Company: CULP
Filing Date: 2025-06-09
Form Type: SCHEDULE 13D/A
Source: 0000921895-25-001727
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Company: CULP INC
Filing Date: 2025-06-09
Form: SCHEDULE 13D/A
Chunk 0
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 will not exceed eight (8) directors effective as of the 2025 Annual Meeting and seven (7) directors effective as of the 2026 Annual Meeting and thereafter will not be further increased prior to the termination of the 2025 Cooperation Agreement, in each case without the Reporting Persons' prior written consent and (iv) that, during the Standstill Period (as defined below), subject to applicable law and the listing standards and/or rules of the New York Stock Exchange, Mr. Jones will continue to serve on each of the Audit Committee and the Compensation Committee of the Board.                                                                                                                                                                                                                                                                                                                                                        
 Pursuant to the 2025 Cooperation Agreement, the Reporting Persons are subject to certain standstill restrictions from the date of the 2025 Cooperation Agreement until the date that is the earlier of (x) 30 calendar days prior to the expiration of the advance notice period for submission by shareholders of director nominations for consideration at the Issuer's 2027 Annual Meeting of Shareholders or (y) 120 calendar days prior to the first anniversary of the 2026 Annual Meeting (the "Standstill Period"). Under the 2025 Cooperation Agreement, the Reporting Persons also agreed to appear in person or by proxy at each annual or special meeting of shareholders held prior to the expiration of the Standstill Period and to vote all Shares beneficially owned by the Reporting Persons and their respective affiliates and associates at such meeting (i) in favor of all directors nominated and recommended by the Board for election, and (ii) otherwise in accordance with the Board's recommendations; provided, however, that in the event Institutional Shareholder Services Inc. ("ISS") recommends otherwise with respect to any proposals (other than the election or removal of directors), the Reporting Persons may vote in accordance with the ISS recommendation; provided, further, that the Reporting Persons are permitted to vote in their sole discretion with respect to any publicly announced proposals relating to a merger, acquisition, disposition of all or substantially all of the assets of the Issuer or other business combinations involving the Issuer requiring a vote of shareholders of the Issuer. During the Standstill Period, the Reporting Persons also agreed not to acquire beneficial ownership of, or a net long position in, more than 15% of the outstanding Shares. 
 The foregoing description of the 2025 Cooperation Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the 2025 Cooperation Agreement, which is attached as Exhibit 99.1 hereto and is incorporated herein by reference.