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  "documentTitle": "Hestia Pitney Bowes Presentation April 2023",
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  "notes": "Uses strong language ('destroying the profitability') to frame management's strategic failure.",
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      "text": "The Company's inability to depart from the failed GEC growth strategy has led to sustained underinvestment in core parts of the business – ultimately driving a drop in profitability.",
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      "text": "The following slide details the significant GEC business segment investment and its disappointing results.",
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      "text": "Since 2015, when Mr. Lautenbach and other long-serving directors began their GEC growth strategy, GEC has consumed approximately $775 million in cash on the acquisition of Borderfree and Newgistics, net of proceeds from the subsequent sale of Borderfree.",
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      "text": "This move almost certainly would have allowed the Company to maintain its investment grade rating and better reward stockholders for their investment.",
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      "text": "We estimate that the segment has consumed over $300 million in free cash flow.",
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      "text": "The cash that has been invested in destroying the profitability of the GEC business could have been used to pay down roughly half of the Company’s outstanding debt or invest in other core parts of the business.",
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      "text": "Despite this roughly $1.1 billion investment, GEC generated its largest ever EBIT loss of over $100 million in 2022, compared to EBIT profit of $5 million in 2015.",
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      "text": "Source: PBI Quarterly Earnings Release transcripts; PBI 10-K filings, 2015-2022.",
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      "text": "Strategic Missteps & Capital Allocation Mistakes: Global Ecommerce (Overinvestment of Capital)",
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