Deals
Arconic CEO Exits After ‘Poor Judgment’
- Hedge fund says CEO threatened a senior officer in letter
- Former Pratt & Whitney president to take over as interim chief
Klaus Kleinfeld.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
Elliott Management Corp. vowed to continue a fight to replace Arconic Inc. board members even after the main target of its dissatisfaction, Chief Executive Officer Klaus Kleinfeld, stepped down.
Shareholders can’t trust the board and should support Elliott’s slate of dissident directors in a vote next month, the New York hedge fund controlled by billionaire Paul Singer said in a statement Monday. The CEO exited the aluminum-parts maker after the board said he showed “poor judgment” in sending a letter to Elliott amid a proxy fight -- a departure that the hedge fund called “long overdue” in its statement.