Imation Urges Arlington Shareholders to Vote for Its Five Directors

Imation Corp., a shareholder of Arlington Asset Investment Corp., urges all Arlington shareholders to vote the Gold proxy card for the election of Imation’s five director nominees at Arlington’s annual meeting of shareholders on June 9, 2016. 

Imation also issued the following statement in response to recent reports by Institutional Shareholder Services Inc. and Glass Lewis & Co. relating to the election of directors to Arlington’s Board.

“We believe that ISS and Glass Lewis have done Arlington shareholders a disservice by failing to acknowledge the significant issues plaguing Arlington and affording the benefit of the doubt to a failed incumbent board and management team who are executing on a risky and non-performing strategy,” said Joseph A. De Perio, Imation’s COB. “The size of Imation’s stake in Arlington is not the issue here – simply put, Arlington shareholders should be concerned by the significant erosion in tangible book value, disastrous hedging strategy, unsustainable capital allocation plan and excessive compensation that is the legacy of Arlington’s existing leadership. Furthermore, ISS completely ignored Imation’s pledge to make a significant investment in the company at a premium if its slate is elected.”

De Perio continued: “We note ISS clearly spells out that Arlington’s total shareholder return was (28.9%) over the last three years, well below its peers and related index, while CEO Rock Tonkel’s total pay was 1.6 times that of his peers over this period. These facts speak for themselves, and as shareholders, we are concerned the fundamentals at Arlington will continue to deteriorate if the company’s Board and management are left unchecked and in place.”

De Perio concluded: “We hope Arlington shareholders will make their own conclusions and vote based on the facts – that Arlington is being mismanaged and is underperforming, and that maintaining the status quo is not in their best interests. In fact, it will only make matters worse. Imation continues to believe that significant change is required at the board level in order to return Arlington to profitability and return value to all shareholders. As a shareholder, we refuse to stand idly by as shareholder value is threatened.”

Every vote counts. All shareholders of record as of April 12, 2016 are encouraged to review Imation’s definitive proxy filing and subsequent materials and vote for all five of its nominees on the Gold proxy card. Imation strongly urges Arlington shareholders to not sign or return any white proxy card sent by Arlington.

Read also:
Letter From Arlington to Shareholders …
“Disastrous trend at Imation under the Clinton Group continues.”
2016.05.24 | Press Release
… And Imation’s Answer
“Incumbent board and management only interested in maintaining their lucrative compensation.”
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Imation Letter To Arlington Shareholders
Underscoring “abysmal performance” under incumbent board
2016.05.18 | Press Releaset
Imation Said Urgent Need For Board Change at Arlington
Because of underperformance, continued mismanagement and ineffective gedging strategies
2016.05.11 | Press Release
Imation and Clinton Group Attempting to Take Control of Arlington’s Board
Despite owning less than 0.05% of company’s shares
2016.05.09 | Press Release
Imation and Clinton Group Intend to Nominate Controlling Slate at Arlington Asset Investment
Despite owning less than 0.1% of shares
2016.04.11 | Press Release