A group backed by William Ackman's Pershing Square Capital said Friday two members of
board, Solomon Trujillo and Anne Mulcahy, should resign because their employment status has changed.
Citing Target's governance guidelines that call for directors to resign from the board "whose affiliation or position of principal employment changes substantially after election to the board," the Nominees for Shareholder Choice says Trujillo, who was pushed out as CEO of Australia's
, and Mulcahy, who resigned as CEO of
on Thursday, "are required to promptly submit their resignations."
Trujillo is running for re-election to Target's board.
Target is facing pressure from activist shareholder Ackman to make more dramatic changes. Ackman, who leads hedge fund Pershing Square Capital, which owns 7.8% of Target's outstanding shares, has been fighting to change Target's board -- a move he believes will provide fresh perspectives and make the discounter more profitable.
Target on Wednesday said first-quarter earnings fell 13% because of sluggish consumer spending. The results, however, beat analysts' estimates because of cost-control measures.
The retailer holds its annual meeting next week in which shareholders will elect directors.
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