Jos. A. Bank Cuts "Poison Pill" Trigger to 10%

Gearing up for a possible proxy fight with rival Men's Wearhouse.

Jan 3, 2014 at 11:03AM

HAMPSTEAD, Md. (AP) -- Jos. A. Bank is cutting the ownership threshold of its "poison pill" to a 10% stake from 20% as it gears up for a possible proxy fight with rival Men's Wearhouse.

The retailer said Friday that it amended its shareholder rights plan so it had the same triggering ownership threshold as Men's Wearhouse's shareholder rights plan. Such a plan is designed to shield a company from a hostile takeover attempt.

The two companies have been circling each other for months.

In September, a few months after Men's Wearhouse ousted its founder and chairman, George Zimmer, Jos. A. Bank Clothiers offered to buy its larger rival for $2.3 billion, or $48 per share. Men's Wearhouse turned down that offer, and after Jos. A. Bank dropped the bid, Men's Wearhouse turned the tables with its own bid, for $1.54 billion, or $55 per share.

Then in late December, Jos. A. Bank rejected the takeover offer from Men's Wearhouse, saying the $1.54 billion bid was too low. Men's Wearhouse responded by saying that it would "carefully consider all of our options to make this combination a reality." That could include launching a proxy battle and nominating director candidates at Jos. A. Bank's next annual meeting.

Jos. A. Bank has said that it will continue to look into acquisition opportunities that would create value for its shareholders.

Hampstead, Md.-based Jos. A. Bank sells men's tailored and casual clothing and shoes. It's known for ads that say consumers can buy one suit or sport coat and get three for free. Fremont, Calif.-based Men's Wearhouse sells men's clothing and suits through its namesake chain of stores, as well as Moores and the K&G retail chain. Recently, the company has been going after younger shoppers with suits with slimmer silhouettes.

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A Financial Plan on an Index Card

Keeping it simple.

Aug 7, 2015 at 11:26AM

Two years ago, University of Chicago professor Harold Pollack wrote his entire financial plan on an index card.

It blew up. People loved the idea. Financial advice is often intentionally complicated. Obscurity lets advisors charge higher fees. But the most important parts are painfully simple. Here's how Pollack put it:

The card came out of chat I had regarding what I view as the financial industry's basic dilemma: The best investment advice fits on an index card. A commenter asked for the actual index card. Although I was originally speaking in metaphor, I grabbed a pen and one of my daughter's note cards, scribbled this out in maybe three minutes, snapped a picture with my iPhone, and the rest was history.

More advisors and investors caught onto the idea and started writing their own financial plans on a single index card.

I love the exercise, because it makes you think about what's important and forces you to be succinct.

So, here's my index-card financial plan:


Everything else is details. 

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