Bob Evans Says Sandell Proposals Not In Best Interests Of All Stockholders

(RTTNews) - Restaurant chain Bob Evans Farms Inc. (BOBE) said, in a mail to its stockholders, that its Board determined that proposals made by Sandell Asset Management are "short-sighted, unsustainable and not in the best interests of all stockholders."

In the letter, Lead Independent Director Michael Gasser and Chairman and Chief Executive Officer Steven Davis, on behalf of the Board of Directors, urged stockholders to elect the nominees recommended by the Board.

The Board has concluded that: BEF Foods is an important component of the Company's long-term growth plan, and disposing of it immediately would not maximize stockholder value; Sandell's rationale for a sale-leaseback of the BER real estate assets is flawed; and Sandell's share repurchase demands are based on what the company believes are unrealistic assumptions.

Meanwhile, Bob Evans said it has consistently and responsibly returned more than $800 million of capital to its stockholders since fiscal 2007, including a total of $225 million of stock repurchases in fiscal 2014.

The Board urged stockholders to submit their voting instructions on the WHITE proxy card to elect the Board's slate of director nominees at the Company's Annual Meeting on August 20, 2014.