Lands’ End Reports Inducement Grants under Nasdaq Listing Rule 5635(c)(4)

Lands’ End (Nasdaq: LE) reported inducement equity grants to new Chief Executive Officer Charlie Cole, effective July 13, 2026, under Nasdaq Listing Rule 5635(c)(4).

Rhea-AI Summary

Lands’ End (Nasdaq: LE) reported inducement equity grants to new Chief Executive Officer Charlie Cole, effective July 13, 2026, under Nasdaq Listing Rule 5635(c)(4). The awards, issued outside shareholder-approved plans, include 109,361 restricted stock units and options for up to 166,018 shares at $11.43 per share, vesting 25%, 25% and 50% on the first three anniversaries of his start date, subject to vesting conditions.

Positive

• CEO inducement grant of 109,361 restricted stock units
• Stock options to purchase up to 166,018 shares at $11.43
• Multi-year vesting over three years supports leadership retention

Negative

• Potential issuance of up to 275,379 new shares if all awards settle
• Grants made outside a shareholder-approved equity plan framework

News Explained

CEO equity grants can dilute existing common holders over time, but vesting and option-exercise conditions limit the immediate share issuance.

Lands’ End reported on July 13, 2026 that it made inducement grants to Charlie Cole when he commenced employment and became chief executive officer. The package can increase the common-share count over time because it includes 109,361 restricted stock units payable in common shares and options to purchase up to 166,018 common shares.

Under the supplied dilution definition, issuing those additional shares would reduce an existing holder’s percentage ownership absent offsetting changes. The grants were made outside a shareholder-approved equity plan, and the options have an exercise price of $11.43 per share.

The release reports the grants as made on July 13, 2026, while vesting and, for the options, exercise remain conditions to the related share issuance or purchase. The stated vesting milestones are the first three anniversaries of Mr. Cole’s start date, with 25%, 25% and 50% vesting, respectively, subject to the disclosed conditions.

Argus Jul 14 session 3 alerts

-2.97% close to close 0.2x rel. volume Open Argus

Details

News Market Reaction – LE

$329.23M Mkt Cap at Peak Alert

On Jul 14, the first trading day after this news, LE closed 2.97% below the previous close. Our momentum scanner recorded 3 alerts in the available session data.

Data tracked by StockTitan Argus for the Jul 14 session.

Key Figures

RSU sign-on grant: 109,361 units Stock options sign-on: 166,018 options Option exercise price: $11.43 per share +4 more

RSU sign-on grant

109,361 units

Inducement restricted stock units for new CEO Charlie Cole

Stock options sign-on

166,018 options

Inducement stock options for CEO Charlie Cole

Option exercise price

$11.43 per share

Exercise price of inducement options granted July 13, 2026

Vesting year 1

25%

First anniversary vesting portion of inducement RSUs and options

Vesting year 2

25%

Second anniversary vesting portion of inducement RSUs and options

Vesting year 3

50%

Third anniversary vesting portion of inducement RSUs and options

Grant date

July 13, 2026

Inducement equity grants effective on CEO start date

Historical Context

5 past events · Latest: Jun 30

5 events

1. Jun 30

   CEO transition

   24h Move

   -8.1%

   Announcement of Charlie Cole as new CEO and board member.

2. Jun 09

   Earnings results

   24h Move

   +1.7%

   Q1 revenue decline, margin pressure and negative Adjusted EBITDA reported.

3. May 26

   Earnings call notice

   24h Move

   +1.8%

   Scheduling of enhanced earnings call to discuss Q1 results and strategy.

4. Apr 01

   Share repurchase

   24h Move

   +2.9%

   Board authorization of a $100 million multi‑year share repurchase program.

5. Apr 01

   JV partnership

   24h Move

   +2.9%

   Completion of WHP Global joint venture and debt repayment using $300 million proceeds.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

nasdaq listing rule 5635(c)(4), restricted stock units, exercise price, form 8-k

4 terms

nasdaq listing rule 5635(c)(4) regulatory

"Lands’ End Reports Inducement Grants under Nasdaq Listing Rule 5635(c)(4)"

NASDAQ Listing Rule 5635(c)(4) is a rule that requires a company to get approval from its shareholders before selling a large amount of its shares, usually over 20%. This helps protect investors by making sure the company doesn't flood the market with new shares without their say, which could lower the stock's value.

restricted stock units financial

"inducement sign-on grant of 109,361 restricted stock units, payable in the form"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

exercise price financial

"options to purchase up to 166,018 shares of Common Stock at an exercise price equal"

The exercise price is the fixed amount at which you can buy or sell an asset, like a stock, when using an options contract. It matters because it helps determine whether exercising the option will be profitable or not, depending on the current market price. Think of it as the set price you agree on today to buy or sell later.

form 8-k regulatory

"previously described in a Current Report on Form 8-K filed by Lands’ End"

A Form 8-K is a report that companies file with the government to share important news quickly, such as changes in leadership, major business deals, or financial updates. It matters because it helps investors stay informed about significant events that could affect the company's value or stock price.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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DODGEVILLE, Wis., July 13, 2026 (GLOBE NEWSWIRE) -- Lands’ End, Inc. (Nasdaq: LE) today reported that it made the following inducement grants to Charlie Cole on July 13, 2026, in connection with his commencement of employment and appointment as Chief Executive Officer. The grants were not made under a shareholder approved equity plan and were previously described in a Current Report on Form 8-K filed by Lands’ End with the Securities and Exchange Commission on June 30, 2026.

Mr. Cole’s inducement grants consist of an inducement sign-on grant of 109,361 restricted stock units, payable in the form of shares of Lands’ End, Inc. common stock (“Common Stock”), and an inducement sign-on grant of options to purchase up to 166,018 shares of Common Stock at an exercise price equal to $11.43 per share, which in each case will vest 25%, 25% and 50% per year, on, respectively, the first three anniversaries of Mr. Cole’s July 13, 2026 start date, subject to his satisfaction of vesting conditions.

About Lands’ End, Inc.

Lands’ End, Inc. (NASDAQ:LE) is a leading digital retailer of solution-based apparel, swimwear, outerwear, accessories, footwear, home products and uniforms. Lands’ End offers products online at www.landsend.com, through third-party distribution channels and our own Company Operated stores. Lands’ End also offers products to businesses and schools, for their employees and students, through the Outfitters distribution channel. Lands’ End is a classic American lifestyle brand that creates solutions for life’s every journey.

CONTACTS

Lands’ End, Inc.
Bernard McCracken
Chief Financial Officer
(608) 935-4100

Investor Relations:
ICR, Inc.
Tom Filandro
(646) 277-1235
Tom.Filandro@icrinc.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What inducement equity grants did Lands’ End (LE) give CEO Charlie Cole in July 2026?

Lands’ End granted Charlie Cole 109,361 restricted stock units and options for up to 166,018 shares. According to Lands’ End, both awards were made as employment inducements in connection with his appointment as Chief Executive Officer on July 13, 2026.

At what exercise price were Charlie Cole’s Lands’ End (LE) stock options granted?

Charlie Cole’s options were granted with an exercise price of $11.43 per share. According to Lands’ End, these options cover up to 166,018 shares of common stock and were issued as part of his inducement compensation package upon becoming Chief Executive Officer.

How do Charlie Cole’s inducement RSUs and options vest at Lands’ End (LE)?

Both the RSUs and options vest 25%, 25%, and 50% on the first three anniversaries of July 13, 2026. According to Lands’ End, vesting is subject to Cole’s satisfaction of applicable vesting conditions tied to continued employment.

Were Charlie Cole’s inducement grants made under a Lands’ End (LE) shareholder-approved plan?

No, the inducement grants were not made under a shareholder-approved equity plan. According to Lands’ End, they were issued as standalone inducement awards consistent with Nasdaq Listing Rule 5635(c)(4) in connection with Cole’s commencement of employment.

Why did Lands’ End (LE) disclose Charlie Cole’s inducement grants under Nasdaq Listing Rule 5635(c)(4)?

The company disclosed the grants because they are inducement awards issued outside a shareholder-approved plan. According to Lands’ End, Nasdaq Listing Rule 5635(c)(4) requires public disclosure of such grants made in connection with the hiring of an executive officer.

What is the potential share impact of Charlie Cole’s inducement awards at Lands’ End (LE)?

The inducement package includes 109,361 RSUs and options for up to 166,018 shares. According to Lands’ End, these equity awards, if vested and exercised or settled, would result in additional shares of common stock being issued over time.