Clinton Group, Inc. announced today that it has sent a letter to the board of directors ofStillwater Mining Company (NYSE: SWC) demanding changes to the strategy,operations and management of the Company. Clinton Group owns a significantstake in the Company.
The letter critiques the current management team and Board for a series ofstrategic missteps and bad acquisitions; operating with a bloated coststructure and marketing budget; and for issuing a high cost-of-capitalconvertible bond in October. The letter goes on to demand the Board take sevensteps to improve the cash flow and operations of the business.
The letter also expresses the Clinton Group's view that the Company isundervalued and that taking the steps outlined in the letter can helpstockholders realize fair value for the stock. The Clinton Group's valuationanalysis concludes that fair value is approximately $21-23 per share.