Steel Partners files proxy statement for election of two nominees to EnPro board

By Lisa Kerner

Charlotte, N.C., March 27 - EnPro Industries, Inc. investor Steel Partners II, LP filed a definitive proxy statement with the Securities and Exchange Commission in connection with the election of Steel Partners' candidates, Don DeFosset and Delyle Bloomquist, to EnPro's board of directors at the annual meeting on April 30.

Steel Partners reported the filing of the proxy statement in a schedule 13D filing with the SEC.

It was previously reported that EnPro asked its shareholders to support the company's nominees for election to the board after Steel Partners nominated DeFosset, Bloomquist, James R. Henderson, John J. Quicke and Kevin C. King.

The investor has been critical of EnPro's management of its balance sheet and allocation of capital. As a result, Steel Partners recommended that EnPro pursue a public recapitalization at $30 a share or explore all strategic alternatives, a prior news release said.

EnPro said Steel Partners' suggestions were not in the best interests of the company or its shareholders.

The company maintained that its $100 million share repurchase program "strikes an appropriate balance between returning cash to EnPro shareholders and maintaining the flexibility we require to pursue our objectives for growth."

EnPro also disagreed with Steel Partners' claim that a sale of the company would maximize shareholder value.

Steel Partners, with an 11.1% ownership interest, said it was disappointed in EnPro's failure to take necessary steps to enhance shareholder value as well as its failure to adequately respond to the investor's value-enhancement proposals.

EnPro makes sealing products, bearings, compressors and engines and is based in Charlotte, N.C.

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