Trian identifies numerous errors in recent Procter & Gamble presentation
Trian Fund, whose investment funds beneficially own approximately $3.5B of shares of The Procter & Gamble Company, released a response to P&G's September 19th investor presentation, highlighting a significant number of material data errors, calculation errors and misrepresentations about Nelson Peltz's track record contained in the presentation. Trian has identified more than 50 errors and misrepresentations to date. "We are disappointed in the quality of the presentation that the Board and Management of Procter & Gamble released on September 19, 2017 which is filled with a significant number of material data errors, calculation errors and misrepresentations of Trian's and Nelson Peltz's track records (we have identified more than 50 errors and misrepresentations to date). P&G has apparently tasked its army of advisors with discrediting Nelson Peltz and Trian in order to redirect the conversation away from the real issues at hand - in particular P&G's ongoing market share losses and bottom quartile shareholder returns. We feel it is necessary to "set the record straight" as shareholders and other constituencies deserve to understand the level of P&G's intellectual dishonesty we believe underlies this presentation. We would like P&G to correct these errors, but ultimately it is shareholders who must hold the Company accountable. Our goal from now until the shareholder vote on October 10 is to focus on the critical issues facing P&G and the eight strategic initiatives detailed in our White Paper that we believe can help P&G regain lost market share and once again achieve best-in-class performance. We respect the Company's right to debate our points of view on these critical issues, but find these misrepresentations of Nelson Peltz unacceptable. The reality is, Nelson Peltz's track record speaks for itself - every Trian investment on whose board Nelson Peltz has served has outperformed P&G during Trian's involvement. Management would like shareholders to believe that P&G has a "strategy that is working" and that performance has improved meaningfully under David Taylor. This is not true. The facts are that since David Taylor took over as CEO, the Company has continued to lose market share in every reportable segment, in both FY 2016 and FY 2017, as reported in P&G's Annual Reports filed with the SEC. In addition, since David Taylor took over as CEO, P&G has seen core earnings per share decline from $4.02 to $3.92 (as reported each fiscal year). While P&G would like you to believe that its strategy drove 7% earnings per share growth last year, the reality is that 5 percentage points of the 7% came from share buybacks using proceeds from divestitures, and from cutting advertising spend by $125M."