Loading
Search
NEWS STORIES

Wausau Paper's largest shareholder calls for management overhaul and move, or saleSubmitted: 01/19/2014
Story By Lauren Stephenson


MOSINEE - Wausau Paper's largest shareholder, Starboard Value LP, wants the company to replace management or consider selling the company.

Starboard owns more than 15% of Wausau Paper's stock.

It publicly released a 10-page letter outlining its suggestions to board members Friday.

The letter criticizes current management for "ignoring shareholder concerns" and the company's "prolonged underperformance under the direction of the current management team and Board."

In the letter, Starboard's CEO Jeffrey Smith says Wausau Paper's board "has been more intent on lining the pockets of management."

He says the board spent $250 million to restructure its printing and writing business.

Starboard suggested they sell it.

Wausau Paper did finally sell the two specialty printing mills in Rhinelander and Mosinee to KPS Capital Partners LP last summer.

But Starboard CEO Jeffrey Smith said they should have sold a year earlier when the business was worth more.

Starboard claims management refuses to move headquarters from Mosinee even though "Wausau's Tissue business, which now represents 100% of revenue, operates entirely out of Kentucky and Ohio."

Wausau Paper just invested $220 million into its facility in Kentucky.

Starboard argues the management should move there to oversee the operations.

The letter also nominates three people directors to the Wausau Paper board.

One of those nominees is Starboard CEO Jeffrey Smith.

Text Size: + Increase | Decrease -
| Print Story | Email Story
Sponsored in part by HodagSports.com





 IN OTHER NEWS

Play Video

EAGLE RIVER - In the next couple weeks, Gov. Scott Walker will release Wisconsin's budget for the next two years. Rep. Rob Swearingen (R-Rhinelander) and Sen. Tom Tiffany (R-Hazelhurst) thought it would be a perfect time to host listening sessions in a number of Northwoods communities. 

One of the sessions was at the Eagle River library Monday. Some people brought up the poor road conditions in the area. Tiffany says transportation funding is one of the items he will be looking at closely in the upcoming budget. 

+ Read More

Play Video

LAC DU FLAMBEAU - Neal McCoy doesn't take days off.  The 58-year-old country music star is in the middle of a months-long multi-state tour, which is something he's done for nearly 30 years.

But it's McCoy's daily tradition, which started one year ago, that's rejuvenated the patriotic front man more than any concert does.

"I haven't slept in for quite a while now," McCoy said with a laugh.  "I know, I'm leading this crusade, if you will."

+ Read More

Play Video

RHINELANDER - The YMCA of the Northwoods teamed up with LIVESTRONG to create a fitness program that supports
cancer survivors and patients. The 12-week program focuses on rebuilding strength and stamina.

YMCA wellness director Stephanie Ruckeim says it offers so much more than just physical strength.

"It's about trying to increase that muscle mass, increase their flexibility, their endurance and also work
on their self-esteem and self-confidence," says Ruckeim.

+ Read More

Play Video

MEDFORD - Mikayla Kelz grew up around politics. 

"When I was little my dad was actually a politician--just a local one, a district attorney," said Kelz. 

Seeing her dad work got Kelz interested in politics too.

"I remember going on the campaign trail with him and that just kind of sparked my interest," said Kelz.

+ Read More

Play Video

TOMAHAWK - Sunday's Packers loss hit fans hard. But it also affected stores that support those dedicated fans.

+ Read More

Play Video

ANTIGO - The people of Antigo officially said goodbye to Christmas on Monday night.

The Optimist Club hosted the annual Christmas tree burn outside the high school. 

Last week, city workers collected and piled up hundreds of residents' Christmas trees.

Organizers say they believe the event has been going on for 30 or more years, and this year's weather was one for the books.

+ Read More

WITTENBERG - An expansion of the Ho-Chunk casino in northern Wisconsin could draw $37 million a year away from other tribes that own casinos in Wisconsin.

The Stockbridge-Munsee Band commissioned the economic impact study.

+ Read More
+ More General News
Search: 





Click Here