Rayonier Advanced Materials Announces Proposed Declassification of Board of Directors and Elimination of Supermajority Voting Provisions

Rhea-AI Summary

Rayonier Advanced Materials (RYAM) announced plans for two significant management proposals to be voted on at the upcoming Annual Stockholder Meeting in May 2022. The first proposal seeks stockholder approval to declassify the Board of Directors for annual elections. The second aims to eliminate supermajority voting requirements for certain charter amendments, allowing a simple majority vote instead. If approved, these changes could enhance governance and shareholder influence at RYAM, which generates approximately $1.3 billion in revenue.

Positive

• Proposals to declassify the Board could enhance governance and shareholder engagement.
• Elimination of supermajority voting provisions may streamline decision-making processes.

Negative

• None.

JACKSONVILLE, Fla.--(BUSINESS WIRE)-- Rayonier Advanced Materials Inc. (NYSE:RYAM) (the “Company”) announced today that the Company plans to submit two important management proposals to the Company’s stockholders for a vote at its next Annual Stockholder Meeting in May of 2022. The first proposal would seek stockholder approval to amend the Company’s Certificate of Incorporation (the “Charter”) in order to declassify the Company’s Board of Directors and allow for the annual election of directors. The second proposal would seek stockholder approval to amend the Company’s Charter to eliminate supermajority voting requirements that currently exist for certain amendments to the Company’s Charter and Bylaws.

Currently, the Company’s Board of Directors is divided into three classes, with members of each class being elected to and serving three-year terms. If this proposal is approved by stockholders at the Company’s 2022 Annual Meeting, the Board will modify the Company’s Charter and Bylaws to provide that all directors will be nominated for one-year terms beginning with the elections at the Company’s Annual Meeting in 2023, as their terms expire.

With respect to the supermajority voting provisions, under the Company’s Charter and Bylaws, changes to certain key provisions of those documents require a supermajority vote of the Company’s outstanding shares. At the Company’s 2022 Annual Meeting, the Board will propose amending the Articles and Bylaws to require only a vote of a majority of the outstanding shares to amend these provisions.

The full text of the two proposals will be included in the Company’s proxy statement to be filed with the Securities and Exchange Commission prior to the 2022 Annual Meeting.

About Rayonier Advanced Materials

Rayonier Advanced Materials is a global leader of cellulose-based technologies, including high purity cellulose specialties, a natural polymer commonly found in filters, food, pharmaceuticals and other industrial applications. The Company also manufactures products for paper and packaging markets. With manufacturing operations in the U.S., Canada and France, Rayonier Advanced Materials employs just over 2,500 people and generates approximately $1.3 billion of revenues. More information is available at www.rayonieram.com.

Forward-Looking Statements

Certain statements in this document regarding anticipated financial, business, legal or other outcomes including business and market conditions, outlook and other similar statements relating to Rayonier Advanced Materials’ future events, developments, or financial or operational performance or results, are “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements are identified by the use of words such as “may,” “will,” “should,” “expect,” “estimate,” “believe,” “intend,” “forecast,” “anticipate,” “guidance,” and other similar language. However, the absence of these or similar words or expressions does not mean a statement is not forward-looking. While we believe these forward-looking statements are reasonable when made, forward-looking statements are not guarantees of future performance or events and undue reliance should not be placed on these statements. Although we believe the expectations reflected in any forward-looking statements are based on reasonable assumptions, we can give no assurance these expectations will be attained and it is possible actual results may differ materially from those indicated by these forward-looking statements due to a variety of risks and uncertainties.

Other important factors that could cause actual results or events to differ materially from those expressed in forward-looking statements that may have been made in this document are described or will be described in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Rayonier Advanced Materials assumes no obligation to update these statements except as is required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211115006033/en/

Media: Ryan Houck, 904-357-9134

Investors: Mickey Walsh, 904-357-9162

Source: Rayonier Advanced Materials Inc.

FAQ

What management proposals will Rayonier Advanced Materials (RYAM) present at the Annual Meeting in May 2022?

RYAM will propose to declassify its Board of Directors for annual elections and eliminate supermajority voting requirements for charter amendments.

How will the board changes affect Rayonier Advanced Materials (RYAM)?

If approved, the changes will allow for annual elections of directors, enhancing shareholder influence and governance.

What is the impact of eliminating supermajority voting for Rayonier Advanced Materials (RYAM)?

The elimination of supermajority voting will allow a simple majority to amend key provisions, potentially speeding up decision-making.