Edward and Ludmila Smolyansky File Consent Statement to Change Leadership at Lifeway Foods (NASDAQ: LWAY)

Rhea-AI Summary

Edward and Ludmila Smolyansky, significant shareholders of Lifeway Foods (NASDAQ: LWAY), have filed a consent statement with the SEC to launch their 'Life Back to Lifeway' campaign. The campaign aims to replace the current Board of Directors, including CEO Julie Smolyansky, citing poor corporate governance and financial results. Edward Smolyansky, former COO, criticizes the company's lack of strategic vision under his sister's leadership. Ludmila Smolyansky, co-founder and former Chairperson, emphasizes the need for a fresh direction to secure the company's future.

The campaign focuses on revitalizing Lifeway Foods with a clear vision and strategic plan, prioritizing greater marketing investments, improved ethical governance, and more efficient operations. Founded in 1986 by Michael and Ludmila Smolyansky, the company has been led by their children Julie and Edward since 2002.

Positive

• Significant shareholders are taking action to improve company performance
• Proposed leadership change aims to prioritize growth and innovation
• Campaign focuses on revitalizing the company with a clear strategic vision
• Plans for greater marketing investments and more efficient operations

Negative

• Current leadership accused of poor corporate governance
• Company reportedly missing critical market opportunities
• Poor financial results for shareholders under current management
• Internal family conflict could potentially disrupt company operations

CHICAGO, Aug. 13, 2024 /PRNewswire/ -- Son and mother Edward and Ludmila Smolyansky, significant shareholders of Lifeway Foods, Inc. (NASDAQ: LWAY), today announced the filing of a consent statement with the U.S. Securities and Exchange Commission, marking the launch of their "Life Back to Lifeway" campaign.

The campaign seeks to replace the health food company's current Board of Directors, including CEO Julie Smolyansky, with leadership committed to revitalizing the company with a strategic vision aligned with the best interests of its shareholders. The Lifeway board has overseen significant and repeated failures of corporate governance that have harmed the business and its employees and driven poor financial results for shareholders.

"Under my sister Julie's authority, Lifeway has been on autopilot for far too long, missing critical market opportunities due to a lack of strategic vision," said Edward Smolyansky, former COO of Lifeway Foods. "It's time for a fresh approach to leadership that prioritizes growth and innovation over personal agendas."

Ludmila Smolyansky, co-founder and former Chairperson of Lifeway Foods, added, "This decision hasn't been easy, but my focus is on what's best for Lifeway. The company, started by my husband and me in 1986, needs a fresh direction that honors its legacy while securing its future. A new path forward will benefit everyone — our employees, our shareholders, and even my daughter Julie."

Lifeway Foods Inc. was founded by Michael Smolyansky in 1986 and run with support from his wife Ludmila. When Michael passed away in 2002, his children Julie and Edward took over leadership, with Julie as CEO and Edward Smolyansky as COO.

The Life Back to Lifeway campaign underscores the Smolyanskys' commitment to revitalizing the company with a clear vision and strategic plan that prioritizes greater marketing investments, improved ethical governance, and more efficient operations and processing techniques.

For more information and updates, visit lifebacktolifeway.com.

View original content:https://www.prnewswire.com/news-releases/edward-and-ludmila-smolyansky-file-consent-statement-to-change-leadership-at-lifeway-foods-nasdaq-lway-302221114.html

SOURCE Edward and Ludmila Smolyansky

FAQ

What is the 'Life Back to Lifeway' campaign for LWAY stock?

The 'Life Back to Lifeway' campaign is an initiative by Edward and Ludmila Smolyansky to replace the current Board of Directors of Lifeway Foods (LWAY), including CEO Julie Smolyansky, with new leadership aimed at revitalizing the company and improving shareholder value.

Why are Edward and Ludmila Smolyansky seeking to change LWAY's leadership?

They cite poor corporate governance, missed market opportunities, and poor financial results for shareholders under the current leadership. They believe new management can provide a fresh strategic vision to prioritize growth and innovation.

What changes do the Smolyanskys propose for Lifeway Foods (LWAY)?

The Smolyanskys propose a new strategic plan focusing on greater marketing investments, improved ethical governance, and more efficient operations and processing techniques to revitalize Lifeway Foods (LWAY).

When was the consent statement for LWAY leadership change filed?

Edward and Ludmila Smolyansky filed the consent statement with the U.S. Securities and Exchange Commission on August 13, 2024, to initiate the leadership change at Lifeway Foods (LWAY).