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The Portnoys do it again. After Hospitality Properties Trust (HPT) director Bill Lamkin fails to...

The Portnoys do it again. After Hospitality Properties Trust (HPT) director Bill Lamkin fails to win enough votes to stay on and resigns, the board immediately reappoints him, calling his defeat a result of CalPERS' activism. HPT is managed by Portnoy-controlled Reit Management & Research, the operator of CommonWealth REIT (CWH). Yesterday: Tragicomedy at CommonWealth.
Comments (11)
  • Chris DeMuth Jr.
    , contributor
    Comments (4059) | Send Message
     
    Their elections are somewhat Soviet: you get a choice, but that choice is invalid if it is not the officially sanctioned choice. So there is only one choice you are allowed to make. CWH management should be CXW tenants.
    16 May 2013, 12:22 PM Reply Like
  • Rope a Dope
    , contributor
    Comments (538) | Send Message
     
    I have not followed this HPT issue that much but have seen other issues where CalPERS seems to be more interested in making political statements rather than earning money. If CalPERS was in fact pushing for his replacement, I would not have any confidence in their ability to decide what is in the best financial interests of HPT.
    16 May 2013, 12:48 PM Reply Like
  • gsterling
    , contributor
    Comments (553) | Send Message
     
    Unfortunately plenty of companies choose to ignore the stockholders. They seem to forget who the real owners of the company are.
    16 May 2013, 12:50 PM Reply Like
  • WmHilger1
    , contributor
    Comments (1048) | Send Message
     
    Like playing poker with a stacked deck! Heads they win, tails the stockholders lose!

     

    I used to own some HPT but sold it years ago. This kind of shenanigans reaffirms my sell decision.
    16 May 2013, 01:01 PM Reply Like
  • Garyaf9z
    , contributor
    Comment (1) | Send Message
     
    I saw the writing on the wall months ago, and have no positions in CWH at the moment.
    16 May 2013, 05:35 PM Reply Like
  • toomuchgas
    , contributor
    Comments (545) | Send Message
     
    You can always sell the stock and go with one that is more shareholder friendly.
    16 May 2013, 09:58 PM Reply Like
  • bforsberg
    , contributor
    Comments (8) | Send Message
     
    It is important to note that Lamkin is an Independent Trustee on the HPT board. Anyone who knows HPT knows it is run by the management firm RMR. Independent Trustees are supposed to guarantee that decisions are not in RMR's interest but the shareholders. This is what us investors have been trying to fight for years and we lost again. By the way I voted against Lamkin and have nothing to do with CalPERs.
    17 May 2013, 01:27 AM Reply Like
  • Sunnysmarket
    , contributor
    Comments (2) | Send Message
     
    Guess I should be feeling guilty from all of the dirty money I've made with this horrible company.

     

    Still, it's not a problem to tighten up my stop (again).

     

    Sunny
    18 May 2013, 10:06 AM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (4059) | Send Message
     
    Ha. I wouldn't feel guilty about making money on this investment (or any investment).
    18 May 2013, 10:19 AM Reply Like
  • jester1234
    , contributor
    Comments (11) | Send Message
     
    Chris do you own this stock?
    19 May 2013, 06:07 AM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (4059) | Send Message
     
    Since the recent secondary offering. I think that it could double from here with owner-oriented management. It is probably not worth too much less even with the current management, which is close to the downside scenario for management skill and alignment. As of today, I own somewhat more, as I had written puts in order to build up a bigger position. I like and trust the activists involved in this one, too. The stock could rise above $30 if they win, but we would not sell a share if it does. They could manage this for value and could do a lot, even after the obvious improvements are made. The managers' only hope is in delaying tactics, but eventually the one thing that everyone can agree on is that if the owners' get our way, management will be history.
    19 May 2013, 08:29 AM Reply Like
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