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

RHINELANDER - Mr. and Mrs. Claus took a trip to the Home Depot in Rhinelander Saturday. They may have not taken their reindeer to get here, but their grand entrance still didn't disappoint. They, along with a few elves showed up on a firetruck.

+ Read More

Play Video

WAUSAU - Families often come together to unwrap presents and bond during Christmas. But one family took the Christmas spirit a step further by teaching other families about the roots of some famous Christmas traditions. 

"It's great that I can help them experience something different for Christmas and see that kind of glow in their eyes," said Curator of Events Sara Goetsch.

+ Read More

Play Video

TOWN OF CRESCENT - The ongoing debate of forming a lake district around Squash Lake near Rhinelander continues.

+ Read More

Play Video

MERCER - The annual Mercer's Senior Christmas Party brought nearly 40 people together Sunday to kick off the holiday season.

This time every year, the Mercer Lioness Club puts together the Christmas party. The Lioness Club donates food and other baked goods.

+ Read More

Play Video

RHINELANDER - Mr. and Mrs. Claus joined Rhinelander families on Saturday for the annual Christmas Parade and Tree Lighting.

The theme of this year's parade was "Rhinelander: Home for the Holidays." 

Families enjoyed watching the parade of floats and taking pictures with Mr. and Mrs. Claus.



+ Read More

HARRISBURG, PA. - The Green Party is dropping its court case seeking a statewide recount of Pennsylvania's Nov. 8 presidential election. It had wanted to explore whether voting machines and systems had been hacked and the election result manipulated.

+ Read More

MILWAUKEE - Two women are charged in the death of a 7-year-old boy who was starved, burned with cigarettes, beaten, and whipped.

+ Read More
+ More General News
Search: 





Click Here