Chip Wilson, founder and major shareholder of Lululemon Athletica Inc. (NASDAQ: LULU), released a letter urging shareholders to vote for his three independent board nominees at the company's 2026 annual meeting.

Wilson cited a 65.9% loss in shareholder value over less than two years and approximately $17 billion in shareholder value lost over five years. The company has reported flat or declining same-store sales in the Americas for eight consecutive quarters.

Wilson criticized the board's decisions, particularly the partnership with Walt Disney Company and expansion into footwear, beauty products and accessories. He argued these moves damaged Lululemon's premium brand positioning by pursuing mass-market strategies.

The founder expressed concerns about the recent appointment of Heidi O'Neill as CEO, calling her a "near 30-year veteran of Nike" who does not represent "transformative, creative-first leadership." The stock declined 15% when O'Neill's appointment was announced on April 22, 2026.

Wilson highlighted governance issues, noting that Lululemon is among the 10% of S&P 500 companies with a staggered board structure. He pointed to professional overlaps between four directors and Lead Director David Mussafer's private equity firm, Advent International.

Wilson's three nominees are Marc Maurer, former co-CEO of On Holding AG; Laura Gentile, former chief marketing officer of ESPN; and Eric Hirshberg, former CEO of Activision Publishing. During their respective tenures, On nearly quadrupled revenue under Maurer, ESPN achieved record viewership under Gentile, and Activision's stock rose approximately 500% under Hirshberg.

Wilson stated he intentionally did not nominate himself and selected fully independent candidates. He offered multiple settlement proposals to the board, including options covering three annual meetings, but negotiations failed. The board requested a million-dollar escrow account from Wilson as part of a non-disparagement provision.

The information is based on Wilson's letter to shareholders and definitive proxy statement filed with the SEC.