This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

JANA Partners Releases New Presentation To Agrium Shareholders





NEW YORK, Jan. 23, 2013 /PRNewswire/ -- JANA Partners LLC today released a new presentation for shareholders and other new materials in conjunction with meetings JANA and its board nominees are holding this week with shareholders of Agrium Inc. ("Agrium") (TSX / NYSE: AGU) across Canada.  JANA, which is Agrium's largest shareholder, has proposed a slate of five new directors for election to Agrium's Board:  former United Agri Products (UAP) CFO and COO David Bullock, former Brenntag CEO and current board member Stephen Clark, former MSC Industrial CEO and current Chairman Mitchell Jacobson, former Canadian Minister of Agriculture The Honourable Lyle Vanclief, and JANA Managing Partner Barry Rosenstein. 

JANA believes these nominees can address crucial deficiencies in the current board, including a lack of legitimate distribution experience and a failure to pursue obvious value creation measures for shareholders until pressed to do so, which have prevented Agrium from realizing its full value creation potential.  JANA's new presentation and other updated information are available at www.JANAAguAnalysis.com.

"Agrium's board has been living in an alternate universe where shareholders have no desire to explore the many ways we've identified to unlock value," said Rosenstein.  "All along we have been speaking to shareholders and seeing a much different picture, with just about every shareholder we speak to wanting to see a serious discussion of these issues and a large and growing number who support enhancing the board so Agrium can reach its full potential."

While Agrium has moved to address certain issues first raised privately by JANA – including boosting its capital return to shareholders and beginning to improve disclosure relating to its retail business ("Retail") – JANA's new presentation zeroes in on the remaining issues previously identified by JANA which the board has yet to fully address, and which JANA has broken down into "5 C's":

  • Costs:   Managing costs at Retail and corporate overhead.
  • Controls:   Aligning performance targets and incentives with shareholder value creation, and providing sufficient disclosure for shareholders to assess performance.
  • Capital Allocation:   Committing to a long-term shareholder-friendly capital return plan, improving execution of M&A and investments, and reducing Retail working capital.
  • Conglomerate Structure:   Conducting a fair and unbiased review of Agrium's structure with the sole purpose of maximizing shareholder value.
  • Corporate Governance:   Adding an enhanced shareholder perspective and experienced oversight to the board, which has had serious corporate governance lapses following JANA's engagement.

Each of JANA's candidates has invested personally in Agrium and will also be incentivized based upon the performance of Agrium shares, and each meets the independence requirements of the Canadian Business Corporation Act, the NYSE and Agrium's governance guidelines.  JANA has stated that it will work with the current Board to ensure that any changes in composition will not raise regulatory issues for or burdens on Agrium.

1 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,698.18 -77.94 -0.44%
S&P 500 2,059.69 -8.20 -0.40%
NASDAQ 4,880.2280 -20.6570 -0.42%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs