Discovery Group Urges SBS Stockholders To Withhold Vote
May 6, 2008 at 12:21 PM (PT)
One of the largest stockholders in SPANISH BROADCASTING SYSTEM INC., DISCOVERY GROUP, announced that it would withhold its votes for the reelection of the Company’s directors at its annual meeting on JUNE 3, 2008. In a letter to all stockholders, a copy of which is being filed with the Securities and Exchange Commission, DISCOVERY urged other investors to join its effort to put the Board of Directors on notice that the status quo of mismanagement, poor operating performance, excessive executive compensation and weak governance is not acceptable. DISCOVERY owns 9.8% of the Company’s Class A common stock.
"The SPANISH BROADCASTING directors need to ask themselves whether they are honestly and rigorously carrying out their stewardship responsibilities," said DANIEL J. DONOGHUE, Managing Partner at DISCOVERY.