NEW YORK, May 12, 2016 /PRNewswire/ -- Imation Corp.
("Imation") (NYSE: IMN), a shareholder of Arlington Asset
Investment Corp. ("Arlington" or the "Company") (NYSE: AI), today
announced that it has released an investor presentation in
connection with Imation's proxy contest to elect its slate of five
highly-qualified, independent, shareholder-first candidates to the
Arlington Board of Directors at the Company's Annual Meeting of
Shareholders on June 9, 2016.
The presentation, which is available at
http://www.riseuparlington.com/presentation/, outlines that
significant Board change is required at Arlington due to its
significant underperformance, poor hedging strategy, and seemingly
unsustainable dividend. Further, the presentation details the
steps that Imation's candidates will take to protect and restore
value at Arlington, if elected.
Joseph A. De Perio, Imation's
Chairman, stated: "Arlington's financial performance has been
dreadful and the Board's lack of proper oversight and mortgage
industry expertise is putting shareholders' investments at risk.
Over the last five years, Arlington's dividend-adjusted stock price
is down 15% – and its underlying investment strategy has not
generated a reasonable return on equity."
"We believe Arlington's Board, who have overseen years of
shareholder value destruction and poor financial results, must be
held accountable for their strategic missteps and for the repeat
failures of the Arlington executive team. We urge shareholders to
vote the GOLD proxy card FOR Imation's nominees, who
have a proven track record in principal investing in MBS, real
estate and alternative strategies. If our nominees are
elected, we are confident they will drive Arlington's return to
profitability – and we believe the stock should trade at premium to
tangible book value over time. Furthermore, if successful and in
alignment with a new management team, we are prepared to invest up
to $60 million to buy out
shareholders at a premium or in a primary investment to improve the
balance sheet at a price equivalent to 1.0x tangible book
value1 per share."
As outlined in today's presentation, Imation's go-forward path
for Arlington includes:
- Soliciting the best external manager or internal management
team through a Request for Proposal process;
- Aligning compensation to tangible book value creation and stock
price appreciation;
- Taking a holistic view on corporate overhead reduction and
lowering the overall fixed cost structure;
- Assisting management in diversifying the portfolio into
strategies that create more attractive yields and that develop
enterprise value by investing in new businesses; and
- Lowering the risks in the business, recalibrating the hedging
strategies, and/or liquidating underperforming assets.
Imation urges shareholders to vote the GOLD proxy card TODAY
to elect Imation's director candidates.
If shareholders have any questions or require any additional
information concerning the Arlington Annual Meeting, please contact
Imation's proxy solicitor, Okapi Partners at:
OKAPI
PARTNERS
|
|
Okapi Partners
LLC
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Banks and
Brokerage Firms, Please Call:
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(212)
297-0720
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Stockholders and
All Others Call Toll-Free:
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(877)
566-1922
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Email:
info@okapipartners.com
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About Imation Corp.
Imation (NYSE: IMN) is a holding company that operates through a
subsidiary engaged in global data storage and data security
business. At the corporate level, there is an ongoing strategic
review as Imation expects to seek and explore new opportunities
that will allow it to pursue a diverse range of business
opportunities and deploy its excess cash. For more information,
visit www.imation.com.
IMATION CORP., ROBERT B.
FERNANDER, CLINTON MAGNOLIA
MASTER FUND, LTD., CLINTON GROUP,
INC., JOSEPH A. DE PERIO, AND GEORGE
E. HALL, SCOTT R. ARNOLD,
BARRY L. KASOFF, W. BRIAN MAILLIAN, RAYMOND C. MIKULICH, AND DONALD H. PUTNAM (COLLECTIVELY, THE "PARTICIPANTS") HAVE
FILED WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") A
DEFINITIVE PROXY STATEMENT AND ACCOMPANYING FORM OF PROXY CARD TO
BE USED IN CONNECTION WITH THE PARTICIPANTS' SOLICITATION OF
PROXIES FROM THE SHAREHOLDERS OF ARLINGTON ASSET INVESTMENT CORP.,
INC. (THE "COMPANY") FOR USE AT THE COMPANY'S 2016 ANNUAL MEETING
OF SHAREHOLDERS (THE "PROXY SOLICITATION"). ALL SHAREHOLDERS OF THE
COMPANY ARE ADVISED TO READ THE DEFINITIVE PROXY STATEMENT AND
OTHER DOCUMENTS RELATED TO THE PROXY SOLICITATION BECAUSE THEY
CONTAIN IMPORTANT INFORMATION, INCLUDING ADDITIONAL INFORMATION
RELATED TO THE PARTICIPANTS. THE DEFINITIVE PROXY STATEMENT AND AN
ACCOMPANYING PROXY CARD WILL BE FURNISHED TO SOME OR ALL OF THE
COMPANY'S SHAREHOLDERS AND ARE, ALONG WITH OTHER RELEVANT
DOCUMENTS, AVAILABLE AT NO CHARGE ON THE SEC'S WEBSITE AT
HTTP://WWW.SEC.GOV/.
INFORMATION ABOUT THE PARTICIPANTS AND A DESCRIPTION OF THEIR
DIRECT OR INDIRECT INTERESTS BY SECURITY HOLDINGS IS CONTAINED IN
THE DEFINITIVE PROXY STATEMENT ON SCHEDULE 14A FILED BY IMATION
WITH THE SEC ON MAY 4, 2016. THIS
DOCUMENT CAN BE OBTAINED FREE OF CHARGE FROM THE SOURCE INDICATED
ABOVE.
1 The Company's tangible book value was $14.45 per share as of 3/31/2016 according to the Company's Quarterly
Report on Form 10-Q filed with the SEC on May 10, 2016.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/imation-releases-detailed-investor-presentation-on-arlington-asset-investment-corp-300267875.html
SOURCE Imation Corp.