Denny's Shareholder Files Preliminary Proxy Statement


The Committee to Enhance Denny's Corporation (DENN), which is a group created by investors Oak Street Capital Management, and Dash Acquisitions, has filed a preliminary proxy statement that marks the beginning of an effort to shake up the company's board of directors -- and increase shareholder value.

The proxy statement filed with SEC calls out the company's management, board of directors, track record, executive compensation, and overall failure as evidenced by the company's poor share price.

According to the proxy statement, "A public company's compensation program should be designed to provide a correlation between the financial success of management and the stockholders. During the three years Mr. Marchioli received over $9 million in total compensation, Cash Flow from Operations declined by over 50% [and ] The Share price declined by approximately 50%."

The statement nominates three members of the Committee to Enhance Denny's to the company's board of directors, including Jonathan Dash, who recently made headlines when he trashed the company's food in an interview with the Wall Street Journal.

The statistics and allegations set forth in the preliminary proxy make Denny's board's position look pretty indefensible. Stay tuned for the company's response.

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