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GrowLife Establishes Board Governance Policies, Restructures Compensation for Independent Directors
WOODLAND HILLS, Calif., April 30, 2014 /PRNewswire/ --GrowLife, Inc. (PHOT), the recognized leader in specialty hydroponics and an essential facilitator of the grower marketplace, announced an initial component of its GrowLife 2.0 go-forward plan with the creation of stronger governance policies at the Board level, the restructuring of Board compensation and the creation of guiding principles for the long-term growth of the company.
A new compensation plan for independent Directors on GrowLife's Board has been proposed to replace the stock award plan originally established in August 2012. The initial step in the implementation of the proposed compensation plan is the agreement by all four independent directors of GrowLife to cancel their respective 500,000 share stock grants for Q1 2014 issued pursuant to the August 2012 plan.
"Upon review of director compensation, the independent directors recognized the importance of making this change for the good of the company, and called-upon themselves to serve as leadership examples," commented Marco Hegyi, President and Board Director. "This is the first of several strategic announcements GrowLife will make over the next few weeks, as key components of our GrowLife 2.0 plan."
The proposed plan shifts compensation away from historical stock awards, and moves it toward incenting/rewarding independent Directors for overseeing the long-term growth and expansion of the company. Director compensation will become more equitable and in-line with the company's performance.
"This long-term incentive plan will align Board compensation with company performance," said Sterling Scott, GrowLife's Chairman and CEO. "It recognizes the importance of strong governance, industry leadership and a long-term view of what's right for the company and the industry. That tenet is a fundamental guiding principle of our GrowLife 2.0 strategy."
Also fundamental is stronger business acumen shared throughout the company, and compliance policies that ensure GrowLife's business practices and investment strategies are in full compliance with regulatory requirements and market dynamics. To provide oversight and clear direction, the Board has established four essential committees:
Audit Committee to provide greater oversight on all compliance matters;
Compensation Committee to review compensation programs, specifically around stock incentive plans;
Nominating Committee to identify and screen additional board members who are committed to the long-term growth of the company;
Mergers and Acquisitions Committee to guide purchasing and investments by the company
About GrowLife, Inc. (PHOT). GrowLife (www.growlifeinc.com) is the recognized leader in specialty hydroponics and an essential facilitator of the grower marketplace, through our nationwide retail network, as well as online sites Greners.com, Phototron.com and StealthGrow.com.
