Form 4: Ethan Allen CEO Sells Shares Under 10b5-1 Plan
Insider Transaction Report
Ethan Allen Interiors' Chairman, President & CEO, M. Farooq Kathwari, sold a total of 15,700 shares of common stock directly and indirectly through trusts, plus 11,000 shares via a foundation, all under a pre-arranged 10b5-1 plan.
Summary
- M. Farooq Kathwari, Chairman, President & CEO of Ethan Allen Interiors Inc. (ETD), reported sales of common stock.
- On December 11, 2025, Mr. Kathwari directly sold 15,000 shares of common stock at a price of $25.01 per share.
- On the same date, 700 shares were indirectly sold through four separate 2020 Trusts (175 shares each) at $25.01 per share.
- Additionally, 11,000 shares of Ethan Allen common stock were sold by the Irfan Kathwari Foundation, over which Mr. Kathwari is deemed to beneficially own but has no pecuniary interest.
- All reported transactions were executed pursuant to a Rule 10b5-1 stock selling plan adopted on June 10, 2025, with an effective date of September 15, 2025.
- This trading plan was previously disclosed in the Issuer's Annual Report on Form 10-K filed on August 22, 2025.
- Following these transactions, Mr. Kathwari's direct beneficial ownership stands at 1,485,699 shares.
- Indirect beneficial ownership includes 15,364 shares held by his spouse, 8,552 shares in a 401(k) plan, and 22,375 shares in each of the four 2020 Trusts.
Sentiment
Score: 5
Explanation: The filing reports a pre-scheduled insider stock sale under a 10b5-1 plan, which is a neutral event as it does not reflect new discretionary sentiment regarding the company's prospects.
Related Party Transactions
- Indirect sales of 175 shares each through four 2020 Trusts FBO Kolhai Gibran Kathwari, Zavier Irfan Kathwari, Samantha Maxime Van Puyenbroeck-Kathwari, and Gabriel Alexander Van Puyenbroeck-Kathwari.
- Sale of 11,000 shares by the Irfan Kathwari Foundation, over which Mr. Kathwari is deemed to beneficially own shares but has no pecuniary interest.
Stakeholder Impact
- Shareholders: Disclosure of insider stock sales provides transparency regarding executive holdings and planned transactions, which can inform investment decisions.
Key Dates
| Date | Description |
|---|---|
| 06/10/2025 | Rule 10b5-1 stock selling plan adopted by M. Farooq Kathwari. |
| 08/22/2025 | Trading plan previously disclosed in the Issuer's Annual Report on Form 10-K. |
| 09/15/2025 | Effective date of the Rule 10b5-1 stock selling plan. |
| 12/11/2025 | Date of reported stock transactions (direct and indirect sales). |
| 12/12/2025 | Signature date of the reporting person's attorney-in-fact. |
Keywords
Ethan Allen Interiors, ETD, Insider Selling, Form 4, M. Farooq Kathwari, 10b5-1 Plan, Stock Sale
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