Wakefield-based greeting card and gift retailer Card Factory said on Monday that “the board and Kris Lee, chief financial officer, have agreed that Kris will leave the company following a transition period.”
Card Factory said: “Kris has played a significant role in helping to guide the company through the last few years, and particularly during the Covid impacted period.
“Recently he has also delivered an attractive financing package, providing the company with a strong base for delivery of its future strategy. Having helped provide the foundations for the successful delivery of the company’s ‘Opening Our New Future’ growth strategy and a steady recovery of the group’s finances following lockdown restrictions, the board and Kris have agreed that now is the right time for change.
“The company will commence a process to identify his successor. Kris will remain in role for the transition period, working with the company to assist in this process and help ensure an orderly succession.”
Card Factory said the group’s trading performance for the year to date is in line with its previous expectations.
Card Factory chairman Paul Moody said: “I would like to thank Kris for his significant contribution over the last five years.
“In particular, he has worked tirelessly to deliver a successful refinancing in recent times and leaves the company with a solid platform to move forwards.”
Together with Kris, the board will commence a process to recruit his successor and look forward to providing an update in due course.”
Lee said: “It has been a pleasure working with Card Factory over the last five years; and I am proud of what the team achieved against an exceptionally challenging backdrop.
“Card Factory has made significant progress in recent years and has a clear strategy for the years ahead.”
On Lee’s remuneration arrangements, Card Factory said: “Kris Lee’s leaving arrangements will be treated in accordance with the approved Directors’ Remuneration Policy and his service contract.
“He will continue to work during his notice period which will expire on 22 April 2023, subject to any earlier termination.
“Salary and contractual benefits including pension will be paid in the normal way whilst this employment continues.
“A compensation payment for loss of office of £40,000 will be paid following termination.
“Kris will be eligible to receive a pro-rated annual bonus, subject to performance, for financial year to end on 31 January 2023, subject to any pro-rating if not actively engaged in the business for all of this financial year.
“Under the post employment shareholding requirements, one third of this bonus, after tax, must be invested in the company’s shares.
“Kris Lee’s outstanding Restricted Shares will be pro-rated in respect of performance periods that have not completed by the date he ceases employment, which will be no later than 22 April 2023, and subject to performance and their normal vesting and holding periods in accordance with their terms.
“He will not be eligible to receive any further annual bonus awards or Restricted Shares.
“Full details will be disclosed on the Card Factory plc website in due course in compliance with Section 430(2B) of the Companies Act 2006 and in the Directors’ Remuneration Report within the Annual Report and Accounts for the year ended 31 January 2023, and subsequent years, as appropriate.”