Business Services Industry
At Bally, activist gets boxed out; Hedge fund chief once flexed muscle; now he fights to save his stake.(News)
Crain's Chicago Business, June, 2007
Byline: GREGORY MEYER Emanuel Pearlman lit a fire under Bally Total Fitness Holding Corp. Now it looks like he's the one getting burned. The hedge fund manager was the first activist investor to pile into the stock of the troubled Chicago fitness company in 2004, and he promptly did what activists do: He agitated for change, leading the charge to muscle out CEO Paul Toback and install a handpicked candidate to run the show.
Now that candidate, Don Kornstein, is chairman of Bally, and he's crafted a pre-packaged bankruptcy plan that would, among other things, reduce the value of Mr. Pearlman's stake to zero. "I would say they made a bad bet,'' says Kim Noland, director of high-yield research at bond research firm Gimme Credit LLC in New York, of the...
Most Recent Business Articles
- Multiple criteria evaluation and optimization of transportation systems
- Multi-criteria analysis procedure for sustainable mobility evaluation in urban areas
- A two-leveled multi-objective symbiotic evolutionary algorithm for the hub and spoke location problem
- Multi-criteria analysis for evaluating the impacts of intelligent speed adaptation
- The development of Taiwan arterial traffic-adaptive signal control system and its field test: a Taiwan experience
Most Recent Business Publications
Most Popular Business Articles
- 7 tips for effective listening: productive listening does not occur naturally. It requires hard work and practice - Back To Basics - effective listening is a crucial skill for internal auditors
- FAS 109: a primer for non-accountants - Financial Accounting Standards Board's "Statement 109: Accounting for Income Taxes"
- LIFO vs. FIFO: a return to the basics
- Design a commission plan that drives sales - Sales Commissions
- Too Young to Rent a Car? - 25-years-old the minimum age for car renting - Brief Article
