ($)(3) | All Other Compensation ($)(4) | Total ($) | |||||||||||||||||||
Albert Manzone | 2020(5) | $ | 632,800 | $ | 0 | $ | 800,060 | $ | 535,338 | $ | 3,540,272 | $ | 5,508,470 | |||||||||||||
Chief Executive Officer | 2019(6) | $ | 558,606 | $ | 0 | $ | 0 | $ | 235,553 | $ | 613,124 | $ | 1,407,283 | |||||||||||||
Andrew Rusie | 2020 | $ | 375,000 | $ | 257,500 | $ | 294,061 | $ | 0 | $ | 11,400 | $ | 937,961 | |||||||||||||
Chief Financial Officer | 2019 | $ | 23,438 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 23,438(7) | |||||||||||||
Lucas Bailey | 2020 | $ | 734,410 | $ | 0 | $ | 669,380(8) | $ | 0 | $ | 1,756,949 | $ | 3,160,739 | |||||||||||||
President – Flavors & Ingredients | 2019 | $ | 780,300 | $ | 413,674 | $ | 0 | $ | 0 | $ | 36,105 | $ | 1,230,079 |
Name and Principal Position | | | Year | | | Salary ($) | | | Bonus ($)(1) | | | Stock Awards ($)(2) | | | Non-Equity Incentive Plan Compensation ($)(3) | | | All Other Compensation ($)(4) | | | Total ($) | | |||||||||||||||||||||
Albert Manzone Chief Executive Officer | | | | | 2020(5) | | | | | $ | 632,800 | | | | | $ | 0 | | | | | $ | 800,060 | | | | | $ | 535,338 | | | | | $ | 3,540,272 | | | | | $ | 5,508,470 | | |
| | | 2019(6) | | | | | $ | 558,606 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 235,553 | | | | | $ | 613,124 | | | | | $ | 1,407,283 | | | ||
Andrew Rusie Chief Financial Officer | | | | | 2020 | | | | | $ | 375,000 | | | | | $ | 257,500 | | | | | $ | 294,061 | | | | | $ | 0 | | | | | $ | 11,400 | | | | | $ | 937,961 | | |
| | | 2019 | | | | | $ | 23,438 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 23,438(7) | | | ||
Lucas Bailey President – Flavors & Ingredients | | | | | 2020 | | | | | $ | 734,410 | | | | | $ | 0 | | | | | $ | 669,380(8) | | | | | $ | 0 | | | | | $ | 1,756,949 | | | | | $ | 3,160,739 | | |
| | | 2019 | | | | | $ | 780,300 | | | | | $ | 413,674 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 36,105 | | | | | $ | 1,230,079 | | |
Name and Principal Position | Year | 401(k) Match | Health & Welfare Insurance ($) | Car Allowance ($) | Tax Benefits ($) | Pension Contributions | Transaction Bonus ($) | Vacation Cash-out For Mr. Bailey upon Resignation | Total All Other Compensation ($) | |||||||||||||||||||||||||||
Albert Manzone | 2020(5) | $ | 0 | $ | 9,270 | $ | 23,798 | $ | 29,529 | $ | 52,675 | $ | 3,425,000(9) | $ | 0 | $ | 3,540,272 | |||||||||||||||||||
2019(6) | $ | 0 | $ | 8,483 | $ | 30,752 | $ | 26,785 | $ | 47,104 | $ | 500,000(10) | $ | 0 | $ | 613,124 | ||||||||||||||||||||
Andrew Rusie | 2020 | $ | 11,400 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 11,400 | |||||||||||||||||||
2019 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||||||
Lucas Bailey | 2020 | $ | 11,400 | $ | 10,972 | $ | 8,845 | $ | 7,396 | $ | 0 | $ | 1,575,900 | $ | 142,438 | $ | 1,756,949 | |||||||||||||||||||
2019 | $ | 0 | $ | 10,692 | $ | 13,096 | $ | 12,317 | $ | 0 | $ | 0 | $ | 0 | $ | 36,105 |
Name and Principal Position | | | Year | | | 401(k) Match | | | Health & Welfare Insurance ($) | | | Car Allowance ($) | | | Tax Benefits ($) | | | Pension Contributions | | | Transaction Bonus ($) | | | Vacation Cash-out For Mr.Bailey upon Resignation | | | Total All Other Compensation ($) | | |||||||||||||||||||||||||||
Albert Manzone | | | | | 2020(5) | | | | | $ | 0 | | | | | $ | 9,270 | | | | | $ | 23,798 | | | | | $ | 29,529 | | | | | $ | 52,675 | | | | | $ | 3,425,000(9) | | | | | $ | 0 | | | | | $ | 3,540,272 | | |
| | | | | 2019(6) | | | | | $ | 0 | | | | | $ | 8,483 | | | | | $ | 30,752 | | | | | $ | 26,785 | | | | | $ | 47,104 | | | | | $ | 500,000(10) | | | | | $ | 0 | | | | | $ | 613,124 | | |
Andrew Rusie | | | | | 2020 | | | | | $ | 11,400 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 11,400 | | |
| | | | | 2019 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | |
Lucas Bailey | | | | | 2020 | | | | | $ | 11,400 | | | | | $ | 10,972 | | | | | $ | 8,845 | | | | | $ | 7,396 | | | | | $ | 0 | | | | | $ | 1,575,900 | | | | | $ | 142,438 | | | | | $ | 1,756,949 | | |
| | | | | 2019 | | | | | $ | 0 | | | | | $ | 10,692 | | | | | $ | 13,096 | | | | | $ | 12,317 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 36,105 | | |
Option Awards | Stock Awards | |||||||||||||||||||||
Name | Grant Date | Number of Securities Underlying Unexercised Options (#) Exercisable | Number of Securities Underlying Unexercised Options (#) Unexercisable | Option Exercise Price ($) | Option Expiration Date | Number of Shares or Units of Stock That Have Not Vested (#) | Market Value of Shares or Units of Stock That Have Not Vested ($) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#)(1) | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | |||||||||||||
Albert Manzone | 9/30/2020 | 73,400 | $ | 800,060 | ||||||||||||||||||
Andrew Rusie | 9/30/2020 | 26,978 | $ | 294,061 | ||||||||||||||||||
Lucas Bailey(3) | 9/30/2020 | 0 | $ | 0 |
| | | Option Awards | | | Stock Awards | | ||||||||||||||||||||||||||||||
Name | | | Grant Date | | | Number of Securities Underlying Unexercised Options (#) Exercisable | | | Number of Securities Underlying Unexercised Options (#) Unexercisable | | | Option Exercise Price ($) | | | Option Expiration Date | | | Number of Shares or Units of Stock That Have Not Vested (#) | | | Market Value of Shares or Units of Stock That Have Not Vested ($) | | | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#)(1) | | | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | | |||||||||
Albert Manzone | | | | | 9/30/2020 | | | | | | | | | | | | | | | | | | | | | | | | 73,400 | | | | | $ | 800,060 | | |
Andrew Rusie | | | | | 9/30/2020 | | | | | | | | | | | | | | | | | | | | | | | | 26,978 | | | | | $ | 294,061 | | |
Lucas Bailey(3) | | | | | 9/30/2020 | | | | | | | | | | | | | | | | | | | | | | | | 0 | | | | | $ | 0 | | |
Plan Category | Number of Securities to Be Issued Upon Exercise of Outstanding Options, Warrants and Rights (a)(1) | Weighted- Average Exercise Price of Outstanding Options, Warrants and Rights (b)(2) | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in Column (a)) (c) (3) | |||||||||
Equity compensation plans approved by security holders | 701,942 | $ | — | 8,598,058 | ||||||||
Equity compensation plans not approved by security holders | — | $ | — | — | ||||||||
Total | 701,942 | $ | — | 8,598,058 |
Plan Category | | | Number of Securities to Be Issued Upon Exercise of Outstanding Options, Warrants and Rights (a)(1) | | | Weighted- Average Exercise Price of Outstanding Options, Warrants and Rights (b)(2) | | | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in Column (a)) (c) (3) | | |||||||||
Equity compensation plans approved by security holders | | | | | 701,942 | | | | | $ | — | | | | | | 8,598,058 | | |
Equity compensation plans not approved by security holders | | | | | — | | | | | $ | — | | | | | | — | | |
Total | | | | | 701,942 | | | | | $ | — | | | | | | 8,598,058 | | |
governance-documents.
Type of Fees | 2019 | 2020 - Predecessor | 2020 - Successor | |||||||||
Audit Fees(1) | $ | 1,389,217 | $ | 79,000 | $ | 3,148,721 | ||||||
Audit-Related Fees(2) | - | - | - | |||||||||
Tax Fees(3) | 102,109 | 56,441 | 46,898 | |||||||||
All Other Fees(4) | $ | 2,400,000 | 2,000 | |||||||||
Total | $ | 1,491,326 | $ | 2,535,441 | 3,197,619 |
Type of Fees | | | 2019 | | | 2020 - Predecessor | | | 2020 - Successor | | |||||||||
Audit Fees(1) | | | | $ | 1,389,217 | | | | | $ | 79,000 | | | | | $ | 3,148,721 | | |
Audit-Related Fees(2) | | | | | — | | | | | | — | | | | | | — | | |
Tax Fees(3) | | | | | 102,109 | | | | | | 56,441 | | | | | | 46,898 | | |
All Other Fees(4) | | | | | | | | | | $ | 2,400,000 | | | | | | 2,000 | | |
Total | | | | $ | 1,491,326 | | | | | $ | 2,535,441 | | | | | | 3,197,619 | | |
2022.