UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) June 14, 2006
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Culp, Inc.
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(Exact Name of Registrant as Specified in its Charter)
North Carolina 0-12781 56-1001967
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(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
1823 Eastchester Drive
High Point, North Carolina 27265
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(Address of Principal Executive Offices)
(Zip Code)
(336) 889-5161
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(Registrant's Telephone Number, Including Area Code)
Not Applicable
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(Former name or address, if changed from last report)
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 (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 1.01. Entry into a Material Definitive Agreement.
On June 14, 2006, the Compensation Committee of the board of directors of
Culp, Inc. (the "Company") approved discretionary bonuses of $10,000 to be paid
for fiscal 2006 to each of the following named executive officers: Kenneth M.
Ludwig, Robert G. Culp, IV, and Boyd B. Chumbley. Salary levels for all of the
Company's named executive officers remain unchanged for fiscal 2007 from fiscal
2006 levels.
On June 15, 2006, the board of directors of the Company, upon
recommendation of the Compensation Committee, approved changes to the
compensation to be paid to the Company's non-employee directors. The board
deferred indefinitely a previously announced increase in director compensation
scheduled for September 26, 2006, which would have increased such compensation
to an annual retainer of $40,000 for all non-employee directors ($45,000 for the
Lead Director), plus an annual grant of options to purchase 4,000 shares of the
Company's stock. The current compensation arrangement, which remains unchanged,
provides for each non-employee director to be paid an annual retainer of $32,500
(except the Lead Director, who will receive a $37,500 retainer), plus an annual
grant of options to purchase 2,000 shares of the Company's stock. The options
are to be granted under the Company's 2002 Stock Option Plan, which provides for
options to be granted to directors with an exercise price equal to the fair
market value on the date of grant. The options will be immediately exercisable
upon grant and remain outstanding for a period of 10 years from the date of
grant.
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.
Date: June 20, 2006
Culp, Inc.
By: /s/ Kenneth R. Bowling
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Kenneth R. Bowling
Vice President-Finance, Treasurer