Fresh From the Golf Course: Chip ‘Checkered Pants’ Wilson Pens Letter to $LULU Shareholders

Get the fuck out of here with this shit. The founder of Lululemon, banned from its offices, Chip ‘checkered pants’ Wilson, penned a letter to shareholders today. The stock is spiking on this news. This stock is so insanely overvalued, for a moat-less business, it’s amazing to see it trading with a 6 handle.

Maybe that’s why I’m a full time blogger and Jeff Macke is the King of Retail (he nailed this years ago at the 1st annual iBC conference in Vegas).

“As many of you know, I founded lululemon and remain its largest shareholder with almost 14.2% of the company’s shares. I asked the Board to allow me 10 minutes to address my fellow shareholders at this year’s annual general meeting. They denied me that opportunity. Had I been given the opportunity, this is what I would have said: I love lululemon and its employees and remain its biggest believer and supporter. No one is more aligned and focused on shareholder value creation. I am confident that with the right management, Board stewardship and capable execution, lululemon can return to greatness and all shareholders will see exponential returns. Unfortunately, lululemon has lost its way and I believe a call to action is needed. I feel strongly that our current Board and management team must clearly articulate and execute a strategy with urgency towards regaining lululemon’s competitive advantage and profitable growth and they must take responsibility.”

Declassify the board: “This Board and management have not created shareholder value in three years. Boards are responsible for choosing the right CEO. This Board needs to be responsive to its shareholders. In that regard, I am asking the Board to act in accordance with 90% of companies in the S&P 500 and declassify the Board.”

“In closing, as a long-term investor in lululemon, I am uncomfortable with the lack of urgency, stewardship and performance of our great company. I have not heard a strategy nor seen actions that lead me to believe we will regain our competitive position and secure long-term returns. This is unacceptable and the Board needs to understand that I — indeed all shareholders — will be watching closely.”