JCPenney CFO: Steve Roth Dumped 10 Million Shares Because He Concluded It 'Just Wasn't Worth The Effort'
JCPenney CFO Ken Hannah spoke at Bank of America's 2013 Consumer & Retail Conference today and he revealed what happened in the days before and after Roth made the move.
The company had a board meeting in the days leading up to its Q4 earnings release on February 27.
Hannah didn't see any change in Roth's demeanor during that meeting.
"Steve was as supportive and as constructive in that board meeting than he has ever been," said Hannah. "I can tell you that there was not one indication coming out of that meeting that he was going to do anything with his position."
"There was not one discussion following our board meeting that there had been anything that changed with Steve," said Hannah, who noted that he's not speaking for Roth. "He did what he felt he needed to do."
Hannah said that Roth likely "concluded that it just wasn't worth the effort."
Vornado's CEO stepped down later that week, then Roth gave the go-ahead to try to dump the shares that weekend.
"His investment in JCP is less than 1 percent of a $25 billion enterprise value. So my guess is with him taking over the CEO responsibility, he didn't want the distraction," said Hannah, who noted that it took up "a third of the time" on Roth's most recent earnings call.
Roth was seen as a big ally of activist investor Bill Ackman at the retailer. They were both elected to the board at the same time.
Vornado has 13.4 million shares left. or a 6.11 percent stake, according to data compiled by Bloomberg.
- A couple accidentally shipped their cat in an Amazon return package. It arrived safely 6 days later, hundreds of miles away.
- A centenarian who starts her day with gentle exercise and loves walks shares 5 longevity tips, including staying single
- 2 states where home prices are falling because there are too many houses and not enough buyers
- Election Commission issues notification for sixth phase of Lok Sabha polls
- 6 Coffee recipes you should try this summer
- "To sit and talk in the box...!" Kohli's message to critics as RCB wrecks GT in IPL Match 45
- 7 Nutritious and flavourful tiffin ideas to pack for school
- India's e-commerce market set to skyrocket as the country's digital economy surges to USD 1 Trillion by 2030
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market