Energy Recovery, Inc. appointed David Moon as new CEO

Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.


Appointment of Interim President and Chief Executive Officer

On October 23, 2023, the Board of Directors (the "Board") of Energy Recovery, Inc. (the "Company") appointed David Moon, a current member of the Board as Interim President and Chief Executive Officer, effective immediately, to hold such position until a permanent successor President and Chief Executive Officer is appointed. Mr. Moon was previously a member of the Audit Committee and the Nominating and Corporate Governance Committee. In connection with his appointment as Interim President and Chief Executive Officer, Mr. Moon has stepped down from both committees, but will remain on the Board.

Mr. Moon, age 61, joined the Board in July 2023. Prior to that, Mr. Moon was President of Carrier Commercial Refrigeration, a supplier of high-efficiency CO2 turnkey refrigeration systems and services and a division of Carrier Global Corporation (NYSE: CARR), from 2020 to 2021. Prior to that, Mr. Moon worked as an Advisor for Ares Management LLC on the acquisition of CoolSys, Inc., a commercial refrigeration and HVAC services provider, in March 2019. He joined the CoolSys Board of Directors following such acquisition. Prior to that, Mr. Moon was President and Chief Operating Officer of Heatcraft Worldwide Refrigeration, a commercial refrigerator supplier and a division of Lennox International, Inc. (NYSE: LII), a provider of climate control products for heating, air conditioning, ventilation and refrigeration markets, from 2006 to 2017. Mr. Moon joined Lennox International, Inc. in 1998, holding various management positions in the United States, Singapore and Australia. Prior to that, Mr. Moon held various management positions at Allied Signal, Inc. (NYSE: ALD), Case Corporation and Tenneco Oil Company in the United States, Hong Kong, Taiwan and Germany. Mr. Moon served on the Board of Directors of American Woodmark Corporation (Nasdaq: AMWD) from 2015 to 2020. Mr. Moon received a Bachelor of Science in Civil Engineering and an MBA from Texas A&M University. 

Mr. Moon does not have any family relationship with any director or executive officer of the Company, or person nominated or chosen by the Company to become a director or executive officer, and he has no direct or indirect material interest in any transaction required to be disclosed pursuant to Item 404(a) of Regulation S-K.

In connection with his appointment as Interim President and Chief Executive Officer, Mr. Moon will receive a base salary of $550,000 per annum, plus a one-time equity award valued at approximately $280,000, in each case pro-rated for the duration of his service, and other standard employee benefits. As an employee, Mr. Moon will no longer be eligible to receive his annual Board fees, consisting of a $50,000 cash retainer and a $100,000 equity retainer.


Departure of President and Chief Executive Officer

On October 23, 2023, Robert Yu Lang Mao, President and Chief Executive Officer, departed as President and Chief Executive Officer, effective October 23, 2023. Mr. Mao will remain on the Board but will no longer be serving as Chairman of the Board.