Dollars and Jens
Wednesday, March 21, 2007
Bad Managers
Morningstar makes a reasonable case that the management of OSI (Outback Steakhouse) has been working against shareholders' interests in their effort to take the company private, and encourages a vote against the buyout offer. I'm sympathetic, but then what? Do you hope a large investor buys enough shares to put together a new management team? Or do you just go ahead and accept that your managers aren't going to act in your interest? I assume you don't sell at the market price, which is even lower than the buyout offer you're rejecting, unless the goal is to spend money punishing bad management.

Powered by Blogger