WILKES-BARRE, Pa., June 14 /PRNewswire/ -- At Lakeland Industries, Inc.'s ("Company") (Nasdaq: LAKE) annual meeting on June 16, 2010 in Ronkonkoma, NY, shareholders will vote on a proposal asking the Company to declassify its Board of Directors and thereby allowing shareholders to vote on all directors every year. Basically, the proposal requests that the Board change the present staggered board policy that provides for one third of Directors to be elected each year and instead requires that all Directors be elected annually.
The proposal was submitted by Seymour Holtzman ("Holtzman"), a shareholder activist, who is a large shareholder of Lakeland Industries. Mr. Holtzman stated that he believes "shareholders should have the opportunity to vote on the performance of the entire board each year. I look forward to meeting shareholders at the annual meeting and further explaining why I believe the change to the Board of Directors is needed."
The proposal has been endorsed by RiskMetrics Group, Inc., one of the largest proxy voting services in the U.S., which recommends a FOR vote. RiskMetrics Group states in its report that, "The ability to elect directors is the single most important use of the shareholder franchise, and all directors should be accountable on an annual basis. A classified board can entrench management and effectively preclude most takeover bids or proxy contests. Board classification forces dissidents and would-be acquirers to negotiate with the incumbent board, which has the authority to decide on offers without a shareholder vote." Mr. Holtzman said, "I am delighted that RiskMetrics Group has supported our proposal."
If the majority of the shareholders vote to support declassifying the Company's Board of Directors, Mr. Holtzman sincerely hopes that the Board of Directors takes immediate action to declassify the Board of Directors so all directors will be subject to election at next year's Annual Meeting.SOURCE Seymour Holtzman