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EXHIBIT 4.1

  

  

  DESCRIPTION OF THE REGISTRANT’S SECURITIES

  REGISTERED PURSUANT TO SECTION 12 OF THE

  SECURITIES EXCHANGE ACT OF 1934

  

  

  Haverty Furniture Companies, Inc. (the “Corporation,” “we,” “us” and “our”) has two classes of securities registered under Section 12 of the Securities Exchange
    Act of 1934, as amended: (i) our Common Stock, $1.00 par value per share (our “Common Stock”), and (ii) our Class A Common Stock, $1.00 par value per share (our “Class A Common Stock”).

  

  

  The following summary description sets forth some of the general terms and provisions of our Common Stock and Class A Common Stock. The
    description of our capital stock is a summary and is subject to and qualified by reference to the applicable provisions of the Articles of Amendment and Restatement of the Charter of the Corporation (our “Charter”), the By-Laws of the Corporation, as
    amended and restated (our “By-Laws”), the Class A Shareholders Agreement, dated June 5, 2012, by and among the Corporation and the holders of Class A Common Stock set forth therein (the “Shareholders Agreement”), and relevant provisions of Maryland
    law. Our Charter,  By-Laws and Shareholders Agreement have been incorporated by reference as an exhibit to the Annual Report on Form 10-K to which this description is an exhibit.

  General

  We are authorized to issue a total of 66,000,000 shares of capital stock, of which:

  
    	
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            50,000,000 are shares of Common Stock;

          

  

  
    	
            •

          	
            15,000,000 are shares of Class A Common Stock; and

          

  

  
    	
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            1,000,000 are shares of preferred stock.

          

  

  Our board of directors has the authority to make, alter, amend and repeal our By-Laws in any manner not inconsistent with Maryland law or
    our Charter.

  Voting Rights

  All elections of directors submitted to a vote of stockholders of the Corporation are decided by a plurality of all votes cast in person or
    by proxy by shares entitled to vote in the election of directors. All other matters submitted to a vote of stockholders of the Corporation are decided by a majority of all votes cast in person or by proxy, unless more than a majority of the votes cast
    is required by statute, by the Charter, or by these By-Laws. Our board of directors (the “Board”)  is not classified, and holders of our common stock do not have cumulative voting rights.

  In the election of directors, holders of our Common Stock are entitled, voting separately as a class, to elect 25% of the total number of
    directors of the Corporation as fixed by the By-Laws or by our Board pursuant to the By-Laws (and if 25% is not a whole number, the such holders are entitled to elect the nearest higher whole number of directors). On all other matters submitted to a
    vote of stockholders of the Corporation, each share of Common Stock has one vote and votes with all other shares of Common Stock as a single class.

  In the election of directors, holders of our Class A Common Stock are entitled, voting separately as a class, to elect the number of
    directors which is equal to the total number of directors of the Corporation as fixed by the By-Laws or by the Board pursuant to the By-Laws less the number of directors which the holders of Common Stock, voting separately as a class, are entitled to
    elect. On all other matters submitted to a vote of stockholders of the Corporation, each share of our Class A Common Stock has ten votes and votes with all other shares
    of our Class A Common Stock as a single class.

  If, as of the record date for any stockholders’ meeting at which directors are to be elected, (i) the number of issued and outstanding
    shares our Common Stock is less than 10% of the aggregate number of issued and outstanding shares of Common Stock and Class A Common Stock, or (ii) the number of issued
    and outstanding shares of Class A Common Stock is less than 750,000, then in such cases, all directors to be elected at such meeting, including the election of any director to fill any vacancy resulting from the death, resignation or replacement of any
    director or from any increase in the number of directors constituting the entire Board, must be elected by the holders of Common Stock and Class A Common Stock voting together as a single class; provided, however, that with respect to such election, the holders of Common Stock shall have
    one vote per share and the holders of Class A Common Stock shall have ten votes per share.

  Dividend Rights

  Dividends may be paid out of funds legally available for dividends, when and if declared by our Board. The Corporation may not declare any
    dividend on the Class A Common Stock, except dividends payable solely in shares of Common Stock or other equity securities of the Corporation, unless concurrently with
    such declaration and payment there is paid on the Common Stock, on a share for share basis, a dividend of at least 105% of the amount of the dividend declared and paid on the Class A Common Stock. Our Board may declare and pay dividends on the Common
    Stock, except dividends payable in shares of Common Stock, without declaring dividends on the Class A Common Stock. We may not declare or pay any dividend in shares of Class A Common Stock on shares of Common Stock; provided, however, that if any dividend is declared and paid on the
    Class A Common Stock in shares of Common Stock or Class A Common Stock, a like dividend must be paid on the Common Stock in shares of Common Stock.

  Liquidation, Dissolution or Similar Rights

  Common Stock and Class A Common Stock rank pari
      passu and possess equal rights and privileges on a share for share basis, including any rights to liquidating or other distributions. Holders are entitled to share ratably in any dividends and in any assets available for distribution on
    liquidation, dissolution or winding-up.

  No Preemptive, Redemption or Conversion Rights

  Our common stock is not redeemable, has no sinking fund provision or subscription rights and does not entitle the holder to any preemptive
    rights. Shares of Class A Common Stock may be converted at any time by the holder into an equal number of shares of Common Stock, subject to adjustment in the event of certain reorganizations, recapitalizations, reclassifications or exchanges of
    shares.

  Restrictions on Transfer

  Our articles of incorporation impose no restrictions on the transferability of shares of Common Stock.

  Pursuant to the terms of the Shareholders Agreement, each holder of Class A Common Stock has agreed not to transfer any of its shares of
    Class A Common Stock without the prior written consent of the Corporation, except to limited permitted transferees, including: (1) such holder’s spouse, children, parents or siblings (“Family Members”); (2) such holder’s estate; (3) any trust
    established solely for the benefit of such holder and/or any of such holder’s Family Member(s); (4) any partnership, corporation, limited liability company or other entity that is wholly owned and controlled by such holder and/or any such holder’s
    Family Member(s); (5) to the extent such holder is a partnership, limited liability company, corporation, trust or estate as of the date of the Shareholders Agreement, any existing partner, member, shareholder or beneficiary of such holder as of the
    date of the Shareholders Agreement; (6) any charitable foundation or organization; and (7) the Corporation. Transfers pursuant to certain pre-existing and subsequent arrangements described in the Shareholders Agreement are also allowed, as well as
    transfers in connection with a merger, tender offer or business combination involving the Corporation, provided that such merger, tender offer or business combination has been approved by at least three-quarters of the members of the Board.

  Preferred Stock

  No shares of preferred stock are currently outstanding. Subject to limitations prescribed by law, the Board is authorized at any time and
    without further action by the stockholders of the Corporation, to classify or reclassify any and all shares of the Preferred Stock into one or more series and to fix, determine or change the number of shares of each series and the preferences,
    conversion or other rights, voting powers, restrictions, limitations as to dividends, qualifications, or terms or conditions of redemption of shares of any such series.

  Possible Anti-Takeover Effect of Certain Provisions of Maryland Law and of the Corporation’s Charter and By-Laws

  The business combination provisions of Maryland law (if the Board opts into the business combination statute or fails to first approve a
    business combination), the control share acquisition provisions of Maryland law, the provisions of the Corporation’s Charter relating to removal of directors, restrictions on ownership and transfer of the Corporation’s stock and the Board’s power to
    issue additional shares of common stock or preferred stock could have the effect of delaying, deterring or preventing a transaction or a change in control that might involve a premium price for holders of the Corporation’s Common Stock or Class A
    Common Stock or otherwise be in their best interests. However, these provisions may also discourage certain coercive takeover practices and inadequate takeover bids and encourage persons seeking to acquire control of the Corporation to negotiate first
    with the Board. The Corporation believes that the benefits of these provisions outweigh the potential disadvantages of discouraging any such acquisition proposals because, among other things, the negotiation of such proposals may improve their terms.Exhibit

Exhibit 10.26

Director Compensation Summary Term Sheet

During calendar year 2019, each non-employee member of the Board was entitled to receive an aggregate of $140,000 in cash and restricted stock.  The cash portion of the compensation was paid quarterly in $12,500 increments.  The remainder of such compensation was paid in restricted shares of the Company’s Class A common stock, and vested on December 31, 2019 to individuals who were on the Board on December 31, 2019.

In addition to the foregoing, for 2019 each non-employee director was entitled to receive $1,500 for each Board or committee meeting attended.  Further, the Chairman of each of the Executive Committee, the Nominating and Corporate Governance Committee, and the Compensation Committee was paid an additional retainer of $2,500 per quarter.  The Chairman of the Audit Committee was paid a retainer of $4,250 per quarter. In addition to the amounts set forth above, the Chairman of the Board was entitled to receive (i) a retainer of $100,000, payable quarterly in restricted shares of the Company’s Class A Common Stock pursuant to the terms of the Crawford & Company Non-Employee Director Stock Plan.

During calendar year 2020, each non-employee member of the Board is entitled to receive an aggregate of $140,000 in cash and restricted stock.  The cash portion of the compensation will be paid quarterly in $12,500 increments.  The remainder of such compensation will be paid in restricted shares of the Company’s Class A common stock, and will vest on December 31, 2020 to individuals who are on the Board on December 31, 2020.

In addition to the foregoing, for 2020 each non-employee director is entitled to receive $1,500 for each Board or committee meeting attended.  Further, the Chairman of each of the Executive Committee, the Nominating and Corporate Governance Committee, and the Compensation Committee is paid an additional retainer of $2,500 per quarter.  The Chairman of the Audit Committee is paid a retainer of $4,250 per quarter. In addition to the amounts set forth above, the Chairman of the Board is entitled to receive a retainer of $100,000, payable quarterly in restricted shares of the Company’s Class A Common Stock pursuant to the terms of the Crawford & Company Non-Employee Director Stock Plan.

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