(KNZA)--Concerns regarding the operations of Atchison's MGP Ingredients, and a call for the resignation of the CEO. That is the key to a filing made with the United States Securities and Exchange Commission, filed by Cray Family Management LLC, comprised of family members of the original founders of the company. That includes current board members Karen Seaberg and her father, Cloud L. “Bud” Cray, Junior, along with Seaberg's husband, Ladd, who formerly served as head of the company. The company is currently headed by President and CEO Tim Newkirk, who was named to the top seat in 2006. The SEC filing states that Cray Family Management has had growing concerns with the lack of profitable growth, deterioration in the corporate culture, efforts to sell certain parts of the Company's business, efforts to amend bylaws that would limit acountability to shareholders and increase the power of the CEO, and the level of compensation paid to the Chairman of the board of directors and the CEO. The document states that Cray Family Management has become proactive in seeking to change the composition of the board of directors and management, along with influencing the board of directors and officers to improve business and financial performance, and ensure accountability to shareholders. The SEC filing further states that Cray Family Management is seeking the removal of the CEO and requesting his resignation as a director, along with the resignation of any other directors from the board not supportive of the goals listed in the filing. The company, in a press release, addresses the recent lack of a quorum during the planned May 23rd annual stockholder's meeting due to a lack of preferred stockholders in attendance. Those stockholders include members of Cray Family Management LLC; and, without their attendance the meeting could not happen. According to the release, MGP's Board of Directors is “assessing the impasse resulting from the preferred stockholder's refusal to be present at the annual meeting.” The company's stock is comprised of common stock and preferred stock, with the separation put in place when MGP Ingredients went public in the 1980's as a way to protect the company. Meanwhile, in a separate news release posted on the company's website, the Board of Directors has authorized a review of strategic alternatives, establishing a special committee of six independent directors to conduct the review. The review, according to the news release, will allow the company to explore options that may accelerate the realization of value for the benefit of its stockholders. According to statistics obtained from the City of Atchison, MGP Ingredients is the fifth largest employer in Atchison County, with the latest available figures listing 187 employees.
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