Business
Rocky Mountain Chocolate Factory Determines That a Settlement Involving Mary Bradley Joining Its Board Is Not in the Best Interests of the Company or Its Stockholders
Company remains open to negotiating a settlement with the AB Value and Bradley Radoff group Durango, Colorado--(Newsfile Corp. - August 1, 2022) - Rocky
About this update from Rocky Mountain Chocolate Factory, Inc.
[{"type":"text","content":"Company remains open to negotiating a settlement with the AB Value and Bradley Radoff group\nDurango, Colorado--(Newsfile Corp. - August 1, 2022) - Rocky Mountain Chocolate Factory, Inc. (NASDAQ: RMCF) (the \"Company\" or \"RMCF\"), an international franchiser and manufacturer of gourmet chocolates and other confectionary products, remains willing to negotiate a good faith settlement offer with the AB Value and Bradley Radoff group (\"AB Value\"), but has determined that the election of Mary Bradley to the Board of Directors is not in the best interests of the Company or its stockholders due to her lack of experience in retail franchise operations and corporate governance. In addition, the Board only learned today during the interview that she has a previously undisclosed, material change in her professional status. The AB Value and Bradley Radoff group has not provided an update to the Company regarding her status change.\nAs previously reported, on July 9, 2022, the Board proposed to AB Value a settlement offer, contingent upon, among other items, an interview with Ms. Bradley. That interview occurred today.\nWhile Ms. Bradley has an admirable employment history and other attributes, her lack of experience with and understanding of the challenges of franchise retailing, combined with her absence of corporate governance experience, does not make her a suitable candidate. As such, the Board has determined a settlement with AB Value cannot include the election of Ms. Bradley to the Board.\nThe Board believes that in order for RMCF to be successful and based on the current Board composition, any new director should have significant demonstrated experience and a deep understanding of franchise systems and the core needs of franchise owner/operators, as well as prior corporate governance experience.\nThe Board is hopeful a settlement of the proxy fight remains possible and is open to receiving a good faith proposal from AB Value.\nAbout Rocky Mountain Chocolate Factory, Inc.\nRocky Mountain Chocolate Factory, Inc., headquartered in Durango, Colorado, is an international franchiser of gourmet chocolate, confection and self-serve frozen yogurt stores and a manufacturer of an extensive line of premium chocolates and other confectionery products. The Company, its subsidiaries and its franchisees and licensees operate more than 325 Rocky...