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

MADISON - Right now you need a permit to carry a concealed weapon in Wisconsin.

That could be changing.

+ Read More

MADISON - American Indian leaders in Wisconsin will give their annual State of the Tribes address to the Legislature and constitutional officers on April 4th.

Assembly Speaker Robin Vos said in a news release Tuesday that Stockbridge-Munsee tribe President Shannon Holsey will give the speech this year.

+ Read More

Play Video

TOMAHAWK - Tomahawk High School sporting events got an attendance boost this winter. At the same time, local charities benefited from the community's generosity.

The school's Varsity Club sponsored six nights of special events, one for each winter sport. The Varsity Club gave out T-shirts printed with team rosters. Meanwhile, fans brought donations for local charities.

"Each kid would walk in and they'd put on their T-shirt," said Varsity Club member Jackie Elliott. "When we got our student section going, they were all together, and you just had this block of white. It was awesome."

+ Read More

WESTON - Dozens of people planned to show up to Sunday's vigil. Community members brought balloons, ribbons and, of course, candles.

+ Read More

Play Video

VILAS COUNTY - For more than three years, Vilas County tried to create a campground and trail system in the eastern side of the county. 

Thanks to land easements and secured funding, that plan is now becoming a reality.

The 10-mile trail will follow an old railroad corridor between Eagle River and Conover.

The trail will connect the new campground on Torch Lake to the two communities.

+ Read More

Play Video

WAUSAU - A contractor fell from a ladder and died at the construction site of the new Hilton Garden Inn in Wausau last week. Now, the Occupational Safety and Health Administration is investigating the death.

Marathon County Sheriff's Captain Dale Wisnewski said Shane J. Cash, 45, of Wisconsin Rapids was drilling holes in the ceiling on Thursday when he fell from his ladder and died on scene.

+ Read More

Play Video

LAONA - Workers will need to start from scratch to rebuild the Silver Lake Inn supper club in Laona.

Only rubble and a stubborn brick chimney remain there right now. Fire ripped through the building in late November. Now, those charred remains have been torn down.

Owner Karen Davis said they plan to rebuild. She said her goal is to have it open again by the end of the year.

Laona Fire Chief Dave Rosio said he has yet to receive a report from the state fire marshal, who investigated the cause of the fire.


+ Read More
+ More General News
Search: 





Click Here