Adrenalina Criticizes PacSun Performance; Calls For CEO’s Resignation
ADMIN
- February 12 2009
- 1,067 views
- 18 comments
Adrenalina announced Wednesday, February 12, that it has nominated four director candidates for election to the Pacific Sunwear board, according to an article published on Businesswire.com. Adrenalina also sent a letter to PacSun Chairman and CEO Sally Frame-Kasaks, calling the company out for not accepting Adrenalina’s offer to buy the company at $5 per share, and for ignoring its pleas to discuss ideas for enhancing shareholder value, according to the report. Adrenalina owns 2,097,313 shares in the aggregate, or approximately 3.2% of PacSun’s shares. The letter also calls for Frame-Kasaks’ immediate resignation. Here’s a direct excerpt from the letter, as published on Businesswire.com:
“For a Company whose focus is on “cost reduction actions,” we note that you continue to handsomely reward yourself with compensation. You conveniently say that the Company needs to “be prudent” in managing its costs. Why haven’t you reduced your take-home salary significantly? We were not surprised to see management and the Board take such a self-serving position, considering the ease with which management has generated cost savings by eliminating a vast number of corporate positions while presumably leaving its own bloated compensation intact. As an example, we note that your compensation in 2007 was over $3 million, more than 60% of the estimated savings achieved by the Company’s recent elimination of 47 positions at its Anaheim headquarters and 10 field management positions. This Board and management team collectively own just over 1% of the outstanding shares and therefore have no significant ownership stake. Clearly, while stockholders have suffered mightily, the wallets of this Board and management team with little “skin in the game” have gotten fatter. ”
Read the entire press release and letter HERE.
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February 12th, 2009 at 9:06 am
Hilarious. PSUN ain’t much, but Adrenalina is even less of not much. Sad bulletin board stock trading at $0.15, the low for the year.
The mouse that roared.
February 12th, 2009 at 10:08 am
Chu got to love that latin machismo amigo , “say hello to my little fren’” PacSun should just say yes and watch as they worm thier way out of paying !
February 12th, 2009 at 11:10 am
Tony, that is too funny, better than Adrenalina even . . . now ’scuse me while I wipe coffee off my screen
February 12th, 2009 at 12:56 pm
Adrenalina is such a joke. Their stores are so bad! Ed Hardy, Tap Out and Quik all top brands.
February 12th, 2009 at 1:03 pm
Do not me’ amigo forget Billabong , Fox , and the number brand in the whole freakin’ enchalada ; Squallo !
February 12th, 2009 at 1:08 pm
What chu talkin’ bout mang , number one brand in all of Mexico , Maui & Sons , we love those tiburones ……………
February 12th, 2009 at 1:39 pm
Billabong rules all of South Florida and south America !
February 12th, 2009 at 1:49 pm
oooh Sally with a “little skin in the game ” this es’ making me “fatter” …I’d like to see Sally play for the skin’s , she es’ hot bobalooo……Ruucy es’ dead , Sally , me and Fred , la bamba baby ! We do the lambada , the dance of love ! I’ll make Sally roll those “R’S” like she don’t know nuthin’ mang ! She’ll be goin’ RRRRRRRRETAIL MATH ES’ FFFFFUN !
February 13th, 2009 at 1:18 am
Another cut and paste post. Will TWRumorMill stop hiding behind “Admin” and start doing some “Reporting” on the “News”. When is the Online Editor position open? Requirement: Ctrl C & Ctrl V. 10 year old reading level. Why don’t you guys interview Pac Sun’s Sally or Adrenalina’s Isaac? How about Volcom, RVCA, Billabong, Quiksilver, O’Neill, Fox, Nixon, Spy, and all the other brands that are in both stores? Are you guys getting the hint? The industry that pays for your ads wants real reports. Stop wasting our money. And stop closing comments on articles that are true reports that we want to comment on. Grow a set.
February 13th, 2009 at 1:10 pm
TWRumorMill,
I can assure you that none of us here at Transworld Business are hiding from anything, and that we are all busy doing plenty of reporting.
I didn’t post this particular article, but I am open to any construtive criticism you may have to offer about the Web site. Please feel free to email me directly at josh.hunter@transworld.net or call me at 760.722.7777.
As far as our Web advertisers’ ROI, we had a little over five million page views and about 85,000 uniques in January. Our traffic has been growing at an incredible pace month after month, we’ve had hundreds of readers sign up for our weekley newsletter, and we’ve been hearing a lot of positive feedback.
Which brings us to “growing a set.” The Ball (pun intended) is in your court. I’d really enjoy the opportunity to hear what you have to say, so please don’t hesitate to reach out.
JH
February 13th, 2009 at 1:59 pm
Don’t mess with a Southern boy , he’ll whup yer whole damn family’s butt while munching on a jumbo Ga.Pig BBQ pork samich’ and drinkin’ a qt. a sweet tea …
February 13th, 2009 at 2:06 pm
Josh, I am eager to see the growth of TW Bus. But let’s see more content other than the copy paste articles. Yes, breaking news is great. Jeff’s insight in Market Watch is tremendous, but he is the only one who is really sticking his neck out and making market predictions based on facts, reports and interviews. You’ve seen my posts, I’ve gotten your attention. No need for anymore criticism on my end. The BALLS are in your court. Let’s see what you got, player.
February 13th, 2009 at 2:59 pm
TWRumor , if you are not a politician, you should be , you just dodged that deathstar like Ninja Bush family member !
February 13th, 2009 at 3:26 pm
…sells Crocs. PacSun has never gone THERE! This Adrenalina guy is loco.
February 13th, 2009 at 4:08 pm
Well played by Josh and TWRumor, polite applause.
February 13th, 2009 at 5:23 pm
True dat DH , TWRumor think’s he has gone all Muhammed ” bruce Lee” Alli , ” rope a dope” on my boy Josh , but where Josh comes from they are still fighting the Civil War soooo it ain’t no Yogi Beara ” it ain’t over till it’s over ” crap , it ain’t EVER over , get in THERE Josh , give him a shot , no polite aplause here D.H. , hot-damn we got a junk yard dog fight !
February 16th, 2009 at 11:58 am
I for one love this!! Its great that someone is calling out the Pac Sun elite for answers as to why they have run such powerful retail giant into the ground. I’m surprised they aren’t asking for a bailout. Time to clean out that entire organization and start fresh with new faces and new ideas.
February 16th, 2009 at 12:33 pm
anonymous , the issue is not with someone challenging Pac Sun , they and all public companies and public officials as well should be challenged more often. The issue here is Andrenalina is is in as bad or worse shape than Pac Sun , i agree with Tony at the top of this thread , accept the offer and see how they run .