Stewart Enterprises considers alternatives after Service Corp. increases offer

By Angela McDaniels

Tacoma, Wash., July 23 - Stewart Enterprises, Inc. said it will form a committee of independent directors to evaluate alternatives available to the company to maximize shareholder value.

The board of directors approved the plan at a meeting called to consider the latest offer from Service Corp. International, according to a company news release. On July 22, Service Corp. increased its offer to purchase the company to $11.00 per share.

The members of the committee are Alden McDonald Jr., James McFarland, Ronald Patron, Michael Read and Ashton Ryan Jr. The board gave the committee authorization to hire an investment banker or other advisers.

On July 14, Service Corp. said it would honor Stewart Enterprises' decision to reject the $9.50-per-share offer made for the company on June 25.

Stewart Enterprises, in rejecting the initial offer, said it was not in the best interest of shareholders and called the proposal "inadequate."

Service Corp. International and Stewart Enterprises both provide funeral and cemetery products and services. Stewart Enterprises is located in Jefferson, La., and Service Corp. is based in Houston.

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