Trian Fund Management is seeking a seat for its chief executive Nelson Peltz on Procter & Gamble's board to push for more drastic steps to revive sales and profits. Angela Moore reports.
Trian wants a seat for its chief executive Nelson Peltz on Procter & Gamble's board. The fund owns more than $3 billion worth of P&G's stock. That's 1.5 percent of the company. Trian said in a press release that Peltz will help P&G deal with its "continuing underperformance, excessive costs, and complex bureaucracy." But it doesn't want to break-up the company or get rid of its CEO. Michael Flaherty covers the story for Reuters. (SOUNDBITE) MICHAEL FLAHERTY, SHAREHOLDER ACTIVISM/CORPORATE GOVERNANCE CORRESPONDENT, REUTERS (ENGLISH) SAYING: "P&G is a huge $222 billion consumer products company. it makes everything form Tide, laundry detergent, to Pampers diapers, to Gillette razors. Nowhere ever in the history of these types of investors fights has an activist like Trian gone after a board seat of a company of this size." Trian and P&G have been talking since February. But they failed to reach an agreement. Now they have about three months to continue talks until P&G's annual meeting in October.