Thursday, September 06, 2007

Latest Motorola "Plan B" YouTube Video: A Question for Friday's Financial Analyst Meeting

Tomorrow, on Friday, September 7th, Motorola CEO Ed Zander and CFO Tom Meredith will hold court in New York for a Financial Analysts meeting.

Unfortunately, I will be in Orlando on business and cannot attend the meeting in person. However, I wanted to submit my question in advance via YouTube. I believe all Fortune 500 CEOs should allows for YouTube questions from shareholders at these kinds of events in the future. If our future President has to answer his/her constituents before election via this medium, why shouldn't our CEOs in which we own a share of stock?

I am a Motorola shareholder who owns 180 shares in the company. I also represent -- through the "Plan B" group I have started -- 130 additional shareholders in the company. Together, we own 600,000 Motorola shares. We are upset with the recent performance of the company.

Although we have created and formally sent Motorola's non-executive directors a "Plan B" for how to turn around Motorola and asked for a face-to-face meeting to discuss the merits of our plan, the board has refused such a discussion. Douglas A. Warner III, the chair of Motorola's Governance and Nominating Committee and one of the non-executive directors, wrote to me on August 13th stating that "[w]e are actively engaged, and we have been and will continue to be proactive in implementing changes that we believe will enhance value for all Motorola stockholders." We respectfully would say that we are frustrated by the results of their current efforts to be engaged.

We appreciate Mr. Meredith's comments at Wednesday's Citigroup meeting with investors in which he ackowledged the company had made "mistakes" and that the two rounds of layoffs are "a symbol of management failure." Yet, we are puzzled why the board and management team have not been held accountable for their self-acknowledged failure. Why should the rank-and-file Motorolans bear the brunt of management's failure?

Here is my video question for Mr. Zander....

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Martin said...

Eric, be positive please, it seems motorola is becoming a big player in the IMS infrastructure industry, at least in Spain they seem to be recruiting a lot of people.