Unisys adds 2 board members from hedge fund

Unisys Corp. said Wednesday that it appointed two representatives of a major hedge fund shareholder to its board, an agreement brought about by pressure from the investor to improve operations and boost the stock price.

The technology services company added Clay Lifflander, president of MMI Investments LP, and Charles McQuade, retired chairman and chief executive of Securities Industry Automation Corp. The board will be expanded by two to 13.

MMI Investments, which is controlled by hedge fund Millbrook Capital Management Inc. in New York, has threatened to take action at Unisys' upcoming shareholders meeting in July. It owns a 9.1 percent stake in Blue Bell-based Unisys.

On Wednesday, Unisys said MMI Investments has agreed to "work cooperatively" with the company.

In January, MMI sent a letter to the Unisys board expressing its frustration with the company's lagging stock price and urged the company to sell or spin off its U.S. government business.

Shares of Unisys were up 10 cents, or 2.2 percent, to $4.56 cents on Wednesday. The stock has fallen 54 percent from a 52-week high of $9.70 in July 2007.