Press release from Business Wire
Robbins Umeda LLP Announces an Investigation of Cincinnati Bell, Inc.
Friday, July 08, 2011
Robbins Umeda LLP Announces an Investigation of Cincinnati Bell, Inc.09:05 EDT Friday, July 08, 2011 SAN DIEGO (Business Wire) -- Robbins Umeda LLP, a shareholder rights litigation firm, has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by certain officers and directors at Cincinnati Bell, Inc. (NYSE: CBB). Cincinnati Bell operates as a full-service regional provider of data and voice communication services. The company provides service via wireline and wireless networks and is a reseller of information technology and telephone equipment. The company was founded in 1873 and is headquartered in Cincinnati, Ohio. If you own stock in Cincinnati Bell and would like more information about your shareholder rights, please contact attorney Gregory E. Del Gaizo at 800-350-6003 or via the shareholder information form on our website. Robbins Umeda LLP's investigation focuses on whether the directors and officers of Cincinnati Bell harmed the company by breaching their fiduciary duties to shareholders. In particular, Robbins Umeda LLP is investigating the unanimous decision by the board of directors to dramatically increase executive compensation between 54.3% and 80.3% in 2010, despite Cincinnati Bell's poor financial performance during the same period. In 2010, Cincinnati Bell witnessed a loss of $61.8 million in net income and an 18.8% negative annual return for investors. Nevertheless, Cincinnati Bell's board approved a 71.1% increase in compensation for CEO John F. Cassidy, who received $8,562,462 in executive pay from the company in 2010. Additionally, Cincinnati Bell's CFO Gary K. Wojtaszek, and General Counsel for the company Christopher J. Wilson, received compensation increases of 80.3% and 54.3% respectively, in 2010. In addition, the investigation also examines whether the board's decision to approve these executive pay hikes violated its own pay-for-performance policies at the expense of Cincinnati Bell's shareholders. Notably, on May 3, 2011, 66% of the company's shareholders expressed their disapproval for this and other executive pay packages by rejecting the company's 2010 CEO and top executive compensation levels. Robbins Umeda LLP represents individual and institutional shareholders in derivative, direct, and class action lawsuits. The law firm's skilled litigation teams include former federal prosecutors, former defense counsel from top multinational corporate law firms, and career shareholder rights attorneys. For more information, please go to http://www.robbinsumeda.com. Press release link: http://www.robbinsumeda.com/shareholders-rights-blog/cincinnati-bell-inc/ Attorney Advertising. Robbins Umeda LLPGregory E. Del Gaizo, 800-350-6003