Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

Effective October 15, 2009, the Board of Directors (the "Board") of Charles & Colvard, Ltd. (the "Company") extended the appointment of George R. Cattermole, the Company's current Chairman of the Board, as the Company's Interim Chief Executive Officer until the hiring of a permanent chief executive officer. As previously disclosed in the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on July 23, 2009 (the "Prior Report"), Mr. Cattermole was appointed to the position on July 17, 2009 until the earlier of the hiring of a permanent chief executive officer or three months. There were no changes to Mr. Cattermole's compensation as a result of this extension. Mr. Cattermole's experience and compensation arrangements are described in Item 5.02 of the Prior Report, which description is incorporated herein by reference.