Crown Crafts addresses Wynnefield proposals
Home & Textiles Today Staff -- Home Textiles Today, August 1, 2007
Gonzales, La. – In a letter from chairman, president and ceo E. Randall Chestnut posted after the close of business yesterday, infant and juvenile products manufacturer Crown Crafts Inc. offered its riposte to a set of proposals issued Monday by insurgent shareholder group Wynnefield Partners Small Cap Value.
Saying that the board of directors had unanimously turned down the Wynnefield proposals, Chestnut’s letter did engage some of the key points, and said the board “will agree to the following if you immediately drop your opposition to the re-election of William T. Deyo, Jr. and Steven E. Fox as directors” of Crown Crafts.
The counter-proposal from Crown Crafts offers to:
Add an eighth board member who is not affiliated with either the company or Wynnefield;
Form a nominating and governance committee and elect the new director to it;
Review the company’s non-employee director fee structure.