American Outdoor Brands Enters Material Definitive Agreement

TL;DR

AOUB signed a big deal, filing shows. Could be good.

AI Summary

On April 11, 2024, American Outdoor Brands, Inc. entered into a Material Definitive Agreement. The company, incorporated in Delaware with its principal executive offices in Columbia, Missouri, filed an 8-K report detailing this agreement. This filing also includes financial statements and exhibits.

Why It Matters

This filing indicates a significant new contract or partnership for American Outdoor Brands, which could impact its future operations and financial performance.

Risk Assessment

Risk Level: medium — Entering into a material definitive agreement can introduce new risks and opportunities that may affect the company's financial stability and market position.

Key Numbers

• 001-39366 — SEC File Number (Identifies the company's filing with the SEC.)
• 84-4630928 — IRS Employer Identification No. (Company's tax identification number.)

Key Players & Entities

• American Outdoor Brands, Inc. (company) — Registrant
• April 11, 2024 (date) — Date of earliest event reported
• Delaware (jurisdiction) — State of Incorporation
• Columbia, Missouri (location) — Principal Executive Offices
• 001-39366 (identifier) — Commission File Number
• 84-4630928 (identifier) — IRS Employer Identification No.

FAQ

Key Financial Figures

• $0.001 — ch registered Common Stock, Par Value $0.001 per Share AOUT The Nasdaq Global Se
• $150,000 — se with a minimum guaranteed royalty of $150,000 per calendar quarter. The term of the T

Filing Documents

• aout-20240411.htm (8-K) — 48KB
• aout-ex10_1.htm (EX-10.1) — 164KB
• 0000950170-24-044829.txt ( ) — 357KB
• aout-20240411.xsd (EX-101.SCH) — 25KB
• aout-20240411_htm.xml (XML) — 5KB

01. Entry into a Material Definitive Agreement

Item 1.01. Entry into a Material Definitive Agreement. On April 11, 2024, AOB Products Company, a wholly owned subsidiary of American Outdoor Brands, Inc. ("we" or "us") entered into an Amended and Restatement Trademark License Agreement (the "Trademark License Agreement"), with Smith & Wesson Inc. ("SW"), pursuant to which the parties agreed to amend and restate the Trademark License Agreement, dated August 24, 2020 (the "Original Agreement"). The Trademark License Agreement with SW provides us with a limited, non-transferable, exclusive license to use certain SW trademarks for the sale of accessories, tools, and cutlery, which license allows us to continue selling all SW branded products that we are currently selling on an exclusive basis. In order to maintain brand identity, SW continues to have the right to approve any new products in the authorized product categories. The Trademark License Agreement requires us to pay to SW on a calendar quarterly basis a 5% ongoing aggregate royalty based on net sales of products utilizing the SW license with a minimum guaranteed royalty of $150,000 per calendar quarter. The term of the Trademark License Agreement will be five years from May 1, 2024 (the "Initial Term") with termination for cause if the other party breaches the agreement and fails to cure within the applicable cure period. Following the Initial Term of the Trademark License Agreement, the parties may agree to one or more five-year renewal terms, but if the parties are unable to agree to any such continuation, the agreement will continue on a month-to-month basis with either party having a right to terminate upon 12 months prior written notice. If either party wishes to modify the 5% royalty rate on or after the Initial Term, the Trademark License Agreement requires the parties to engage in good faith discussions regarding the new royalty rate no later than six months prior to the expiration of the five-year renewal term. The Trademark License Agreement

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits. Exhibit Number Description 10.1 Amended and Restated Trademark License Agreement, dated as of April 11, 2024, by and between Smith & Wesson Inc. and AOB Products Company, a wholly owned subsidiary of the Registrant. 10.2 Trademark License Agreement, dated as of August 24, 2020, by and between Smith & Wesson Inc. and AOB Products Company, a wholly owned subsidiary of the Registrant. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

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 thereunto duly authorized. AMERICAN OUTDOOR BRANDS, INC. Date: April 16, 2024 By: /s/ H. Andrew Fulmer H. Andrew Fulmer Executive Vice President, Chief Financial Officer, and Treasurer