# Ethan Allen CEO defends leadership after activist proxy challenge 2026-08-07T20:55:50+00:00 | Business & Economy | Indian Opinion Desk Corroboration: 1 independent outlet Ethan Allen CEO Farooq Kathwari, 80, has publicly defended his leadership for the first time after activist investor Douglas Bergeron launched a proxy fight to replace the entire board. In a Bloomberg TV interview, Kathwari argued the company's focus on in-store interior design services over digital sales is the right long-term strategy, even though online sales are growing industry-wide. He acknowledged website sales are lower but said customers who meet designers in-store spend three to five times more. Bergeron, who holds a 5% stake, wants Kathwari and the board replaced, citing outdated strategy and over-tenured management. The company reported a 5.7% drop in net sales for the fiscal year ending June 30. ## Coverage - livemint.com Tags: activist investor, CEO defense, digital vs in-person, Ethan Allen, furniture retail, proxy fight Canonical: https://indianopinion.org/ethan-allen-ceo-defends-leadership-after-activist-proxy-challenge/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/ethan-allen-ceo-defends-leadership-after-activist-proxy-challenge/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes.