Xerox CEO quits in win for Carl Icahn

The CEO of Xerox is quitting and the company's plan to be taken over by Japan's Fujifilm has been thrown into doubt....

Posted: May 2, 2018 11:28 AM
Updated: May 2, 2018 11:28 AM

The CEO of Xerox is quitting and the company's plan to be taken over by Japan's Fujifilm has been thrown into doubt.

Xerox said in a statement late Tuesday that it's reached a deal with activist investors Carl Icahn and Darwin Deason, who have been trying to kill the Fujifilm deal and push out CEO Jeff Jacobson.

Under the agreement, Jacobson and six other current Xerox board members, including Chairman Robert Keegan, are stepping down to allow representatives of Icahn and Deason to take control of running the iconic US printer and copier company.

The Xerox board said it decided to strike a deal with the activist investors after a US judge on Friday temporarily blocked the company's planned merger with Fujifilm. The ruling was the result of a lawsuit brought by Deason in February challenging the merger.

Related: Carl Icahn: Don't let Fujifilm 'steal' Xerox

The agreement between the two sides Tuesday will end the litigation and a battle over board seats that was set to take place at the next Xerox shareholders' meeting, the company statement said.

The new board plans to meet "immediately" to consider "terminating or restructuring Xerox's relationship with Fujifilm and the proposed transaction with Fujifilm," according to the statement.

But it's set to face a fight from the Japanese company, which said in a statement Wednesday that it has "serious concerns" about the settlement between Xerox and the activist investors.

Under the plan that Xerox and Fujifilm announced in January, the US company's operations would be merged with those of Fuji Xerox, a joint venture between the two firms. The multibillion-dollar deal would leave Fujifilm holding 50.1% of Fuji Xerox, with Xerox shareholders owning the rest.

Related: Fujifilm moves to take control of Xerox

Icahn and Deason argued that it "dramatically undervalues" Xerox and would be the "final death knell" for the US company. The two investors, who together hold around 15% of Xerox stock, accused the company's board of overseeing "the systematic destruction of Xerox."

Fujifilm said Wednesday it believes the Xerox board "has an obligation" to stick to the deal the companies agreed in January, adding that it will appeal Friday's court ruling that halted the merger.

Fujifilm shares dropped more than 5% in Tokyo on Wednesday.

Icahn welcomed the court ruling and Tuesday's agreement with the Xerox board, saying they "mark a watershed moment for corporate governance generally and for Xerox specifically."

Keith Cozza, the CEO of Icahn Enterprises, is set to become the new chairman of Xerox, according to the company statement. And John Visentin, an IT industry veteran who worked as a consultant to Icahn Enterprises during the battle over Xerox, is expected to be the new CEO.

Minnesota Coronavirus Cases

Data is updated nightly.

Cases: 445047

Reported Deaths: 5955
CountyCasesDeaths
Hennepin924911470
Ramsey39703735
Dakota32788331
Anoka30811360
Washington20004225
Stearns17775185
St. Louis13546240
Scott1189996
Wright11548102
Olmsted1035775
Sherburne815765
Carver691436
Clay648478
Rice600166
Kandiyohi552871
Blue Earth538033
Crow Wing479673
Otter Tail453464
Chisago449732
Benton416785
Winona386246
Douglas372466
Nobles366746
Mower362328
Goodhue343657
Polk327756
McLeod323144
Morrison310043
Beltrami308746
Lyon299835
Itasca282643
Becker281738
Isanti281141
Carlton278143
Steele27119
Pine265113
Freeborn241320
Todd230929
Nicollet223336
Brown213734
Mille Lacs212845
Le Sueur208515
Cass206123
Meeker198533
Waseca188816
Martin169126
Wabasha16883
Roseau165316
Hubbard148338
Redwood139227
Renville136539
Houston135313
Dodge13304
Chippewa130832
Cottonwood126518
Fillmore12215
Wadena119416
Rock109512
Sibley10797
Aitkin107133
Watonwan10618
Faribault104615
Pennington97715
Kanabec97218
Pipestone93823
Yellow Medicine93314
Murray8655
Jackson85010
Swift83018
Pope7355
Marshall70115
Stevens6978
Clearwater68514
Lac qui Parle65616
Lake62915
Wilkin6229
Koochiching59010
Lincoln4821
Big Stone4543
Unassigned43468
Grant4257
Norman4228
Mahnomen4087
Kittson37019
Red Lake3164
Traverse2473
Lake of the Woods1801
Cook1130

Iowa Coronavirus Cases

Data is updated nightly.

Cases: 303065

Reported Deaths: 4267
CountyCasesDeaths
Polk45335447
Linn17673274
Scott15356163
Black Hawk13648236
Woodbury12945175
Johnson1202149
Dubuque11300149
Pottawattamie8934112
Dallas881171
Story863434
Webster467471
Cerro Gordo462968
Sioux453356
Clinton448361
Warren437538
Marshall425561
Buena Vista391529
Muscatine386177
Des Moines380641
Plymouth348868
Wapello340898
Jasper319658
Lee313530
Marion301752
Jones269649
Henry263230
Carroll253034
Bremer242048
Crawford228122
Boone216217
Washington214231
Benton208544
Jackson190831
Mahaska190736
Tama185657
Dickinson184226
Delaware172236
Kossuth170543
Clay166019
Wright162724
Fayette159522
Buchanan158023
Hamilton157829
Winneshiek154819
Harrison154462
Hardin153929
Cedar151419
Clayton150748
Butler146424
Page143715
Cherokee138127
Floyd137936
Mills136016
Lyon133632
Poweshiek132324
Hancock128824
Allamakee126827
Iowa122822
Calhoun12209
Grundy120026
Jefferson119524
Madison11869
Winnebago118229
Mitchell115634
Louisa114130
Cass112541
Chickasaw110512
Emmet110231
Sac110215
Appanoose109638
Union108122
Humboldt104219
Guthrie102224
Shelby101326
Franklin101218
Unassigned9210
Palo Alto9019
Keokuk84325
Montgomery84022
Howard82519
Monroe80518
Clarke7817
Pocahontas77211
Ida73830
Greene6887
Davis68721
Adair68620
Lucas6468
Osceola6349
Monona63316
Worth5983
Taylor5919
Fremont5036
Van Buren49412
Decatur4784
Ringgold4269
Wayne41421
Audubon4108
Adams2953
Rochester/St. Mary'S
Cloudy
24° wxIcon
Hi: 25° Lo: 20°
Feels Like: 17°
Mason City
Cloudy
25° wxIcon
Hi: 27° Lo: 17°
Feels Like: 14°
Albert Lea
Cloudy
25° wxIcon
Hi: 25° Lo: 16°
Feels Like: 17°
Austin
Cloudy
25° wxIcon
Hi: 25° Lo: 17°
Feels Like: 15°
Charles City
Cloudy
23° wxIcon
Hi: 24° Lo: 18°
Feels Like: 15°
A big temperature swing is on the way
KIMT Radar
KIMT Eye in the sky

Latest Video

Image

Saturday's local highlights and scores

Image

John Marshall ready for 2021

Image

Is the City of Rochester paying men and women equally?

Image

LWVMN asks for "truth and consequences" for state lawmakers

Image

Sports Overtime Part 2

Image

Sports Overtime Part 1

Image

Plans for polar plunge

Image

Equal work and equal pay.

Image

Aaron's Friday Night Forecast

Image

Mega Millions jackpot soars to $750 million

Community Events