Shareholders to decide Stillwater Mining's fate


POSTED: 7:45 AM May 02 2013

Shareholders in Montana's largest publicly-owned company are scheduled to gather in Nye Thursday to decide whether dissident investors including former Gov. Brian Schweitzer should take control of Stillwater Mining.
Schweitzer and the Clinton Group, a New York hedge fund, charge that mismanagement by board members and Chief Executive Officer Frank McAllister has put more than 1,600 Stillwater jobs at risk.
McAllister counters that Schweitzer's group wants to take over Stillwater on the cheap as the company is poised to expand production at its Montana platinum and palladium mines. The Clinton group controls roughly 1 percent of Stillwater stock.
Analyst John Bridges with J.P. Morgan says the best outcome for shareholders would be a compromise that retains at least some current board members given their knowledge of precious metals mining.