Stitch Fix Announces New Employee Inducement Grant

Rhea-AI Summary

On January 21, 2022, Stitch Fix (NASDAQ:SFIX) announced the grant of restricted stock units to Charles Allen, the Vice President of Product, totaling 119,233 shares. These units will vest over four years, beginning with a portion vesting on March 16, 2022. This grant is in accordance with the Stitch Fix 2019 Inducement Plan, approved by the board in October 2019. This strategy aims to incentivize key talent while aligning their interests with the company’s success.

Positive

• Granting restricted stock units may enhance employee retention and motivation.
• The vesting schedule encourages long-term commitment from the VP of Product.

Negative

• Potential concerns about reliance on stock-based compensation for key positions.

SAN FRANCISCO, Jan. 21, 2022 (GLOBE NEWSWIRE) -- Stitch Fix, Inc. (NASDAQ:SFIX), the leading online personal styling service, today announced that effective January 18, 2022, Charles Allen, Vice President of Product, has been granted restricted stock units to acquire 119,233 shares of the company’s Class A common stock. The restricted stock units vest over four years, with one sixteenth of the shares vesting on March 16, 2022, and the remainder vesting in equal quarterly installments thereafter, subject to Mr. Allen’s continued service on each vesting date. The restricted stock units were granted pursuant to, and are subject to the terms of, the Stitch Fix, Inc. 2019 Inducement Plan and form of restricted stock unit agreement thereunder, which were approved by the company's board of directors in October 2019 under Rule 5635(c)(4) of the Nasdaq Global Market for equity grants to induce new employees to enter into employment with the company.

About Stitch Fix, Inc.

Stitch Fix is the world's leading online personalized shopping experience. Our unique business model combines the human touch of expert Stylists with the precision of advanced data science. Since our founding in 2011, we’ve served as a trusted style partner to millions of people, helping adults and kids get dressed every day feeling like their best selves. The Stitch Fix team is building a transformative and inclusive ecommerce model, an ecosystem of shopping experiences based on convenience and guided discovery that makes it radically simple and delightful for customers to discover and buy what they love. For more, visit https://www.stitchfix.com.

IR Contact:	PR Contact:
Tanny Shelburne ir@stitchfix.com	Suzy Sammons media@stitchfix.com

 

FAQ

What is the significance of the restricted stock units granted to Charles Allen?

The restricted stock units align Charles Allen's interests with those of shareholders, incentivizing his commitment to the company's success.

When will Charles Allen's restricted stock units vest?

The units vest over four years, starting with one sixteenth of the shares on March 16, 2022.

Why were the restricted stock units granted?

The units were granted to induce and retain key talent under the Stitch Fix 2019 Inducement Plan.

How many shares are included in Charles Allen's stock grant?

Charles Allen has been granted 119,233 shares of Class A common stock.

What does the vesting schedule for the restricted stock units look like?

The shares vest in equal quarterly installments after the initial vesting date, contingent upon continued service.