UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
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CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): September 10, 2014
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EZCORP, Inc.
(Exact name of registrant as specified in its charter)
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Delaware | 0-19424 | 74-2540145 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||
1901 Capital Parkway, Austin, Texas 78746
(Address of principal executive offices) (zip code)
Registrant’s telephone number, including area code: (512) 314-3400
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
Item 2.05 — Costs Associated with Exit or Disposal Activities
On September 10, 2014, the Board of Directors, with management's recommendation, approved certain staff reductions and other personnel actions in order to "right-size" the business, align skills with needs, and refocus the organization on high-return, value-added activities. Such reductions and other actions are intended to constitute a "plan of termination" under FASB ASC Paragraph 420-10-25-4 (Exit or Disposal Cost Obligations). The Company began implementing the plan on September 11, 2014 and currently expects to complete the plan within 60 days. The total costs to be incurred in connection with the plan (all of which will constitute one-time termination benefits and will result in cash expenditures) is estimated to be $4 million.
Item 5.02 — Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
(b) | On September 12, 2014, Barry W. Guest, President, Pawn and Cash Converters Americas and a Named Executive Officer, resigned from the Company. |
Item 8.01 — Other Events
On September 15, 2014, the Company issued a press release announcing that Eric Fosse has joined the Compnay as President, Pawn and Cash Converters Americas. A copy of that press release is filed as Exhibit 99.1.
Item 9.01 — Financial Statements and Exhibits
(d) Exhibits.
99.1 | Press Release, dated September 15, 2014, announcing the appointment of Eric Fosse as President, Pawn and Cash Converters Americas. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
EZCORP, INC. | |||
Date: September 15, 2014 | By: | /s/ THOMAS H. WELCH, JR. | |
Thomas H. Welch, Jr. | |||
Senior Vice President, | |||
General Counsel and Secretary | |||
EZCORP Names Eric Fosse to Lead Pawn Business
AUSTIN, Texas (September 15, 2014) - EZCORP, Inc. (NASDAQ: EZPW), a leading provider of instant cash solutions for consumers, today announced that Eric Fosse has rejoined the company as President, Pawn and Cash Converters America. In this role, Mr. Fosse will lead the company's pawn and buy/sell businesses in the United States, Mexico and Canada. Mr. Fosse will report directly to Mark Kuchenrither, the company’s President and Chief Executive Officer.
Mr. Kuchenrither said, “I am pleased to welcome Eric to our team. He is an outstanding senior executive and leader and an expert in the pawn lending activities that drive success and profitability in this business. Eric previously led the EZCORP pawn businesses, both in the U.S. and Mexico, where he drove storefront and revenue growth while significantly increasing profitability. I look forward to working with him again.”
Mr. Fosse was an executive with EZCORP from 2004 through 2012. He has served as Vice President of EZMoney Operations, President of the EZMoney Division, President of Pawn Americas, President of North American Operations and President of U.S. Financial and Online Services. Since leaving EZCORP in December 2012, Mr. Fosse has been a consultant to private equity investors, advising on opportunities within the consumer finance and financial services industries.
The company also announced that Barry Guest, former President of Pawn and Cash Converters Americas, has left EZCORP to pursue other opportunities.
About EZCORP
EZCORP is a leader in delivering easy cash solutions to our consumers across channels, products, services and markets. With approximately 7,300 team members and approximately 1,400 locations and branches, we give our customers multiple ways to access instant cash, including pawn loans and consumer loans in the United States, Mexico, Canada and the United Kingdom, and fee-based credit services to customers seeking loans. At our pawn and buy/sell stores and online, we also sell merchandise, primarily collateral forfeited from pawn lending operations and used merchandise purchased from customers.
EZCORP owns controlling interests in Prestaciones Finmart, S.A.P.I. de C.V., SOFOM, E.N.R. (doing business under the names “Crediamigo” and “Adex”), a leading provider of consumer loans in Mexico, and in Renueva Commercial, S.A.P.I. de C.V., an operator of buy/sell stores in Mexico under the name “TUYO.” The company also has a significant investment in Cash Converters International Limited (CCV.ASX), which franchises and operates a worldwide network of over 700 stores that provide personal financial services and sell pre-owned merchandise.
Forward-Looking Statements
This announcement contains certain forward-looking statements regarding the company’s strategy and initiatives. These statements are based on the company’s current expectations. Actual results for future periods may differ materially from those expressed or implied by these forward-looking statements due to a number of uncertainties and other factors, including fluctuations in gold prices or the desire of our customers to pawn or sell their gold items, changes in the regulatory environment, changing market conditions in the overall economy and the industry, and consumer demand for the company’s services and merchandise. For a discussion of these and other factors affecting the company’s business and prospects, see the company’s annual, quarterly and other reports filed with the Securities and Exchange Commission.
Contact:
Mark Trinske
Vice President, Investor Relations and Communications
EZCORP, Inc.
(512) 314-2220
Investor_Relations@ezcorp.com
http://investors.ezcorp.com/