top activist stories 5

A REVIEW OF FINANCIAL ACTIVISM BY GENEVA PARTNERS February 15th,2013

TO P AC T I V I S T STO R I E S

Through his firm, Trian Fund Management, Peltz and associates control 27% of Wendy's stock. Peltz, who has been a director of the company since 1993, currently serves as chairman, and has long made his view known that Wendy's is worth far more than its stock-market value. […]

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Darty Plc’s largest investor plans to exercise its right to install a representative on the board of France’s biggest electronics retailer, losing patience after the company warned that annual profit is set to miss estimates. […]

It turns out billionaire investor Carl Icahn really is bullish on Herbalife Ltd., a position in sharp contrast to rival hedge-fund manager Bill Ackman.[…]

Nelson Peltz may warrant thanks from H.J. Heinz Co. stakeholders after Berkshire Hathaway Inc. and 3G Capital’s offer to buy the ketchup maker for about $23 billion, even though the billionaire hedge-fund manager won’t share much in the reward.[…]

Mr Einhorn is going after Apple, where he is trying to persuade the iPhone maker to set aside more of its $137bn cash pile for investors. The record suggests that the tech world has been highly receptive to the urgings of activists.

Marcato Capital Management reported a 5.2 percent stake in auto parts maker Lear Corp and the hedge fund said it planned to nominate candidates to the board, sending its shares higher in early trading. […]

Knight Vinke Patience Snaps as Darty Profit to Miss Estimates

Appetizing Changes at Wendy's

Activists keep tech sector on its toes

Icahn's 13% Stake in Herbalife Presents Contrast With Ackman

Peltz Helped Spur Heinz Turnaround Setting Stage for Bid

Lear shares rise as hedge fund seeks board seats

A REVIEW OF FINANCIAL ACTIVISM BY GENEVA PARTNERS February 15th,2013

TO P AC T I V I S T STO R I E S

2 GENEVA PARTNERS – 33 Quai Wilson – 1201 Geneva – Switzerland – Tel. : +41/22 906 95 95 – [email protected] – www.geneva-partners.com

By Sarah Shannon February 15th, 2013 Darty Plc’s largest investor plans to exercise its right to install a representative on the board of France’s biggest electronics retailer, losing patience after the company warned that annual profit is set to miss estimates. Knight Vinke Asset Management LLC, which owns 25 percent of the stock, said it will take the action after Darty’s failure to implement all the strategic changes it recommended in July. “We fail to note any increased sense of urgency in its deliberations, despite a deterioration in the trading environment that was not unexpected,” David Trenchard, vice chairman of Knight Vinke, said today in an e-mailed statement. Knight Vinke has an eight-point plan for Darty which it has discussed with the board. While most of it has been implemented, including the appointment of a new CEO and chairman, a name change, a 20 million-euro ($27 million) cost-savings goal and the appointment of Goldman Sachs Group Inc. as advisers, the activist investor has also asked it to eliminate money-losing businesses, which the board says it plans to do. By taking a board seat, Knight Vinke is aiming to “speed up the process,” said Kate Calvert, a retail analyst at Cantor Fitzgerald. “Sometimes negotiations to get rid of businesses can take longer than expected. We’ve always felt restructuring would create shareholder value, it’s just how quickly.” Knight Vinke is also calling for a share repurchase funded by a partial sale

and leaseback of property, and for all staff to have the opportunity to become shareholders.

Shares Slump

Darty shares fell as much as 16 percent today, the most in more than four years, after the retailer said it will probably miss profit estimates for the year ending April 30. Sales “softened” at the end of the third quarter, while high levels of promotional activity are harming profitability, it said. Adjusted pretax profit is unlikely to reach the lower end of analyst estimates of about 30 million euros, it said. “Overall this is a weak update from Darty given softening market trends at the end of the period,” Georgina Johanan, an analyst at JPMorgan Cazenove who has an underweight recommendation on the stock, said in a report. “Given the magnitude of the potential downgrade, maintenance of a flat full-year dividend is looking increasingly less likely.” The retailer said in December that subject to performance it intended to maintain its dividend for the full year. The total dividend for the previous year was 3.5 cents a share. Darty shares fell as much as 8 pence to 41.75 pence, the biggest intraday drop since October 2008. The stock was down 6 percent at 46.75 pence as of 12 p.m., giving the company a market value of about 246 million pounds.

Unprofitable Businesses

The retailer has vowed to eliminate losses in unprofitable businesses in Spain, the Czech Republic and Slovakia and has sold its Italian unit to

ease the profit decline. Gross margins, a measure of profitability, narrowed by 1.1 percentage point in the third quarter, Darty said today. “We can’t expect any material improvement in the coming year and I think there will continue to be pressures,” acting Chief Executive Officer Dominic Platt said on a conference call. “The consumer is tightening its belt in difficult circumstances and responding perhaps more to promotional activity and I think that will continue in the short term.” The executive said that while November was “tough,” the run-up and through Christmas was good with strong sales of multimedia items such as tablet devices, which “gave us some hope that things were going to be in line with expectations.”

French Economy

“What we’ve seen at the end of that peak season, people are returning perhaps to type, the economy in France isn’t getting any better, and people are responding more to promotions,” he said. Sales at stores open at least a year fell 0.5 percent, following a 3.4 percent decline in the second quarter. Sales in France gained 0.4 percent on the same basis, compared with the prior quarter’s 3.2 percent decline. The company announced this month that Regis Schultz, the former manager of French furniture and electronics retailer BUT SA, is taking over as CEO in May. Source : Bloomberg

Knight Vinke Patience Snaps as Darty Profit to Miss Estimates

http://www.bloomberg.com/news/print/2013-02-15/knight-vinke-patience-snaps-as-darty-profit-to-miss-estimates.html






by David Englander February 9th, 2013 Wendy's is revamping its menu, marketing, and stores, and better results could boost its shares by 40%. A major transformation is under way at Wendy' s, the world's third-largest burger chain. The company struggled for years after the death of its famous founder, Dave Thomas, in 2002, but finally looks to be finding its way. In the past 18 months, Wendy's (ticker: WEN) has gone back to its roots as a high-quality burger maker, introducing new menu items and more focused marketing, and rolling out a dramatic remodeling of its stores. Even a new logo will be unveiled in March. The results are notable, with same-store sales rising for six of the past seven quarters. They were up 4.9% in the past two years. Investors have bid up Wendy's shares by 20% from an October low, but a recent price of $5.03 puts the stock right back where it traded around the start of the year. Don't expect it to stay there, however, as the company begins to churn out appetizing results. Wendy's sports an enterprise value (market value plus net debt) of 8.4 times this year's expected Ebitda, or earnings before interest, taxes, depreciation, and amortization. That compares with EV/Ebitda ratios of 10 or more for fast-food competitors such as McDonald's (MCD) and Yum! Brands (YUM). The discount is likely to narrow as Wendy's transformation unfolds, leading to a 40% jump in the stock price. At 10 times 2014 estimated Ebitda, Wendy's would be worth $7.20. The stock yields 3.2%. Founded 44 years ago by Thomas, Columbus, Ohio-based Wendy's has 6,560 stores, with 78% franchised and the rest company-owned. Almost 90%

of the stores are in the U.S., with the greatest concentrations in Florida, Ohio, Texas, and Georgia. In 2008, Wendy's was acquired for $2.4 billion by Triarc, a holding company controlled by activist investor Nelson Peltz. He merged it with Arby's and renamed it Wendy's/Arby's. Arby's was sold to a private-equity group in 2011, enabling management to focus on Wendy's. The current CEO, Emil Brolick, joined Wendy's in September 2011 and knows it well, having worked closely with Thomas in the 1990s before leaving for Yum! Brands. Brolick turned around Yum's Taco Bell unit, and most recently served as chief operating officer of Yum. Last April he hired Craig Bahner, a Procter & Gamble (PG) veteran, as chief marketing officer. Wendy's earned $64 million, or 16 cents a share, last year, on revenue of $2.5 billion. This year analysts expect earnings to rise to 18 cents, on a 4% rise in sales. Wendy's has made significant changes to its menu and marketing plan. Dubbed "A Cut Above," the latter emphasizes the brand's high-quality burgers and fresh ingredients. Since introducing its Dave's Hot 'N Juicy cheeseburgers in September 2011, the company has followed up with a slew of new premium products, including the Bacon Portabella Melt, Mozzarella Chicken Supreme, Spicy Guacamole Chicken Club, and the Berry Almond Chicken Salad. The new products have met with success, and Wendy's has gained share in large hamburgers and large chicken sandwiches. But some price-conscious customers have taken their business elsewhere. Management recently launched a value-based menu, called "Right Price Right Size," and will ramp up marketing of it this year. Management couldn't be reached for comment. Remodeling Wendy's aging stores is

another part of its strategy. While the company has updated some stores over the years, the latest efforts involve an all-encompassing overhaul aimed at creating a cutting-edge design that rivals competitors'. The remodels include such features as lounge seating, fireplaces, flat-screen TVs, Wi-Fi, and digital menu boards. Wendy's has launched 66 new restaurants, of which 48 have been remodels, and they have met with a positive response from customers. Sales in the newer-looking stores are up 25% since remodeling. The company plans to remodel 200 stores this year, and open 120 new units. In 2015 it is targeting 1,300 new and remodeled outposts. The changes are showing up in profitability and sales. In the December quarter, company-run restaurants enjoyed profit margins of 15.9%, compared with 15% a year ago, and that's despite rising costs for beef and chicken. This year management expects even better performance, with same-store sales rising 2% to 3%. Wendy's has a solid balance sheet, giving it ample flexibility to execute its strategy. Cash stands at $454 million to debt of $1.46 billion, making net debt 29% of total capitalization. The company also generates free cash flow, with $15 million expected in 2013. Through his firm, Trian Fund Management, Peltz and associates control 27% of Wendy's stock. Peltz, who has been a director of the company since 1993, currently serves as chairman, and has long made his view known that Wendy's is worth far more than its stock-market value. Given his involvement, a sale of the business is a strong possibility. One logical buyer: Yum! Brands, which doesn't own a burger business. Source : Barron’s

Appetizing Changes at Wendy's

http://online.barrons.com/article/SB50001424052748704372504578284040427077104.html






By Dan McCrum and Richard Waters February 14th, 2013 The last time David Einhorn, the hedge fund activist behind Greenlight Capital, tried to nudge a large and venerable technology company into action, his pleas fell on deaf ears. In May 2011 he urged Microsoft’s board to sack Steve Ballmer, the company’s longstanding chief executive. “Ballmer does not care what Wall Street thinks and maybe that’s a good thing,” said Mr Einhorn, but “his presence is the biggest overhang for Microsoft stock”. Mr Ballmer remains in place, suggesting that the west coast still thinks investors in general – and the money men of Wall Street in particular – are a necessary evil to be tolerated, not indulged. Now Mr Einhorn is going after Apple, where he is trying to persuade the iPhone maker to set aside more of its $137bn cash pile for investors. The record suggests that the tech world has been highly receptive to the urgings of activists. Since 2007, when the veteran corporate raider Carl Icahn became one of the first to target tech by buying up stock in Motorola Solutions, the struggling mobile phone maker, there have been 70 different activists involved in technology companies, according to Activist Insight. Mr Icahn fought a battle to install a nominee on the board and agitated for a split of the company that finally occurred in 2011. Then, as he pushed for the company to sell its valuable portfolio of patents, Google turned up to buy one of the two new companies, Motorola Mobility, for $12.5bn. Mr Icahn also emerged a hero in

2008, when he forced Larry Ellison, head of software group Oracle, to raise its offer price for BEA Systems. The great majority of activist positions since 2008 – 71 per cent according to Activist Insight – have at least made money. In part, this reflects the rapidly changing nature of the technology business, where companies can rapidly swing in and out of favour, as well as the lack of takeover defences at most tech companies. One verteran banker says “a lot of tech companies grew up without a proper capital structure”, and are now being forced into behaving like more mature companies in other industries. Elliott Management, the $20bn hedge fund run by Paul Singer that is making a $2.3bn offer for Compuware, has acted as a stalking horse to flush out buyers in the past, teaming up with technology-focused private equity groups. For instance, Elliott took part in the buyout of MSC Software by the Symphony Technology Group in 2009 after initially trying to buy the company itself. More conventional agitation tactics have also worked on tech companies. Thomas Ivey, a partner at the law firm Skadden, says that “activists tend to win more than they lose when they run or threaten to run a short slate” – the attempt to elect directors to the board without pushing for control. For instance, Ralph Whitworth’s Relational Investors took a stake in L-3 Communications and agitated for a break-up, leading to a $2bn spin-off. Mr Icahn stepped down from the board of Yahoo in 2009, where he had tried to push the group into the arms of Microsoft, but last year Dan Loeb picked up the baton. The head of the hedge fund Third Point joined the Yahoo board after a letter-writing

campaign that questioned the veracity of the chief executive’s CV, which led to his departure. Even where activists have failed in their explicit goals, the market reaction can help them out. Starboard failed to win a board seat at AOL, but the share price nearly doubled in the process. But some attempts at activism remain very much a work in progress. Mr Whitworth was invited on to the board of Hewlett-Packard too late to affect the hardware company’s purchase of UK software group Autonomy, but well before the consequences of that takeover caused the share price to collapse. Mr Einhorn faces significant opposition to his idea that Apple issue preferred stock as a novel route to access its cash hoard, with both of the main corporate governance advisory firms, ISS and Glass Lewis, in opposition. But it is another sign of tech maturity. The veteran banker says that he talked to Steve Jobs several times about returning cash, but “he believed giving cash back to shareholders was ridiculous.” The banker says that only works so long as the share price goes up. “Founders have a hard time accepting that.” Apple though has a share price in the doldrums and a new chief executive, Tim Cook, who said this week that he is “seriously” considering returning more of Apple’s $137bn cash hoard to investors. Like most activists, Mr Einhorn can still come out ahead – even if he does not get exactly what he wants. Source : The Financial Times

Activists keep tech sector on its toes

http://www.ft.com/intl/cms/s/0/593d9790-74a7-11e2-b323-00144feabdc0.html









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By Duane D. Stanford and Miles Weiss February 15th, 2013 It turns out billionaire investor Carl Icahn really is bullish on Herbalife Ltd., a position in sharp contrast to rival hedge-fund manager Bill Ackman. Icahn, 76, reported a 13 percent stake in Herbalife yesterday and said he would seek talks with the nutritional supplements company, sending the shares up as much as 25 percent in after-hours trading. Strategic alternatives for Herbalife may include taking it private, he said in a filing with the U.S. Securities and Exchange Commission. The disclosure comes almost two months after Ackman said he had sold short 20 million shares of Herbalife and said it was a pyramid scheme. Icahn followed by saying last month that Ackman, 46, acted inappropriately when publicly announcing his bet against Herbalife, reviving a decade-old feud with the founder of Pershing Square Capital Management LP. Ackman’s wager had already pitted him against Daniel Loeb in a rare public dispute among hedge-fund managers over whether Herbalife is a legitimate enterprise or a fraud. “Carl Icahn just delivered Bill Ackman a Valentine he’ll never forget,” hedge fund manager Robert Chapman of Chapman Capital LLC said in an e-mail yesterday. Chapman Capital holds a long position in Herbalife. Herbalife has repeatedly denied Ackman’s accusation that it is a pyramid scheme.

Legitimate Business Icahn said in the filing that Herbalife “has a legitimate business model, with favorable long-term opportunities for growth” and that the shares are undervalued. Last month, in a Jan. 24 interview with Trish Regan on Bloomberg Television, Icahn said Ackman’s

assertion that he was shining a spotlight on Herbalife, the marketer of weight-loss and nutritional supplements, was “disingenuous.” Icahn, who has spent more than seven years wrangling with Ackman in court over $4.5 million, said in the interview he doesn’t “like” or “respect” Ackman and questioned his motives for publicizing his trade. “You don’t go out and get a room full of people to badmouth the company,” Icahn said in the interview. “If you want to be in that business, why don’t you join the SEC,” Icahn added, referring to the U.S. Securities and Exchange Commission. Ackman didn’t respond to telephone and e-mail requests for comment. On Feb. 7 he renewed his claim that Herbalife is a pyramid scheme in a detailed 40-page treatise questioning everything from the company’s sales accounting to claims that it makes millionaires.

Share Purchases U.S. regulators at the Federal Trade Commission and the SEC have declined to say whether they are investigating Herbalife or intend to do so. Icahn didn’t respond to a telephone request for comment. He purchased about 1.6 million Herbalife shares between Dec. 20 and Dec. 24, according to the filing. That was after Ackman disclosed on Dec. 19 his bet against the nutritional supplements company. Icahn restarted his share purchases in Herbalife on Jan. 28, after the Bloomberg interview, and after he said in a statement on Jan. 25 that Ackman was taking “inordinate risks” regarding his investment approach to Herbalife. The stock may become the “mother of all short squeezes,” he said in the statement. On Jan. 28 and Jan. 29, Icahn acquired another 3.6 million shares and options, primarily through over-the-

counter option contracts, the filing shows. He purchased the remainder of his stake through yesterday, according to the document. Icahn’s stake is comprised of 2.47 million shares and options on another 11.54 million shares.

Raising Questions Herbalife surged as much as 25 percent to $47.77 in extended trading yesterday, after gaining 5.1 percent to $38.27 at the close in New York. The stock has dropped 10 percent through yesterday since Ackman disclosed his short position. Ackman joined Greenlight Capital Re Ltd. Chairman David Einhorn last year in raising questions about Herbalife. On Dec. 20, Ackman appeared at a Sohn Investment Conference in New York and accused Herbalife of using inflated pricing, misleading sales information and a complicated incentive structure to hide a pyramid scheme. Herbalife executives and consultants hit back on Jan. 10, arguing that all of Herbalife’s payments to distributors are tied to product sales and the company’s accounting practices are legal. Ackman’s wager had already put him at odds with Loeb, founder of Third Point LLC. Three weeks after Ackman disclosed his bet against Herbalife, Third Point reported in a regulatory filing that it had bought 8.9 million of the company’s shares. In taking an 8.2 percent stake in Herbalife, Loeb joined other firms in rejecting Ackman’s theory. “It’s no secret I don’t like Ackman,” Icahn said in the interview last month. “But that doesn’t mean I am going to go in and buy stock in a company necessarily just to get him.” Source : Bloomberg


Icahn's 13% Stake in Herbalife Presents Contrast With Ackman


Peltz Helped Spur Heinz Turnaround Setting Stage for Bid

By Miles Weiss February 14, 2013 Nelson Peltz may warrant thanks from H.J. Heinz Co. stakeholders after Berkshire Hathaway Inc. and 3G Capital’s offer to buy the ketchup maker for about $23 billion, even though the billionaire hedge-fund manager won’t share much in the reward. Trian Fund Management LP, the New York-based money manager run by Peltz and his partners Peter May and Ed Garden, disclosed taking a 5.4 percent stake in Heinz in April 2006 and then waged a six-month proxy fight to win five seats on the food company’s board. Heinz management sought to keep Trian’s nominees off the board and resisted Peltz’s turnaround plan that called on the company to cut costs and sell assets. William Johnson, Heinz’s chief executive officer, eventually executed many of Peltz’s suggestions, according to John Sini, a portfolio manager at Douglas C. Lane & Associates Inc. in New York. While Trian will miss out on the 20 percent premium that Berkshire and 3G are paying for Heinz shares after selling off most of its stake, it was Peltz and his partners who got the company to focus on shareholder returns as well as its top brands, Sini said in a telephone interview. “Management did a great job executing the turnaround, but Peltz was the catalyst for a lot of the change,” said Sini, whose firm oversees about $2.5 billion, primarily for wealthy individuals, and held Heinz shares at the time Trian took its stake. “We are looking at this price now and saying, ‘Thank you, thank you, thank you.’”

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Hathaway and Jorge Paulo Lemann’s 3G Capital agreed to buy the Pittsburgh-based company for $72.50 a share, Heinz said today. The transaction is valued at about $28 billion, including the assumption of debt. Heinz shares jumped almost 20 percent from their closing price yesterday of $60.48 each. Anne Tarbell, Trian’s spokeswoman, didn’t immediately return a call requesting comment. Trian acquired 18.2 million Heinz shares for $673 million, the equivalent of $36.89 a share, according to a filing with the U.S. Securities and Exchange Commission in April 2006. That included 12.86 million shares held by the Trian funds and 5.38 million shares purchased on behalf of funds run by Sandell Asset Management Corp., also based in New York.

‘Sharper’ Focus

Peltz and his partners said in the 2006 filing they “see opportunities to create value” at Heinz through “sharper strategic focus, better operational execution and more efficient uses of capital.” Trian said it was notified on April 6 that Heinz had rejected a request for board representation. The next month, Trian issued a 21-page report called “Results Speak Louder than Words: A Plan to Enhance Value at Heinz” that said the company’s stock returns have “almost uniformly underperformed” the broader market and other consumer packaged-food companies since its management team took over in April 1998. Heinz shares had fallen almost 11 percent in the previous eight years, Trian said, while an index of large- capitalization food companies such as Campbell Soup Co. and Hershey Co. had increased more than 26 percent. Trian, citing “ill-fated” divestitures and acquisitions, “failed” corporate

restructurings and “poor capital- allocation decisions,” called on Heinz to take immediate measures to reduce annual costs by at least $575 million. It also urged Heinz to increase share repurchases, target higher dividend payments and redirect payments and allowances provided to retailers into consumer advertising and new product innovation.

Company’s Plan

Heinz in June 2006 said it would reduce spending by $355 million, raise its dividend, and buy back $1 billion of shares over the next two years. The company simultaneously sought to thwart Peltz’s proxy fight to gain board seats, telling investors that the billionaire had previously been named in shareholder lawsuits alleging self-dealing. Peltz and fellow dissident investor Michael Weinstein, the former chief of Snapple Beverage Corp., gained board seats that September, though the remainder of Trian’s slate of candidates were denied directorships. Heinz shares have since provided an average annual return of about 9.9 percent through January, compared with 4 percent for the Standard & Poor’s 500 Index. “The kudos go to Bill Johnson, go to the management team, go to the board in general,” Peltz said in an interview today on CNBC. Johnson and other Heinz managers “executed terrifically” on the strategic plan he put forward in 2006, and “the result is a $72.50 all-cash offer.”

Stable Investment

Peltz got the Heinz board to start thinking more about shareholder value “and for that we have to thank him,” said Michael Crofton, the president and CEO of Philadelphia Trust Co., which has been holding Heinz shares since at least 2008. …

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At the same time, much of the company’s subsequent success stemmed from the popularity of relatively stable food companies with large dividend yields during a period of high market volatility and low interest rates. “In the risk-off trade that was on until a year-and-a-half ago,” food companies “were great places to hide,” Crofton said. Heinz’s management, he said, also did a good job of focusing “on their core brands and building brand identity.” The Trian funds have sold or distributed most of their Heinz stake, leaving the firm with 106,500 shares as of Sept. 30, according to

data compiled by Bloomberg.

Client Distributions

Peltz said today on CNBC that Trian had “probably” sold its Heinz shares “in the high 50s,” while regulatory filings show the prices were lower. Trian distributed about 3 million Heinz shares on Feb. 29, 2008, to clients who had recently gained the right to withdraw their capital, according to a regulatory filing. Heinz shares traded at about $44 each at the time of the distribution, which left Trian holding about 10 million shares. The firm made several subsequent distributions to other clients,

according to filings, and, between January 2009 and last July, sold some 7.87 million shares for a total of about $356.7 million. That works out to an average of $45.33 a share. “Peltz was out at $50,” said James Cullen, the CEO of Schafer Cullen Capital Management, a $14-billion investment adviser based in New York that holds Heinz shares. “A lot of the activists tend to be more short-term oriented.” Source : Bloomberg


Lear shares rise as hedge fund seeks board seats

By Bijoy Anandoth Koyitty February 8th, 2013 Marcato Capital Management reported a 5.2 percent stake in auto parts maker Lear Corp and the hedge fund said it planned to nominate candidates to the board, sending its shares higher in early trading. Shares of Lear, which in 2007 rejected a $3 billion buyout attempt by an affiliate of billionaire investor Carl Icahn, rose as much as 8 percent on the New York Stock Exchange on Friday morning. Marcato - run by Mick McGuire, one of activist investor William Ackman's former partners - becomes the third-largest shareholder in the company with the investment, behind BlackRock Inc and Robeco Investment Management.

BlackRock holds 7.45 percent of Lear and Robeco Investment Management 5.3 percent, according a regulatory filing. Marcato said it recently discussed Lear's capital allocation practices and actions, including share repurchases, with the company's senior management. Lear said on Thursday it would accelerate its previously authorized share repurchases and increase its dividend. "We believe that the market has perceived management to have been lethargic in its actual repurchase of shares," Guggenheim Securities analyst Matthew Stover wrote in a note to clients. Marcato, whose top holdings include Trinity Place Holdings , GenCorp Inc, Cincinnati Bell Inc and DineEquity Inc,

said it would still engage in discussions with the management regarding the nomination of directors. The fund said that the 5.2 percent stake translates to 5,034,986 shares, which includes options to purchase shares that are exercisable within the next 60 days. Last week Lear, which has a market value of about $4.92 billion, reported a fourth-quarter profit that beat analysts' expectations. The company's shares, which have gained 19 percent in value in the last three months, were up 4 percent at $52.92 on the New York Stock Exchange on Friday morning. Source : Reuters

http://www.bloomberg.com/news/print/2013-02-14/peltz-helped-spur-heinz-turnaround-setting-stage-for-bid.html





http://www.reuters.com/article/2013/02/08/lear-marcatocapital-idUSL4N0B86OC20130208?type=companyNews






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