Carl Icahn does not like what’s going on at Xerox. Not one bit. And so when the company politely informed him it was no longer interested in discussing who should be on its board anymore, Icahn took an ax to his two-year-old deal to keep quiet and went on the warpath, from which he has more or less pledged not to deviate until he is holding Xerox CEO Jeff Jacobson’s severed head in his lap.
Now, Jeff Jacobson and his board don’t like the idea of that at all. So they turned to their longtime partners over at Fujifilm for a chat, which reportedly went something like, maybe you’d like to take a majority stake in us and get this fucking pain-in-the-ass octogenarian off our backs?
That’s a plan some guy named Darwin Deason doesn’t like at all. And come to think of it, he doesn’t much like Xerox’s 55-year-old joint venture with Fuji. At least he thinks he doesn’t. He’s just not sure because, in spite of the fact that both Xerox and Fuji are public companies. And he definitely doesn’t like that.
Deason said the options “including the potential termination of what I suspect but am unable to yet confirm is a one-sided value destroying agreement disfavoring Xerox.”
The third-largest shareholder of Xerox said he had written to the board over eight months ago on the copier maker’s relationship with Fuji and requested relevant documents but Xerox failed to provide them.
Now, we don’t know what Carl Icahn thought of the Fuji j.v. before Deason got in Xerox’s face about it. Now that Deason’s mentioned it, though, Icahn can hardly think of a worse thing. Other than Jeff Jacobson’s continuing to draw a paycheck.
“We are obviously in favor of renegotiating the joint venture agreement to make it more favorable for Xerox,” Icahn said. “This should have been done a long, long time ago….”
“We believe drastic action is needed NOW because we fear that failing to replace Jeff Jacobson as (Xerox) CEO could inevitably result in the loss of our entire investment,” Icahn wrote.