True Religion Apparel, Inc. (Nasdaq:TRLG) today announced that Chairman
and Chief Executive Officer Jeffrey Lubell sold 3.2 million shares of
True Religion Apparel common stock on May 13, 2008.
Mr. Lubell sold these shares for two purposes: first, to fulfill an
obligation due under the marital dissolution agreement with his former
wife; and second, to continue his financial, estate and tax planning.
In May 2007, Mr. Lubell and his former wife restructured their
collective holdings of equity interests in True Religion Apparel,
including common stock, restricted stock and stock options. At that
time, Mr. Lubell received control of these securities. In order to
satisfy his obligations under the marital dissolution, Mr. Lubell sold
shares of True Religion Apparel common stock on June 7, 2007 and May 13,
2008. With the completion of this sale, Mr. Lubell has no further
payments due to his former wife related to the restructuring of their
collective holdings of equity interests in True Religion Apparel.
Following this transaction, Mr. Lubell retains beneficial ownership of
3,012,657 shares of True Religion Apparel common stock, including
2,557,664 shares of Company common stock, 64,993 shares of restricted
stock which are subject to a right of forfeiture, 190,000 shares of
restricted stock which may be earned if certain performance criteria are
achieved and which are subject to a right of forfeiture, and 200,000
options to purchase shares of Company common stock. Following this
transaction, Mr. Lubell’s ownership is
approximately 12.3 percent of the Company’s
diluted outstanding shares.
In September 2007, Mr. Lubell entered into a pre-arranged stock sales
plan (the “Plan”)
under which a broker not affiliated with the Company could sell up to
2,300,000 shares of Company common stock over a six month period
starting on October 17, 2007. The Plan expired pursuant to its terms,
and no stock sales were completed under the Plan.
Mr. Lubell will file a Form 4 with the Securities and Exchange
Commission in connection with this transaction.
About True Religion Apparel, Inc.
True Religion Apparel, Inc. is a growing, design-based premium
aspirational brand. The company designs, manufactures and markets True
Religion Apparel products, including its premium True Religion Brand
Jeans. Its expanding product line, which includes high quality
distinctive styling and fit in denim, sportswear, and licensed products,
may be found in premium department stores and boutiques in 50 countries
around the world, including the United States, Canada, Germany, United
Kingdom, Japan, Korea, France, Spain, Sweden, Greece, Italy, Mexico,
Australia, South Africa and China. For more information, please visit www.truereligionbrandjeans.com.
This press release contains forward-looking statements within the
meaning of the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. These statements are based upon our
current expectations and speak only as of the date hereof. Our actual
results may differ materially and adversely from those expressed in any
forward-looking statements as a result of various factors and
uncertainties, including uncertainties as to the nature of the apparel
industry, including changing customer demand and tastes, seasonality,
customer acceptance of new products, the impact of competitive products
and pricing, dependence on existing management and general economic
conditions. Our Annual Report on Form 10-K, recent and forthcoming
Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and
other SEC filings discuss some of the important risk factors that may
affect our business, results of operations and financial condition. The
Company undertakes no obligation to revise or update publicly any
forward-looking statements for any reason
