Speak Out, Margaret!
Those in the know, namely some pretty big institutional investors, have called the addition of Margaret Hayne to Urban Outfitter’s board “cynical” “bogus” and a “calculated insult" to investors who have supported shareholder resolutions against Urban's all male board.
Ms. Hayne, the wife of Urban's CEO Richard Hayne, is president of the company's Free People brand and is Urban Outfitter's second largest shareholder, outside of her husband. A smart businesswoman she's qualified to serve on lots of boards, but not on this one, shareholder activists say.
And while there's reason to believe that Mr. Hayne put his wife on the board to silence his critics, maybe he's provided us with an opportunity.
When Mark Zuckerberg put Sheryl Sandberg on Facebook's board he got a lot of flack because Sheryl was an insider. But soon after Sandberg's appointment, Facebook added a second woman, Susan Desmond-Hellmann, a Chancellor of the University of California and former president at Genintech. In our lingo, Facebook became a "W" Company.
So, we're reaching out to Margaret Hayne and asking her to speak out; to tell her husband and his cronies that her appointment marks a change; the buck doesn't stop here. The board needs another woman, and maybe a person of color to be more representative of Urban's stakeholders. Ms. Hayne has an opportunity to mend some fences. We hope she's up to the task.