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Southeastern Asset Management Issues Open Letter Calling on Mattel to Explore Strategic Alternatives
MEMPHIS, Tenn., May 07, 2026--Southeastern Asset Management, Inc. ("Southeastern") today issued an open letter to the board of directors and shareholders of Mattel, Inc. (NASDAQ: MAT) ("Mattel" or the "Company"), calling on the Company to explore strategic alternatives. The full text of the letter is below.
About this update from Mattel, Inc.
MEMPHIS, Tenn., May 07, 2026--(BUSINESS WIRE)--Southeastern Asset Management, Inc. ("Southeastern") today issued an open letter to the board of directors and shareholders of Mattel, Inc. (NASDAQ: MAT) ("Mattel" or the "Company"), calling on the Company to explore strategic alternatives. The full text of the letter is below. May 7, 2026 Board of Directors and Shareholders of Mattel, Inc.c/o Secretary, TWR 15-1Mattel, Inc.333 Continental BoulevardEl Segundo, CA 90245-5012VIA Email, FedEx and Press Release Open Letter to the Board and Shareholders of Mattel, Inc. Southeastern Asset Management, Inc. manages on behalf of its clients over 4% of Mattel’s common stock. We are sharing this letter with the Board and other shareholders as a continuation of a conversation we began with CEO Ynon Kreiz in mid-March, when we sent him the following: Ynon, As you know, Southeastern has been a supportive Mattel investor for over eight years. We are grateful for your leadership that stabilized the business during a difficult period. We believe Mattel now has a solid balance sheet and a strong set of brands that should grow free cash flow per share in aggregate beyond 2026. However, after more thought since our last meeting, we believe that now is the time for the Company to explore strategic alternatives. We believe there are at least three groups of buyers of Mattel that would be better owners to realize long-term value: These three categories are not mutually exclusive: a toy company might not want to make movies or a media company might not want to make toys, all while certain private equity buyers might only want certain parts of Mattel. There are creative solutions to maximize value for shareholders if Mattel actively explores the landscape. We worry that your current compensation package incentivizes waiting too long for a stock price over $30. We see a value per share today approaching $30, but we do not want to wait longer for that to be realized. We would prefer you lead the effort to explore strategic alternatives given your industry knowledge and relationships. Sincerely, Southeastern Asset Management, Inc. This is NOT a solicitation of authority to vote your proxy.Please DO NOT send us your proxy card as it will not be accepted by Southeastern. About Southeastern Asset Management, Inc. Southeastern is a 100% employee-owned, global i...