Francis Capital supports Ziegelman's appointment to Meadow Valley board

By Lisa Kerner

Charlotte, N.C., Nov. 8 - John P. Francis of Francis Capital Management, LLC urged Meadow Valley Corp.'s board of directors to immediately appoint John D. Ziegelman of CD Capital Management LLC to the board to oversee a sale of the company.

Francis made the request in a Nov. 8 letter to the board that was included in a news release.

According to Francis, Ziegelman's appointment will "likely ensure that an effective auction is set up and the highest value is obtained for the company."

The investor cautioned that if the request is denied, "Meadow Valley's owners will be forced to infer that the board is not interested in maximizing the value of the company's common shares."

In closing, Francis cautioned that "any 'deflate and accumulate' strategy will not be tolerated and all legal measures against the board will be evaluated to protect the company's owners against any such possibility."

As previously reported, Meadow Valley shareholder Hoak Public Equities, LP expressed support for the issues raised by fellow shareholder CD Capital Management and asked the board to appoint a "significant outside shareholder" to the special committee and recommended Ziegelman.

CD Capital believes the Phoenix construction materials company should immediately be put up for sale to maximize long-term shareholder value at $17 to $19 per share.

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