More Corporate Greed on Its Way But Not in Financial at Least on the Surface
Eddie Lampert ex-Goldman Sach’s Executive Turned Hedge Fund Founder…A Retail Genius?
Sears Holdings, the third largest US retailer, on Thursday highlighted the growing pressures it will face this year from mandatory payments to its pension plan, following the steep decline in asset values seen last year. The retailer said that it had made cash contributions of $224m to its pension plan in its financial year ending on January 30, as it seeks to meet federal requirements to ensure that pensions are fully funded by 2011.
….However, Mr Lampert also called on Congress to ease pension plan regulations to give companies additional time to make required cash contributions to make up losses caused by the financial turmoil….
So basically, Lampert wants help to bailout his obligations to employees or find some loophole to stiff the employees after he has taken over Sears using his ESL Hedge Fund and ran it into the ground. Of course Wall St and the financial analysts calls him the next Warren Buffett at the time.
Sears under Lampert’s leadership has performed miserably ever since he has assumed the role of its Chairman. Many retail experts believes he simply doesn’t understand how to be a retail operator. Even when the stock has shed 80% of its value, Eddie Lampert continues to play the blame game but himself.
Meanwhile, “Venture capitalist William “Bill” Ackman, founder and CEO of investment and hedge fund firm Pershing Square, has announced to the chagrin of Target’s board and management that he shortly will wage a proxy battle for control of the discount-store giant.”, as reported by “Weekly Retail Fix” of Retailing Today. Ackman’s hedge fund has accumulated 10% of Target’s stock since April 2007 and is attempting to muscle its way into the company’s board. What does Target executives and current board think?
So you think Government should be sympathetic and soft on regulation? Is leverage of a perfectly healthy company such as Target in the best long term interests of shareholders, the economy, and American employment?
