Schweitzer, hedge fund target Montana mining company

[Ptah]

BILLINGS — A former Montana governor considered a dark horse candidate
for the 2016 Democratic presidential nomination has joined a hedge fund's
attempt to take control of the state's largest publicly-owned mining company.

Less than two months out of office, Democrat Brian Schweitzer said he's
intervening to save Stillwater Mining Co. from questionable foreign expansion
plans that could leave its 1,500 Montana jobs at risk.

A New York-based hedge fund, the Clinton Group, submitted formal notice to
Stillwater on Monday of its bid to oust the precious metals company's
board of directors. They would be replaced with a new slate that includes Schweitzer.

The hostile takeover bid marks the effusive ex-governor's most high-profile
move since leaving office due to term limits. And it answers, at least in part,
what's next for him.

http://helenair.com/news/local/schweitzer-hedge-fund-target-montana-mining-company/article_2d65c766-7f77-11e2-a1cd-0019bb2963f4.html

[freshwest]

1. Not a bad hedge fund or privatization action in this case, huh.

I learn something every day here, and I'm not being sarcastic or putting any of them down. If this is a good act, we need to re-think a few things.

[Ptah]

2. It seems to me he is trying to protect the value of the Montana mines.

The state motto: Oro y Plata (Spanish for "gold and silver &quot

State nickname, The Treasure State.

It's an interesting look at life after state office.

[freshwest]

3. It's interesting to me that it is a publicly-owned mine, controlled and profiting MT.

He's saying they need to sell foreign assets, which makes sense if they are going to exploit their natural resource. It doesn't say how it affects the 1,500 employees, but those jobs must be at risk, which the article suggests he is concerned about.

For me, the only problem is that I keep thinking in terms of Romney and his hostile or friendly takeovers and taking the money and running. Just because the mining outfit will be owned by a group in NYC, doesn't mean they won't sell to a foreign group (as if it matters anymore) and stiff the people of MT.

And the hedge fund isn't going to be doing this out of civic virtue, they need to show a large profit or they will be in trouble. The profit from the mine will go to someone outside of MT, not the miners, the state or any of that. I just have a bad feel about this, but am willing to educated.

[Ptah]

4. I'm not suggesting this is a good thing.

I am fascinated watching this guy.

[freshwest]

5. Not a typical governor, but he did some good things. Interesting links on that page, too.

Last edited Mon Feb 25, 2013, 08:32 PM - Edit history (1)

[Sunlei]

6. interesting. wonder if the mining company was trying to bring in foreign visa labor to replace jobs.

pretty easy these days to find a company that rents you foreign visa workers and takes care of all their needs for you. All that contract worker company has to pay them is the state minimum wage.