Decision Allows Company's Shareholders to Decide for Themselves Whom to Elect as Directors at the Company's Annual Meeting Next Week
NEW YORK, May 2 /PRNewswire/ -- The Charming Shoppes Full Value Committee announced today that Judge Anita B. Brody of the United States District Court for the Eastern District of Pennsylvania has advised the Committee and Charming Shoppes, Inc. ("Charming Shoppes" or the "Company") that the Court has denied the Company's motion for a preliminary injunction. Judge Brody informed the parties that the Court would issue a written opinion shortly.
Commenting on the decision on behalf of the Committee, Eric Rosenfeld, President and CEO of Crescendo Partners stated, "We are pleased that the Court rejected the Company's efforts to prevent shareholders from deciding for themselves whom to elect to the Board at next week's Annual Meeting."
Mr. Rosenfeld continued, "Today's decision confirms what we have believed all along -- that this lawsuit was nothing more than a desperate and frivolous attempt to block the democratic process, scare shareholders from talking to us and further entrench the Board. Justice prevailed. Unfortunately, this Board wasted a considerable amount of shareholders' money to frivolously sue one of its largest shareholders. At least now, they can be held accountable. Given the lengths to which this Board has gone to entrench itself, including its unsuccessful attempt to subpoena 17 third-parties including several of the Company's largest shareholders, we are very concerned that the Board will unilaterally postpone the vote if it is losing the election next week. That is not the way democracy is supposed to function."
The Committee strongly encourages Charming Shoppes shareholders to sign, date, and return the WHITE proxy card and vote FOR Arnaud Ajdler, Robert Frankfurt and Michael Appel. Your vote is very important, regardless of how many or how few shares you own. If you have any questions, or need assistance in voting your shares, please call our proxy solicitors, D.F. King & Co., Inc. toll-free at (800) 735-3107.
Contact:
Crescendo Partners II, L.P.
Eric Rosenfeld or Arnaud Ajdler, (212) 319-7676
Myca Partners, Inc.
Robert Frankfurt, (212) 587-7611
The Charming Shoppes Full Value Committee
