8-K: Leslie's Appoints Amy College as New Chief Merchandising and Supply Chain Officer

Leslie's, Inc. announced the appointment of Amy College, a veteran retail executive from Petco and Best Buy, as its new Chief Merchandising and Supply Chain Officer, effective July 20, 2025, succeeding Moyo LaBode.

Summary

• Leslie's, Inc. has appointed Amy College, age 50, as its Chief Merchandising and Supply Chain Officer, effective July 20, 2025.
• Ms. College will oversee merchandising, inventory, supply chain, logistics, manufacturing, and the company's digital marketplace business.
• She brings over 25 years of retail operations leadership experience, including nearly five years at Petco Health and Wellness Company, Inc. where she served as Chief Merchandising and Supply Chain Officer, and over 20 years at Best Buy Co., Inc.
• Her compensation package includes an annual base salary of $525,000 and a target bonus of 65% of her salary, equating to an annual target bonus of $341,250.
• Ms. College will receive a one-time sign-on bonus of $150,000.
• She is eligible for an initial equity grant of 205,685 restricted stock units (RSUs) valued at $154,264, prorated based on her hire date, and a one-time sign-on RSU equity grant of 100,000 shares valued at $75,000, both subject to Compensation Committee approval in August 2025.
• Ms. College will participate in the company's Executive Severance Pay Plan and receive standard employee benefits, including health & welfare insurance, life and disability insurance, executive physical program, 401(k) plan, and four weeks of vacation.
• Moyo LaBode ceased employment as Chief Merchandising and Supply Chain Officer, effective July 15, 2025, with his departure not attributed to any disagreement with the company.
• Mr. LaBode will receive payments and benefits under the Executive Severance Pay Plan dated April 11, 2022, subject to the terms of his Severance Agreement and the company's receipt of an effective release of claims.

Sentiment

Score: 7

Explanation: The sentiment is generally positive due to the appointment of a highly experienced executive with a strong background in relevant areas like supply chain, merchandising, and digital operations, which is expected to contribute to future growth. The departure of the previous officer was stated not to be due to disagreement, mitigating potential negative interpretations.

Positives

• The appointment of Amy College brings extensive retail operations leadership experience, including merchandising, supply chain, and store operations, from reputable companies like Petco and Best Buy.
• Ms. College's responsibilities include the digital marketplace business, indicating a strategic focus on e-commerce and digital growth.
• The structured compensation package, including base salary, target bonus, and equity grants, aligns Ms. College's incentives with the company's financial performance and shareholder success.

Negatives

• The departure of a Chief Merchandising and Supply Chain Officer, even if not due to disagreement, represents executive turnover which can sometimes lead to a period of transition.

Future Outlook

The company anticipates that Amy College will make significant contributions to support its growth, particularly in merchandising, supply chain efficiency, and the digital marketplace.

Management Comments

• Jason McDonell, Chief Executive Officer, expressed pleasure in extending the offer to Amy College, stating confidence that she will make significant contributions to support Leslie's growth and recognizing her ability to add significant value to the business.

Industry Context

The retail industry, particularly specialized segments like pool supplies, increasingly relies on robust supply chain management, efficient merchandising, and a strong digital presence. The appointment of a Chief Merchandising and Supply Chain Officer with extensive experience in these areas, including digital marketplace oversight, reflects a strategic focus on optimizing operations and enhancing customer experience in a competitive market.

Comparison to Industry Standards

• The compensation package for the new Chief Merchandising and Supply Chain Officer, including a competitive base salary, performance-based bonus, and significant equity grants, is consistent with executive compensation practices for similar roles in publicly traded retail companies of comparable size and market capitalization.
• The inclusion of a sign-on bonus and substantial equity awards is a common strategy used by companies to attract top-tier talent with proven track records from larger industry players like Petco and Best Buy.

Management Changes

Corporate Governance

Related Party Transactions

• Amy College and her immediate family members are not party to any related party transactions requiring disclosure pursuant to Item 404(a) of Regulation S-K.

Stakeholder Impact

• Shareholders: The appointment of a seasoned executive like Amy College could be viewed positively, potentially signaling a focus on operational efficiency and strategic growth, which may influence investor confidence.
• Employees: The change in leadership at a key executive level may impact employees within the merchandising and supply chain divisions, potentially bringing new strategies or organizational adjustments.
• Customers: Enhanced merchandising and supply chain management under new leadership could lead to improved product availability, selection, and overall customer experience.
• Suppliers: Changes in supply chain leadership may lead to reviews or adjustments in supplier relationships and logistics strategies.

Next Steps

• Amy College's employment with Leslie's is set to commence no later than July 20, 2025.
• The Compensation Committee of the Board is expected to approve Ms. College's initial and sign-on equity grants in August 2025.
• A background check will be performed, and the offer of employment is contingent on its satisfactory completion.

Key Dates

Keywords

Leslie's, Chief Merchandising and Supply Chain Officer, Executive Appointment, Retail, Supply Chain, Merchandising, Corporate Governance, Executive Compensation, Digital Marketplace, Petco, Best Buy