Originally Posted by
Hacker15e
There are 14 personnel on the BoD.
DE Shaw influenced two of those appointments and have an agreement which will allow them to name a third at some point.
It is perplexing to me how 3 members of a board of 14, which represent the interests of Shaw's 1% share of the company, could have "de facto control".
FedEx raises dividend, adds directors in agreement with D.E. Shaw
I think it is just as important to recognize that McKinsey and Company are also in Fred's House and seem to be advising Raj and the gang to slash/and/burn to increase the bottom line.
Certainly the combination of Shaw influencing Board decisions and McKinsey consulting on how to increase shareholder benefit, with the addition of Mr JD in the C Suite team, is going to equal some strange times ahead for organized and nonunionized labor at Purple.
my family has worked for major consulting firms and this is a standard practice for most corporations to get an outside perspective and prevent themselves from turning into Sears. It is in all of ours best interest to have a well run financial house. It is misplaced and paranoid to believe that pilot group "sacrifices" will be the major source of increases to company margins. These consulting companies are likely more worried about truck driver unionization after completion of DRIVE, than 5800 pilots who will likely work till 67 and die by 70.
The market will determine our worth... if they don't pay market, they won't have an airline and you will have your vested benefit and fly somewhere else... I don't think that is likely.