Bandag Adopts Shareholder Rights Plan

(Akron/Tire Review) Bandag Inc.’s board of directors adopted a shareholder rights plan ”designed to enable shareholders to realize the full long-term value of their investment and to provide for fair and equal treatment for all shareholders in the event that an unsolicited attempt is made to acquire the company,” Bandag said.

The new plan includes the declaration of a dividend of one common share purchase right for each outstanding share of common stock and each outstanding share of Class B common stock and one Class A common share purchase right for each outstanding share of Class A common stock.

Bandag officials said adoption of the plan was not done in response to “any known offers for the company.” The board said that it “continues to believe the leadership of the Carver family is an important factor in the company’s long-term earnings growth and success.