Procter & Gamble – Drip, drip!
October 23, 2012
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The pressure continues to grow on Mr. Robert McDonald, Chief Executive and Chairman of Proctor & Gamble – as I thought it would. The Wall Street Journal today reported that a 13 page letter written by Mr. Gary Martin, former president of family care at P&G, was given to lead independent director, Boeing Co. CEO Jim McNerney, on April 12 of this year. Mr. Martin detailed a number of concerns about Mr. McDonald’s leadership and called on the board to strip the CEO of his chairman title.
All eyes (and ears) will be on deck, as P&G will report first quarter earnings on Wednesday. Mr. McDonald is walking a tightrope, without a net as the proverbial handwriting on the wall gets ever more clearer. As I predicted in my first blog on P&G, the company will have to undergo a major cost cutting exercise as well as shirking their Theoretical Earnings/balance sheet. This will take time. Unfortunately time is running out for Mr. McDonald.
Previous blogs on P&G