The Wynnefield Group, the largest stockholder in Crown Crafts Inc. (NASDAQ: CRWS), today urged stockholders to remain focused on the real issues in the campaign to create value for all stockholders. Wynnefield, a long-term investor in Crown Crafts, has nominated two highly qualified independent directors for election at the August 10, 2010 Annual Meeting of Stockholders.
The key question for stockholders is, “Are you really happy with a stock price of $4.00 per share or do you think there is more stockholder value that can be realized?” A stockholder who had invested in December 2006 at $4.00 would still be stuck at $4.00. Stockholders deserve much better.
Our Nominees’ Experience and Commitment to Stockholder Value
Wynnefield and Wynnefield’s nominees have a history of realizing value for all stockholders. Wynnefield’s director-nominees, Mel Keating and Jon Biro, have created value in every case and are committed to working constructively with the rest of the Board to increase value for all stockholders.
Mr. Keating has many years of wide-ranging experience serving on the boards of public companies – many of which faced challenges.
- Mr. Keating joined the White Electronic Designs Corp. Board in February 2009 when the stock price was $4.00 and had a market cap of $84 million.
- White Electronic Designs Corp. honored the results of a negotiated settlement, unlike Crown Crafts, and formed a real strategic review committee on which Mr. Keating served.
- After all strategic alternatives were analyzed, under Mr. Keating’s leadership, that company sold at a 75% premium to the pre-transaction price.
Mr. Biro is the CFO of a large public company and a certified public accountant with in-depth business experience in finance and has served as a director of public companies in a range of industries.
Recent News About Crown Crafts’ Director-Nominee
- Mr. Biro joined the Aspect Medical Board in April of 2009 when the stock price was $4.29.
- Mr. Biro, along with Mr. Keating, reported to the Board at the behest of that company’s largest stockholder.
- That company was sold at $12 per share in September of 2009, an increase of 179% in five months.
Crown Crafts’ management-endorsed Board majority is apparently feeling the pressure of Wynnefield’s campaign. The Company’s Board and its Chairman/CEO Randall Chestnut have a long history of negative campaigning. It has used personal attacks against the people of Wynnefield in the past. Wynnefield reluctantly needs to respond with facts about the recent Crown Crafts’ director-nominee.