Glass Lewis Backs Full DGB Slate in Ethan Allen Proxy Fight
ETD is trading near its 52-week low of $18.28 (12% above the low).
Summary
Glass Lewis recommended shareholders vote the white card for all five of Doug Bergeron's DGB nominees and withhold from all incumbents, including replacing 38-year CEO Farooq Kathwari, ahead of the Nov. 4, 2026 annual meeting. It is the second advisor to back the full slate after Egan-Jones last week; ISS has not yet weighed in, and its call is the one that typically decides close votes. Glass Lewis cited deteriorating operating performance, weak shareholder returns and insufficient board accountability — the same case DGB has been making since its August 13D and September proxy launch. The board has already committed to naming a new CEO by June 30, 2027 while keeping Kathwari through the transition, which Bergeron calls too slow. With shares down more than 25% over the past year and fiscal 2026 sales and EPS already declining, a full board flip would put the dividend, cost structure and CEO search in play. Watch ISS's recommendation and the Nov. 4 vote; Q1 fiscal 2027 results land Nov. 9, five days after the meeting.
Updated with a Wiseek News report · What changed
Updates
· SEC DFAN14A — Glass Lewis also urged withholding votes from all five incumbent directors, including Chairman and CEO M. Farooq Kathwari, at the November 4, 2026 annual meeting.
· Wiseek News — Glass Lewis recommended Ethan Allen shareholders vote the WHITE card for all five Bergeron nominees and WITHHOLD from all incumbents ahead of the November 4, 2026 vote.
At the time of this announcement, ETD was trading at $20.45 on NYSE in the Trade & Services sector, with a market capitalization of approximately $515.4M. The 52-week trading range was $18.28 to $28.21. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.