On February 1st, it was reported that radical investor Barington Capital had written a letter to Mattel CEO Yinon Kreiz, stating that Barington Capital already held undisclosed shares in Mattel.
Barington believes that Mattel's stock price will continue to perform poorly unless the company takes measures, including seeking strategic alternatives to its Fisher Price and American Girl businesses, stopping investor perceived excessive stock compensation, and initiating a $2 billion stock buyback plan.
James Mitaroonda, founder of Barington, stated in his letter that he believes these actions, combined with the improvements made by Mattel in its core fashion doll and toy car division, could potentially double the company's stock price within three years. (Wall Street Journal)