BBRC sends letter to Victoria’s Secret board over ‘accountability’

BBRC International, which owns approximately12.9% of the outstanding common shares of Victoria’s Secret (VSCO), sent a letter to the company’s board, saying in part: “As a private investment firm with more than 45 years of experience investing in the consumer sector, and with a proven track record of creating value in the lingerie specialty category, we believe the Board should carefully consider our observations and suggestions. To date, despite clear evidence of boardroom lapses and the destruction of significant stockholder value, the Board has failed to adequately demonstrate meaningful accountability. Given the lack of productive two-way dialogue that we would expect with a top stockholder, we urge VS to address the following issues during the June 11th earnings conference call: Dismal Total Stockholder Returns…Failed Capital Allocation…Insufficient Board Independence…Lack of Accountability…Excessive Chair Tenure and Disastrous Board-Level Decisions…Instead of wasting time protecting itself and reacting to preventable crises, the Board should focus on what really matters to stockholders: constructing a confidence-inspiring Board and generating positive financial returns to drive value creation.”