Lululemon Athletica Inc. Enters into Cooperation Agreement with Founder Dennis J. "Chip" Wilson

Lululemon Athletica Inc. has entered into a Cooperation Agreement with its founder, Dennis J. "Chip" Wilson, and related entities. As part of the agreement, the company will appoint two independent directors, Laura Gentile and Marc Maurer, to its Board of Directors following the 2026 annual meeting. The board size will be increased to accommodate these appointments. Additionally, Lululemon committed to appointing a third independent director with apparel product and brand expertise by October 1, 2026, subject to Mr. Wilson's reasonable approval. The agreement also includes provisions for the declassification of the Board of Directors, with a proposal to be put to stockholders at the 2026 annual meeting and a further proposal for annual director elections at the 2027 meeting, effective in 2028. The agreement includes customary voting, standstill, and non-disparagement clauses and will terminate prior to the 2028 annual meeting nomination deadline. In lieu of expense reimbursement, Lululemon will make a $4,000,000 donation towards the betterment of Kitsilano Beach.