LCI Industries (LCII) Earnings Call Transcript & Summary

Good morning, and welcome to the 2020 Annual Meeting of Stockholders of LCI Industries. My name is Jason Lippert, President and Chief Executive Officer of the company and a Director, and I'll be presiding over this meeting. We're excited to be hosting our annual meeting virtually this year, which allows us not only to reach a greater number of stockholders, but also practice safe social distancing to help ensure the safety of those attending. It is now 2:00 in the afternoon, and this meeting is officially called to order. Following the introduction of the Board members of the company -- on the company officers and meeting guests, we will conduct the formal portion of our meeting. Throughout the meeting, stockholders are invited to submit questions regarding LCI using the web portal. These questions will be addressed on our company website following the meeting. I would like to remind you that our conversation during this meeting may include statements that constitute forward-looking statements. Such statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from these forward-looking statements, and we assume no obligation to update them. Next, I would like to acknowledge the members of our Board of Directors who are attending the meeting virtually: myself, Jason Lippert; Jim Gero, our Chairman; David Reed; Brendan Deely; Frank Crespo; Kieran O'Sullivan; Tracy Graham; Ginnie Henkels; Ron Fenech; and John Sirpilla. I would also like to take this opportunity to introduce Scott Vanderbeek and Kyle Gates of KPMG, our independent auditor. Officers of the company who are virtually present include Brian Hall, Executive VP and CFO, who will act as the inspector of election; Jamie Schnur, Group President Aftermarket; and Kip Emenhiser, Controller. Andrew Namenye, Executive VP, Chief Legal Officer and Secretary of the company is present and will act as Secretary of the meeting. Andrew?

Thanks, Jason. The Board of Directors fixed March 27, 2020, as the record date for determining stockholders entitled to vote at this meeting. LCI stockholders as of this date were sent a copy of the notice of the annual meeting on or about April 6, 2020. On or about April 30, 2020, a notice of change of time and location was made available to these same stockholders. I am pleased to announce that there are present by proxy, a sufficient number of the voting shares of the company to constitute a quorum. A copy of the notice, the supplemental notice, proxy statement and affidavit of distribution of Broadridge Financial Solutions shall be made a part of the record of this meeting.

Thank you, Andrew. The next order of business is a description of the 3 matters to be voted on today's meeting. No stockholder proposals were submitted in advance of this meeting in accordance with our bylaws. For stockholders voting today, please vote now as we will close the polls immediately after I review the 3 matters up to vote. If you have previously voted by proxy, you need to do nothing at this time. [Voting]

The first proposal is to elect Directors of the company to serve as the Directors until the next annual election. Our Board is currently comprised of 10 directors. The Board of Directors has nominated its following 10 persons, each of whom currently serves on our Board, as Directors to hold office until the next annual meeting of the stockholders and until their successors are duly elected and qualified. James F. Gero, Jason. D. Lippert, David A. Reed, Brendan J. Deely, Frank J. Crespo, Kieran M. O'Sullivan, Tracy D. Graham, Virginia L. Henkels, Ronald J. Fenech, John A. Sirpilla. In the proxy statement, we provided you with information regarding the business experience of each of these individuals. There were no other nominations from stockholders and the company has an advanced notice provision in its bylaws. Accordingly, all nominations are closed. Our Board of Directors recommends a vote in favor of the election of each of the director nominees. The second proposal on our agenda is the proposal that stockholders of the company approve in an advisory and nonbinding vote, the compensation of the named executive officers as disclosed in the detail in the proxy statement. We provided you with the information regarding this matter in the proxy statement. Stockholders are asked to vote on the following resolution. Resolved with the compensation paid to the company's named executive officers as disclosed in the proxy statement pursuant to the compensation disclosure rules of the SEC, including the compensation discussion and analysis, compensation tables and related information and discussion is hereby approved. Our Board of Directors recommends a vote in favor of this proposal. The final proposal on our agenda is the proposal that stockholders of the company ratify the appointment of KPMG LLP as independent auditors for the stockholders of the company for the fiscal year ending December 31, 2020. We provided you with information regarding this matter in the proxy statement. Our Board of Directors recommends a vote in favor of this proposal. Because no further business is on the agenda to come before the meeting, and everyone has had the opportunity to vote, I declare the polls now closed. Andrew, do you have any -- do you have preliminary voting results?

Yes. Thank you, Jason. The preliminary vote report shows that: one, the 10 persons named in the proxy statement and nominated at this meeting have been elected as directors of the company to hold office until the next annual meeting of stockholders and until their successors have been elected and duly qualified; two, in the advisory and nonbinding vote, compensation of the named executive officers as disclosed in the proxy statement has been approved; three, the selection of KPMG LLP as independent auditors for the fiscal year ending December 31, 2020, has been ratified. We will be reporting the final vote results in an SEC filing within the required time period.

Thank you, Andrew, and there is no other business to come before this meeting. This meeting is officially adjourned. Thank you.