Wednesday, November 14, 2007

Climateer "Quote of the Day" Greed/Hubris Edition

The Wall Street Journal's Deal Journal brings it on home with this beut.:

Jana sent Ameritrade’s board an angry letter demanding that the company pursue a merger with E*Trade or Charles Schwab.

...“A strategic combination with E*Trade Financial or Charles Schwab presents a massive value creation opportunity,” read the letter, by Jana Managing Partner Barry Rosenstein. “The ‘right time’ to pursue such a combination is now.” Rosenstein said Ameritrade could save $600 million a year of costs by combining with E*Trade and $800 million in a deal with Schwab.
Barry Rosenstein
JANA Partners LLC
Managing Partner

Deal Journal notes:

On June 11, E*Trade stock was trading at $24.69.