Largest Equus Stockholder Group Issues Open Letter MarketWatch (press release)
May 7, 2010
Dear Equus Stockholder,
The Committee to Enhance Equus is collectively the largest stockholder of Equus. Our stake is aligned with that of all Equus stockholders. With the May 12, 2010 annual meeting of stockholders only days away, the Company continues to avoid the real issue at hand:
THE COMMITTEE BELIEVES CORE CHANGE IS NEEDED ON THE EQUUS BOARD AND HERE'S WHY:
-- DISMAL PERFORMANCE: While MCCA was the investment adviser to Equus and until we announced our intention to launch this proxy contest, the stock price of Equus declined 65%*. Kenneth Denos, a current Board member and white card nominee, was President and CEO of MCCA. Denos also nominated the four representatives of Versatile Systems to the Board. Stockholders do not need more of the same failed strategies.
-- SEC INVESTIGATION: The SEC is investigating trades in Equus stock by Versatile Systems, which is represented by four white card nominees. We urge stockholders to ask themselves why the Company did not disclose this important information to them?