Starboard Issues Statement on Newell

NEW YORK, March 20, 2018 /PRNewswire/ -- Starboard Value LP (together with its affiliates, "Starboard"), a significant shareholder of Newell Brands Inc. ("Newell" or the "Company") (NYSE: NWL), which together with the other participants in its solicitation beneficially owns approximately 4.5% of the Company's outstanding shares, today provided the following statement on its investment in Newell.

We continue to believe that Newell is substantially undervalued and that significant opportunities exist to create substantial shareholder value.  As we have consistently stated, we believe that considerable change to the composition of Newell's Board of Directors (the "Board") and leadership is required.  Since our involvement, eight of the eleven Board members will be new, including a new Chairman.

We believe that asset sales, if executed properly, can create substantial value at Newell.  Given that Newell intends to now explore asset sales for approximately half of the Company, we believe that the most prudent course of action is for the Company to work with its financial advisor to evaluate a comprehensive set of strategic alternatives for all of the businesses.  Only following this thorough analysis can Newell prudently determine which assets may realize the greatest after-tax value, and decide which assets, if any, the Company should continue to operate.

In addition to asset sales, we are of the belief that there is an opportunity to significantly improve the operations at Newell.  Based on our research, we are confident that there is an opportunity to improve operating income by approximately $500 to $800 million based on actions that should be within management's control.  We believe it is important that, in addition to exploring strategic alternatives for all of the businesses, the new Board be equally and simultaneously focused on the operational improvements available to the Company.  Asset sales on their own are not a panacea for operational issues.

We intend to closely monitor the situation, and will be reserving our rights as to the election contest.  Should we decide to move forward, we would reduce our slate to a minority of the Board.  Given the new circumstances, and in consultation with Mariposa Associates, LLC, Ian Ashken, Domenico De Sole, Martin Franklin, and James Lillie are collectively withdrawing their names from nomination as they now plan to pursue other opportunities.

Mr. Franklin stated "Newell announced yesterday that it was replacing its Chairman and the majority of the remaining Board.  When Ian, Domenico and I resigned from the Board in January, we did so consistent with our belief that management and the Board were unwilling to recognize, and ill-equipped to deal with, the strategic and execution issues facing the Company.  We believe that our collective actions have moved the Company substantially.  However, we agree with Starboard that there are still many strategic and operational improvements which can be made and which are in management's control.  Given the circumstances, we plan to focus on other opportunities but fully support Starboard in their deliberations."

Jeffrey C. Smith of Starboard stated "We appreciate the support that we have received from shareholders.  We look forward to continuing to engage with shareholders as our goal is to represent the best interests of all Newell shareholders."

About Starboard Value LP
Starboard Value LP is a New York-based investment adviser with a focused and differentiated fundamental approach to investing primarily in publicly traded U.S. companies. Starboard invests in deeply undervalued companies and actively engages with management teams and boards of directors to identify and execute on opportunities to unlock value for the benefit of all shareholders.

Investor contacts:
Peter Feld, (212) 201-4878
Gavin Molinelli, (212) 201-4828
www.starboardvalue.com

SOURCE Starboard Value LP

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