Richard Schulze, founder and largest shareholder of Best Buy Co., Inc.
(NYSE: BBY), issued the following statement in response to the company’s
announcement that Schulze has rejected a Best Buy proposal to allow the
formation of an investment group and required due diligence in
furtherance of his proposal to acquire Best Buy:
“I am disappointed and surprised by the Best Buy Board’s abrupt
termination of our discussions. For the record, we engaged in good-faith
negotiations with Best Buy’s Board and its advisors over the weekend and
expected to conclude this matter before the Company’s earnings
announcement early this week. The Board initially proposed an 18 month
standstill, which was completely unacceptable in light of the fact that
urgent change is needed at Best Buy and value is eroding further every
day that change is not effected. We were in the process of negotiating
an acceptable standstill period when, without notice to me or to any of
my advisors, the board issued its announcement. I am shocked by this
course of action but as the largest shareholder of Best Buy, I remain
hopeful that the Board will engage in good faith discussions with us for
the benefit of shareholders, employees and customers. Time is of the
essence, and it is imperative that shareholders’ interests are not
further jeopardized.”
Credit Suisse is serving as financial advisor to Richard Schulze and
Shearman & Sterling LLP is serving as legal counsel.
