Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers On November 5, 2008, Elizabeth Arden, Inc. (the "Company") entered into a termination agreement (the "Agreement") with Mr. Jacobus A.J. Steffens, the Company's Executive Vice President, General Manager -- International. Under the terms of the Agreement, Mr. Steffens's employment with the Company will end on December 31, 2008.
Under the terms of the Agreement, Mr. Steffens will be entitled to continue to receive his current salary and employee benefits and perquisites, plus payment for any accrued but unused vacation, through December 31, 2008. In addition, if Mr. Steffens remains with the Company through December 31, 2008, Mr. Steffens will be entitled to (i) a lump sum cash payment of 550,000 Swiss francs, consistent with the Company's Severance Policy, (ii) a lump sum cash payment of 34,320 Swiss francs which equals 12 months of health insurance allowance and 12 months of car allowance, (iii) continued payment by the Company of secondary school tuition for his children through the end of the 2008/2009 academic year, and (iv) outplacement services at the expense of the Company, up to a maximum of 20,000 Swiss francs, should Mr. Steffens desire to utilize such services. Mr. Steffens will also retain his full eligibility to receive a cash bonus for the quarter ending December 31, 2008, in accordance with the terms of the Company's Management Bonus Plan for Fiscal 2009. The Agreement also includes confidentiality and non-solicitation provisions in favor of the Company and a mutual general release of claims relating to the Company's employment of Mr. Steffens.