MOV · Movado Group, Inc.

Movado Group, Inc., along with subsidiaries Swissam Products Limited and MGI Luxury Group Sárl, entered into an Extension Letter on March 30, 2026, with Calvin Klein, Inc., prolonging the existing License Agreement from August 19, 2020, by three years to December 31, 2029. This secures continued rights for Movado to design, distribute, and sell Calvin Klein branded products, a key revenue stream, amid stable other terms. For 2026, advertising spend is pegged at []% of net sales (excluding CKI and store licensees) or $[], whichever is [], but only $[] goes directly to CKI by [], with the balance funding licensee-approved media, alongside reporting requirements and ongoing CRK fees. Starting January 1, 2027, amendments tighten non-compete restrictions barring [] products without consent, refine renewal mechanics with notice windows from [] to [] and negotiation deadlines, mandate U.S. dollar wire payments, and expand termination triggers via a detailed Change in Control clause covering asset transfers, equity shifts above [***]%, control changes, and competitor stakes. Compliance escalates with Sanctions Laws adherence, bans on prohibited sales or suppliers, and mandatory PVH policies on supply chains, restricted substances, and labor. These changes fortify brand protection, operational controls, and risk mitigation, potentially stabilizing long-term licensing economics while imposing stricter governance for investors.