{
  "docId": "019dd923-622b-71dc-a6db-4e5c6908a228",
  "docSlug": "e685a047c782",
  "documentTitle": "E.I. du Pont de Nemours and Company (DuPont) (DD)",
  "authorId": "06_Trian_Partners",
  "authorName": "Nelson Peltz",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2015-02-17 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 92,
  "pageCount": 95,
  "prevPage": 91,
  "nextPage": 93,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 2,
  "notes": "Uses a 'before-after' style contradiction structure to frame the Board's failure.",
  "elementsJson": [
    "headline_text",
    "bullet_list",
    "quote_block",
    "callout_box",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622b-71dc-a6db-4e5c6908a228/92",
  "deckHref": "/decks/019dd923-622b-71dc-a6db-4e5c6908a228",
  "deckJsonHref": "/decks/019dd923-622b-71dc-a6db-4e5c6908a228.json",
  "deckAnchorHref": "/decks/019dd923-622b-71dc-a6db-4e5c6908a228#slide-92",
  "components": [
    {
      "bbox": {
        "h": 0.15,
        "w": 0.88,
        "x": 0.06,
        "y": 0.73
      },
      "kind": "callout",
      "text": "Despite the Lead Director’s assurances, in June 2014, DuPont lowered guidance for the third consecutive year. The independent directors... have repeatedly failed to hold management accountable...",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "38ecee80-1a21-4195-89ed-b1cc898a9a8f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "The independent directors of DuPont, who own very little stock (collectively ~$20mm in shares(1)), have repeatedly failed to hold management accountable for missing its publicly stated financial targets; it is time for an \"ownership mentality\" in the Boardroom",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-5374-767b-b3c8-359787d7a681",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.88,
        "x": 0.06,
        "y": 0.18
      },
      "kind": "quote",
      "text": "…we are skeptical that management will be able to deliver on the promise of a “higher growth, higher value” DuPont and achieve the promised 7% top line and 12% EPS...",
      "attrs": null,
      "subkind": "pull-quote",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "730264ed-d460-40d1-a412-9ac3214b7b8d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.88,
        "x": 0.06,
        "y": 0.47
      },
      "kind": "quote",
      "text": "To clarify our discussion that day... we continue to believe these goals are both appropriate and achievable. We fully endorse management’s plan and are encouraged by the progress against them.",
      "attrs": null,
      "subkind": "pull-quote",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "e01d5bd8-82fd-4d97-9e17-749445da7a32",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "\"...we are skeptical that management will be able to deliver on the promise of a \"higher growth, higher value\" DuPont and achieve the promised 7% top line and 12% EPS...[and] we are concerned that management will continue to miss promised performance targets as \"new DuPont\" remains an inherently complex collection of disparate businesses with a high-cost corporate overhead structure and that it will trade at a conglomerate discount as it will be neither a growth play, nor a recovery play.\" — Trian Fund Management (February 2014 letter to DuPont's Lead Director). \"To clarify our discussion that day [Trian's meeting with Sandy and management in December 2013] relative to our five year, long-term rolling growth targets of 7 percent revenue growth and 12 percent operating earnings growth, which were announced publically on December 9, 2010 at our Investor Day, we continue to believe these goals are both appropriate and achievable. We fully endorse management's plan and are encouraged by the progress against them.\" — DuPont's Lead Director (March 2014 letter to Trian).",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd953-5374-767b-b3c8-3a982415b1d5",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.8,
        "x": 0.06,
        "y": 0.91
      },
      "kind": "source-note",
      "text": "Source: February and March 2014 letters exchanged between DuPont's Lead Director and Trian and DuPont press release dated 6/26/14, in which it revised its 2014 outlook. (1) Estimates based on SEC filings and Bloomberg. Excludes CEO who is not considered an \"independent\" director. Assumes closing stock price on 2/6/15 ($76.10).",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0b389936-595c-4619-8940-9258d4e35d8d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.6,
        "x": 0.06,
        "y": 0.07
      },
      "kind": "title",
      "text": "The Board Must Hold Management Accountable",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "4351c25d-c2e2-48f4-ad2d-b0a370bd42bd",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [
    {
      "name": "Anadiplosis",
      "slug": "anadiplosis",
      "agent": "Storyteller",
      "layer": "slide",
      "matchId": "e238d9a7-fb2f-4d22-9c21-0ffe39e8981d",
      "evidence": "The quote '...we are skeptical that management will be able to deliver on the promise of a \"higher growth, higher value\" DuPont and achieve the promised 7% top line and 12% EPS...[and] we are concerned that management will' instantiates anadiplosis through repetition of 'we are'.",
      "confidence": 0.7
    }
  ],
  "frameworks": [
    {
      "name": "ceo-quote-contradiction",
      "slug": null,
      "matchId": "be99eb3e-da28-46a2-b413-c3e603bf3b59",
      "evidence": "Contrasts Board's public endorsement with subsequent failure to meet targets.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 95,
      "from": 60,
      "beatId": "17930cb1-5e44-4ce1-932b-8378590408cd",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Impact & Next Steps",
      "beatSlug": "consultants-gambit-impact-next-steps",
      "evidence": "The presentation outlines the potential impact of Trian's initiatives and the next steps for DuPont.",
      "position": 3,
      "confidence": 0.8,
      "parentBeatName": "Resolution",
      "parentBeatSlug": "resolution"
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}