Wednesday, January 3, 2007

Happy New Year Mr. Nardelli

Very interesting to hear rumblings that the board of The Home Depot, upon seeing the runup in the stock due to rumors of an LBO, were more inclined to fire Bob Nardelli. The market sent a clear signal to the board that the company was worth more without Nardelli than with him. Good for them for reading the signal. While Nardelli certainly lacked charm he was a good operator. Don't dismiss him as a chump just because the stock was down and don't blame him for making a ton of cash. Who are the directors that approved it? It's easy to find and you can then blame them.

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