Kanders pushes to become Federal Signal CEO

By Lisa Kerner

Charlotte, N.C., July 17 - Federal Signal Corp. shareholder Warren B. Kanders will meet with chairman James C. Janning to discuss Kanders' candidacy for the chief executive officer position during the week following Federal Signal's second-quarter earnings release on July 25.

Kanders said that under Janning's nine-year stewardship, Federal Signal endured CEO turnover, declining sales and profitability, a crisis in employee morale and underperformance of its shares relative to its peers, according to a schedule 13D filed with the Securities and Exchange Commission.

In addition, Kanders expressed disappointment in the sale of E-One to American Industrial Partners for $20 million.

Kanders believes other credible parties potentially interested in purchasing E-One were excluded from the bidding process.

It was previously reported that the recent downgrade of Federal Signal to underperform by BMO Capital Markets Corp. gives the company's board more reason "to carefully consider its selection of the next chief executive officer," Kanders said.

On June, 30 Kanders announced his interest in becoming Federal Signal's CEO. Jim Goodwin is Federal Signal's interim president and CEO.

Kanders, a 5.7% shareholder, is the former CEO and chairman of the board of Armor Holdings, Inc.

Federal Signal is an Oak Brook, Ill.-based company focused on security technology and industrial tooling.

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