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  "documentTitle": "Aerojet Rocketdyne Holdings, Inc. (AJRD)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-04-09 00:00:00",
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  "pageNumber": 47,
  "pageCount": 57,
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  "nDataPoints": 6,
  "notes": "The slide uses SEC filing excerpts to support the thesis that management is offloading shares in a non-transparent manner while facing governance and tax issues.",
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      "text": "We believe that the ability of the trust to sell stock in a short time frame after being contributed is a red flag, particularly in context of Aerojet’s audit chair resigning, its COO entering into a retention agreement, and IRS and California tax audits being disclosed shortly thereafter.",
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      "kind": "list",
      "text": "1) Based on $40/share price and $162m of conversion premium. 2) Audit Chairman resigns 11/9/18. 3) COO Retention agreement 12/6/18. 4) IRS and California tax audits.",
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      "text": "We believe there are two factors that may overhang Aerojet's stock in the near term: 1) 2.7 million shares to be sold for the benefit of employees ‘anticipated’ to be sold in the short-term, and 2) 4.0 million shares currently convertible at the option of note holders given that the stock has exceeded 130% of its conversion price. (1) We believe that the ability of the trust to sell stock in a short time frame after being contributed is a red flag, particularly in context of Aerojet's audit chair resigning, its COO entering into a retention agreement, and IRS and California tax audits being disclosed shortly thereafter. (2,3,4) The trust is not registered with the SEC and can sell stock in a non-transparent manner.",
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      "kind": "paragraph",
      "text": "Item 8.01 Other Events. On September 10, 2018, Aerojet Rocketdyne Holdings, Inc. (the “Company”) made a discretionary contribution of 2,733,812 treasury shares of its common stock to the Aerojet Rocketdyne Master Retirement Trust... The Company currently anticipates the independent fiduciary will dispose of the contributed shares over the next 6 months.",
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      "kind": "paragraph",
      "text": "Holders may convert their 2¼% Notes at their option from January 1, 2019, through March 31, 2019, because the Company's closing stock price exceeded $33.80 for at least 20 days in the 30 day period prior to December 31, 2018.",
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      "kind": "quote",
      "text": "The Company currently anticipates the independent fiduciary will dispose of the contributed shares over the next 6 months. — Aerojet Rocketdyne Holdings, Inc. 8-K",
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      "kind": "title",
      "text": "6.7 Million Reasons To Sell: Catalysts Overhanging AJRD Share Price",
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