SHAMIR OPTICAL INDUSTRY LTD.
KIBBUTZ SHAMIR, ISRAEL, NOVEMBER 18, 2009 - Shamir Optical Industry Ltd.
(Nasdaq: SHMR), a leading provider of innovative products and technology to the
ophthalmic lens market, announced that on November 18, 2009, the audit committee
and board of directors of Shamir Optical Industry Ltd. (Nasdaq: SHMR) ("Shamir"
or the "Lessee") approved the entry into a second amendment to a certain lease
agreement, dated January 5, 1999, as amended on February 9, 2005, by and between
Shamir and Kibbutz Shamir (the "Kibbutz" or the "Lessor"), the controlling
shareholder of Shamir.
Under the terms of the second amendment, in light of Shamir's intention to
vacate certain office floors and yards of the leased property, the Kibbutz shall
afford Shamir the following discount on rent: (1) between the years 2011 and
2014, an aggregate annual discount in the amount of US$18,500; and (2) from the
year 2015 onwards, an aggregate annual discount in the amount of US$28,000.
The audit committee and board of directors of Shamir have each approved the
entry and execution of the second amendment, and determined that the proposed
second amendment is a wholly beneficial transaction for Shamir, in accordance
with Section 1(2) of the Israeli Companies Regulations (Relieves for
Transactions with Related Parties) of 2000 (the "Regulations").
Under Section 1C of the Regulations, each shareholder that holds at least
1% of Shamir's issued share capital or voting rights is entitled to object to
the proposed entry into the second amendment, provided, however, that such
objection has been submitted to Shamir within 14 days as of the date of this
report on Form 6-K. If such objection is received by Shamir within such 14-day
period, the proposed entry into the second amendment, as discussed above, will
require a shareholder approval by a special majority pursuant to Section 275 of
the Israeli Companies Law of 1999.
ABOUT SHAMIR:
Shamir is a leading provider of innovative products and technology to the
spectacle lens market. Utilizing its proprietary technology, the company
develops, designs, manufactures, and markets progressive lenses to sell to the
ophthalmic market. In addition, Shamir utilizes its technology to provide design
services to optical lens manufacturers under service and royalty agreements.
Progressive lenses are used to treat presbyopia, a vision condition where the
eye loses its ability to focus on close objects. Progressive lenses combine
several optical strengths into a single lens to provide a gradual and seamless
transition from near to intermediate, to distant vision. Shamir differentiates
its products from its competitors' primarily through lens design. Shamir's
leading lenses are marketed under a variety of trade names, including Shamir
Genesis(TM), Shamir Piccolo(TM), Shamir Office(TM), Shamir Nano(TM), Shamir
Autograph(TM) and Shamir Smart(TM). Shamir believes that it has one of the
world's preeminent research and development teams for progressive lenses, molds,
and complementary technologies and tools. Shamir developed software dedicated to
the design of progressive lenses. This software is based on Shamir's proprietary
mathematical algorithms that optimize designs of progressive lenses for a
variety of activities and environments. Shamir also has created software tools
specifically designed for research and development and production requirements,
including Eye Point Technology software, which simulates human vision.
