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Procter & Gamble (PG) starts to dig in for a battle against activist investor Bill Ackman....

Procter & Gamble (PG) starts to dig in for a battle against activist investor Bill Ackman. According to reports, the company may hire an external PR firm and outside advisers to help it counter demands that it fire executives or spin off assets.
Comments (10)
  • PalmDesertRat
    , contributor
    Comments (2587) | Send Message
     
    Sounds like PG has already decided not to fire executives or spin off assets.

     

    How do I give my proxy to Ackman?
    16 Jul 2012, 08:14 AM Reply Like
  • whiff
    , contributor
    Comments (641) | Send Message
     
    I hope they don't spend a pile of money to buy an opinion that rubber stamps the status quo ... they are way too complacent.
    16 Jul 2012, 08:30 AM Reply Like
  • Buddy C
    , contributor
    Comment (1) | Send Message
     
    I am a retired federal employee, and hold a position in P&G.

     

    P&G stock has been flat for quite some time, I think the board should welcome with open arms some outside thinking who has made a size-able investment in the company.
    16 Jul 2012, 08:40 AM Reply Like
  • Momintn
    , contributor
    Comments (3818) | Send Message
     
    Good luck to P&G if they think any PR firm can go up against the hedgefund-run CNBC media. I don't know any PR firm who has a tv channel talking non-stop while the market is open and then the US government bashing on every night. Maybe they could buy a cheap tv channel somewhere.
    16 Jul 2012, 09:27 AM Reply Like
  • Deja Vu
    , contributor
    Comments (1153) | Send Message
     
    P&G needs a good dose of people who are NOT part of the "P&G culture".
    16 Jul 2012, 10:39 AM Reply Like
  • petethedog
    , contributor
    Comments (5) | Send Message
     
    So how much money do they plan to spend on this? The management is cutting people and cutting budgets, asking the survivors to do even more with less yet they will consider spending money on a PR firm?? Rather than face this head on and face the fact that they must bring change to the company - from how they prioritize initiatives, how they market the brands, how they conduct internal business, how they reward and recognize true innovation (putting a grip on a razor blade handle is NOT innovation) - they go into defensive mode. As a very recent retiree I am deeply disappointed in the last 2 CEO's and the board: promote managers that think the same way (hence making the same poor decisions and promoting the same culture) and driving away managers that could/would make changes.
    16 Jul 2012, 01:06 PM Reply Like
  • drbrucer
    , contributor
    Comment (1) | Send Message
     
    I worked for Procter & Gamble for 21 years in management postions of increasing responsibility....I retired from Frito-Lay in Texas a VP. Buy PG at 65 and a dividend yield of 3.4%. If PG stays at 65 for 5 years, dividend increases will raise your return to 6.8%. Stay at 65 for ten years, and your return on your initial investment will be 13.6%, assuming dividend increases in the future match those of the past. This with a flat stock price for 10 years, somewhat unlikely. Net, I will match my return on PG against any other investment!

     

    Bruce Paton, PhD
    16 Jul 2012, 03:18 PM Reply Like
  • PalmDesertRat
    , contributor
    Comments (2587) | Send Message
     
    If PG stays at 65 for five years it is unlikely the dividend will be raised as you say. The stagnant stock price would indicate a continuation of stagnant results.

     

    Also,holding at 65 indicates a loss in real terms and relative to the rest of the market.
    16 Jul 2012, 03:36 PM Reply Like
  • huffboy
    , contributor
    Comments (70) | Send Message
     
    hiring a PR firm and advisors to fight your shareholders? dumb. Exactly why the CEO and Board should be booted out... they don't realize they work for the shareholders.
    17 Jul 2012, 05:22 AM Reply Like
  • whiff
    , contributor
    Comments (641) | Send Message
     
    drbrucer ---> "assuming dividend increases in the future match those of the past" - a HUGE assumption with the present management - there has been a culture change at PG that you should be attuned to - something or someone needs to shake this company up - they all play defense, and the company should be asserting itself mightily in the many markets it dominates
    18 Jul 2012, 06:08 PM Reply Like
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