>Date: Wed, 20 May 1998 18:57:21 -0800
>To: Headwaters Forest Coordinating Council <HFCC@lists.sanmateo.org>
>From: Mark Bult <email@example.com>
>Subject: Today's Maxxam shareholders mtg.
>X-MIME-Autoconverted: from 8bit to quoted-printable by proxy4.ba.best.com
> id SAA28448
>Reply-To: "Headwaters Forest Coordinating Committee"
>List-Software: LetterRip Pro 3.0.2b1 by Fog City Software, Inc.
>MAXXAM Annual Meeting of Shareholders
> Wednesday, May 20, 1998 12:11 PM
> HOUSTON--(BUSINESS WIRE)--May 20, 1998--MAXXAM Inc. (ASE:MXM) held its
> annual meeting today for the purpose of voting on the election of
> directors, on a proposal to reapprove and amend an existing executive
> bonus plan, and on two proposals submitted by dissident stockholder
> groups. The directors were elected, the bonus plan as amended was
> reapproved, and the two stockholder proposals were soundly defeated.
> Holders of Common Stock and Preferred Stock, voting together as a single
> class, elected company President Paul N. Schwartz as a director for a
> term that runs until the 2001 annual meeting, approved the proposal
> relating to the executive bonus plan, and rejected two stockholder
> proposals that were opposed by the board.
> Two other directors, Stanley D. Rosenberg and Robert J. Cruikshank, were
> re-elected to the MAXXAM board by holders of the company's Common Stock
> to serve until MAXXAM's 1999 annual meeting or until their successors are
> elected and qualified. Continuing in office as directors are Charles E.
> Hurwitz, MAXXAM's chairman of the board and chief executive officer, and
> Mr. Ezra G. Levin. Mr. Hurwitz was elected to a three-year term in 1996
> and Mr. Levin was elected to a three-year term in 1997.
> One of the stockholder proposals that was defeated called for directors
> to be elected annually. At present, not less than two directors are
> elected annually by common stockholders. The remaining directors (three,
> at present) are elected in successive years to staggered three-year
> terms. The board believes that the current structure strikes the correct
> balance by combining flexibility and accountability with continuity and
> The second stockholder proposal that was defeated called for MAXXAM to
> prepare a report on strategies for ending "all operations that cut,
> damage, remove, mill or otherwise involve old-growth trees." The board
> opposed this proposal (1) because it believes the officers, directors,
> and management of the company are better positioned and qualified to
> direct the manner in which these assets are best used and managed; (2)
> because it believes the company's forest management policies support
> sustainable forestry, are scientifically based, and are environmentally
> sound; (3) because premium upper grade wood products are the company's
> most valuable product line; and (4) because the board and company have
> taken significant steps, through the Headwaters Agreement, to
> constructively resolve the issues surrounding its old growth timberlands
> in a fiscally sound manner.
> While the margin on all of the above was overwhelming, the precise vote
> counts will be determined once the independent inspector of election is
> able to complete the tabulation and certify the results within the next
> few days.
> Commenting on MAXXAM's financial results, Mr. Hurwitz said, "1997 was a
> good year. Aluminum operations rebounded strongly, forest products
> operations were strong, and the real estate and other segment posted
> important gains."
> MAXXAM operates primarily in three industries: aluminum, forest products
> and real estate.
> CONTACT: MAXXAM Inc., Houston
> Robert W. Irelan, 713/267-3722
> Quote for referenced ticker symbols: MXM
> © 1998, Business Wire
David M. Walsh
P.O. Box 903
Redway, CA 95560
Office and Fax(707) 923-3015
Home (707) 986-1644
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