Legion Partners Reiterates Call for Genesco to Agree to the Utilization of a Universal Proxy Card

Rhea-AI Summary

Legion Partners, holding approximately 5.9% of Genesco's shares, has called for shareholder rights in electing board members. They urge Genesco to adopt a universal proxy card, allowing shareholders to vote on their nominated candidates alongside existing board members. Legion Partners expresses concern over Genesco's lack of response to their proposal and criticizes the company's recent director refresh as insufficient. They emphasize the importance of corporate governance and shareholder engagement, urging Genesco to respect shareholder democracy ahead of the delayed Annual Meeting.

Positive

• Legion Partners owns 5.9% of Genesco's common shares, indicating significant shareholder interest.
• Push for a universal proxy card highlights a proactive stance on shareholder rights and governance.

Negative

• Genesco has not addressed requests for a universal proxy card, raising concerns about responsiveness.
• Recent director refresh is perceived as insufficient and may not align with shareholder expectations.

Legion Partners Asset Management, LLC (together with its affiliates, “Legion Partners” or “we”), which collectively with the other participants in its solicitation beneficially owns approximately 5.9% of the outstanding common shares of Genesco, Inc. (NYSE: GCO) (“Genesco” or the “Company”), today issued the below statement. Learn more about Legion Partners’ case for change and its four-member slate of director candidates by visiting www.gcoforward.com.

Chris Kiper and Ted White, Legion Partners’ Managing Directors, commented:

“Legion Partners firmly believes that Genesco’s shareholders deserve the right to select the best mix of directors on a universal proxy card at this year’s Annual Meeting. If the Company is sincerely committed to sound corporate governance, agreeing to the utilization of a universal card should be an easy decision. Moreover, if the Company genuinely believes that 20-year director Matthew C. Diamond and other long-serving incumbents are such world-class Board members with the optimal blend of relevant experience and expertise, it should embrace giving shareholders the opportunity to vote for them on a universal card that also includes our four nominees.

It gives us great concern that Genesco has not substantively addressed our multiple requests to adopt a universal card for this election contest. In light of its decision to unilaterally initiate a defensive and insufficient director refresh that appears to have perpetuated interlocks among insiders, we believe it is all the more critical for the Company to show respect for shareholder democracy moving forward. We assume that Genesco is well aware that many of its largest shareholders place a great emphasis on high-quality corporate governance and shareholder rights. The Company can demonstrate some semblance of responsiveness by promptly agreeing to our request and finally setting a date for its delayed Annual Meeting.”

About Legion Partners

Legion Partners is a value-oriented investment manager based in Los Angeles, with a satellite office in Sacramento, California. Legion Partners seeks to invest in high-quality businesses that are temporarily trading at a discount, utilizing deep fundamental research and long-term shareholder engagement. Legion Partners manages a concentrated portfolio of North American small-cap equities on behalf of some of the world’s largest institutional and high-net-worth investors. Learn more at www.LegionPartners.com.

Certain Information Concerning the Participants

Legion Partners Holdings, LLC, a Delaware limited liability company (“Legion Partners Holdings”), together with the other participants named herein, filed a preliminary proxy statement and accompanying WHITE proxy card with the Securities and Exchange Commission (“SEC”) to be used to solicit votes for the election of its slate of highly-qualified director nominees at the 2021 annual meeting of shareholders of Genesco Inc., a Tennessee corporation (the “Company”).

LEGION PARTNERS HOLDINGS STRONGLY ADVISES ALL SHAREHOLDERS OF THE COMPANY TO READ THE PROXY STATEMENT AND OTHER PROXY MATERIALS AS THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. SUCH PROXY MATERIALS WILL BE AVAILABLE AT NO CHARGE ON THE SEC'S WEB SITE AT HTTP://WWW.SEC.GOV. IN ADDITION, THE PARTICIPANTS IN THIS PROXY SOLICITATION WILL PROVIDE COPIES OF THE PROXY STATEMENT WITHOUT CHARGE, WHEN AVAILABLE, UPON REQUEST. REQUESTS FOR COPIES SHOULD BE DIRECTED TO THE PARTICIPANTS' PROXY SOLICITOR.

The participants in the proxy solicitation are anticipated to be Legion Partners Holdings, Legion Partners, L.P. I, a Delaware limited partnership (“Legion Partners I”), Legion Partners, L.P. II, a Delaware limited partnership (“Legion Partners II”), Legion Partners, LLC, a Delaware limited liability company (“Legion Partners GP”), Legion Partners Asset Management, LLC, a Delaware limited liability company (“Legion Partners Asset Management”), Christopher S. Kiper, Raymond T. White, Marjorie L. Bowen, Margenett Moore-Roberts, Dawn H. Robertson and Hobart P. Sichel.

As of the date hereof, Legion Partners I directly beneficially owns 841,197 shares of Common Stock, par value $1.00 per share, of the Company (the “Common Stock”). As of the date hereof, Legion Partners II directly beneficially owns 47,383 shares of Common Stock. As the general partner of each of Legion Partners I and Legion Partners II, Legion Partners GP may be deemed to beneficially own the 888,580 shares of Common Stock beneficially owned in the aggregate by Legion Partners I and Legion Partners II. As the investment advisor of each of Legion Partners I and Legion Partners II, Legion Partners Asset Management may be deemed to beneficially own the 888,580 shares of Common Stock beneficially owned in the aggregate by Legion Partners I and Legion Partners II. As of the date hereof, Legion Partners Holdings directly beneficially owns 100 shares of Common Stock and, as the sole member of each of Legion Partners Asset Management and Legion Partners GP, Legion Partners Holdings may also be deemed to beneficially own the 888,580 shares of Common Stock beneficially owned in the aggregate by Legion Partners I and Legion Partners II. As a managing director of Legion Partners Asset Management and managing member of Legion Partners Holdings, each of Messrs. Kiper and White may be deemed to beneficially own the 888,580 shares of Common Stock beneficially owned in the aggregate by Legion Partners I and Legion Partners II and 100 shares of Common Stock held of record by Legion Partners Holdings. As of the date hereof, none of Mses. Bowen, Moore-Roberts and Robertson or Mr. Sichel own beneficially or of record any securities of the Company.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210601005254/en/

FAQ

What is Legion Partners' stake in Genesco (GCO)?

Legion Partners holds approximately 5.9% of the outstanding common shares of Genesco (GCO).

What is Legion Partners requesting from Genesco regarding board elections?

Legion Partners is requesting Genesco to adopt a universal proxy card for the upcoming board elections.

What concerns does Legion Partners have about Genesco's governance?

Legion Partners is concerned that Genesco has not adequately addressed their requests for a universal proxy card and perceives the recent director refresh as insufficient.

When is Genesco's Annual Meeting scheduled?

The date for Genesco's delayed Annual Meeting has not been set yet.