FirstGroup Plc AGM – 16 July 2014
Do Not Pay for Poor Performance
Sandell Asset Management yesterday wrote to FirstGroup Plc to voice its concerns over ever increasing levels of pay at the company. Despite years of underperformance, the CEO’s total remuneration has increased over 200% since 2010.
A lack of sector expertise on FirstGroup’s Board relating to the First Student and First Transit businesses has destroyed value in the company. Sandell has already proposed one director with past experience of the US businesses, but FirstGroup insist that the CEO must vet the candidate before he can be put to the nomination committee – this is contrary to their own nomination policy.
The letter to the Chairman is attached, and for further reading, please see Sandell’s White Paper on FirstGroup Plc from January 2014
http://www.sandellmgmt.com/documents/FG/sandell/activism/157103_FirstGroup_White_Paper_Jan2014.pdf
For further information, or to schedule a meeting or conference call with Sandell, please contact their information agent, Georgeson.
Best regards,
Cas Sydorowitz
Georgeson
CEO, Corporate Advisory
Email: cas.sydorowitz@georgeson.com
T +44 (0)870-703-0302
M +44 (0)7810-750-442
Moor House, 120 London Wall, 3rd floor
London EC42Y 5ET, United Kingdom