USG - USG

[zippy1]

So vast "no" Vote and yet 3 got elected!

                                  FOR              AGAINST      ABSTAIN      BROKER NON-VOTE

Jose Armario              27,437,009    90,902,338  560,379        3,880,018

Dana S. Cho                27,181,737    90,887,987  830,004        3,880,016

Gretchen R. Haggerty  27,461,511    90,875,943  562,273        3,880,017

William H. Hernandez  27,457,984  90,881,315    560,427        3,880,018

As a result of the stockholder vote on Proposal 1 at the Annual Meeting, Jose Armario, Gretchen R. Haggerty and William H. Hernandez were not duly re-elected, and pursuant to the Delaware General Corporation Law, continue to serve as holdover directors. Each of Messrs. Armario and Hernandez and Ms. Haggerty remain members of the Corporation’s Board of Directors (the "Board"), with the same rights and powers as they possessed prior to the stockholder vote. Dana S. Cho was not elected to the Board. As a result, the Board, pursuant to its authority, voted to reduce the size of the Board from ten directors to nine directors. The Board intends to continue to consider what further action, if any, might be in the best interests of stockholders as a result of the stockholder vote with respect to its director nominees. There is no specific time frame for making any further decisions regarding this matter.

 

https://www.sec.gov/Archives/edgar/data/757011/000075701118000050/form8-k_05112018.htm

[gfp]

Cash deal at 44 dollars -

http://phx.corporate-ir.net/phoenix.zhtml?c=115117&p=irol-newsArticle&ID=2354003

 

(along with the MON deal, it's $4.1 Billion more in cash headed to BRK hq)

[Saluki]

It's a decent exit for BRK, the position was so large that it makes sense to sell the whole thing to a third party or buy the whole company for BRK.  I thought BRK would buy it eventually, Buffett likes the pricing power of brands and USG is as close as you'll get to a brand in the construction industry.  There are brands for finished products like faucets, but can you name a brand of lumber? Cement? Roofing tiles?  I've worked in construction when I was younger and USG is a well-respected brand and having carried drywall up flights of stairs in the summer I can tell you that the new lightweight drywall which is 30% lighter but the same strength is something that people would be more than willing to pay up for. 

 

 

[gfp]

Bloomberg reporting Combs helped Buffett on Berkshire's strategy for exiting USG.  If you're like me and enjoy the "Background of the Merger" section of proxy statements, here is just that section of the proxy (attached as pdf).

Knauf_USG.pdf

[spartansaver]

Bloomberg reporting Combs helped Buffett on Berkshire's strategy for exiting USG.  If you're like me and enjoy the "Background of the Merger" section of proxy statements, here is just that section of the proxy (attached as pdf).

 

Globalfinancingpartners, is there a reason you like to read that part of the proxy?

[DooDiligence]

Bloomberg reporting Combs helped Buffett on Berkshire's strategy for exiting USG.  If you're like me and enjoy the "Background of the Merger" section of proxy statements, here is just that section of the proxy (attached as pdf).

 

Globalfinancingpartners, is there a reason you like to read that part of the proxy?

 

I'm going to go out on a limb and say it's to get some background on the merger.

[gfp]

Its a narrative of how the merger went down.  They have to include just about everything except other companies identities (Company A, Company B, etc..)  Kind of like soap opera meets investment banking.  I also enjoyed a book called "Tombstones" that was basically all play by play of hostile merger offenses and defenses.  Warren has said he likes the 'Background of the Merger' section as entertainment as well.  I find it interesting to watch the dance.  Poor lady at USG had nobody else bidding and 75% of the shareholders against her.  She never had a chance. 

 

I can definitely understand why someone wouldn't find proxy statements riveting though.

 

(I should note that I am not a banker, and have not worked in investment banking in the past)

 

Bloomberg reporting Combs helped Buffett on Berkshire's strategy for exiting USG.  If you're like me and enjoy the "Background of the Merger" section of proxy statements, here is just that section of the proxy (attached as pdf).

 

Globalfinancingpartners, is there a reason you like to read that part of the proxy?

[spartansaver]

Its a narrative of how the merger went down.  They have to include just about everything except other companies identities (Company A, Company B, etc..)  Kind of like soap opera meets investment banking.  I also enjoyed a book called "Tombstones" that was basically all play by play of hostile merger offenses and defenses.  Warren has said he likes the 'Background of the Merger' section as entertainment as well.  I find it interesting to watch the dance.  Poor lady at USG had nobody else bidding and 75% of the shareholders against her.  She never had a chance. 

 

I can definitely understand why someone wouldn't find proxy statements riveting though.

 

(I should note that I am not a banker, and have not worked in investment banking in the past)

 

Bloomberg reporting Combs helped Buffett on Berkshire's strategy for exiting USG.  If you're like me and enjoy the "Background of the Merger" section of proxy statements, here is just that section of the proxy (attached as pdf).

 

Globalfinancingpartners, is there a reason you like to read that part of the proxy?

 

Good stuff, thanks for the background. I'll add the book to my list.