Bulletin: Samsonite International S.A. Ratings Unaffected By Company's Clarification Announcement And Departure Of CEO

SAN FRANCISCO (S&P Global Ratings) June 7, 2018--S&P Global Ratings said today it is taking no rating actions on Samsonite International S.A. following its response to allegations by an activist investor of accounting irregularities and poor governance practices, and the resignation of CEO Ramesh Tainwala. CFO Kyle Gendreau succeeded Mr. Tainwala. We believe that Mr. Tainwala's departure addressed the questions surrounding his academic credentials and the related party transactions associated with his family's businesses. We also believe that Samsonite provided sufficient explanation in response to the activist's allegations. While the company acknowledged one error related to its supplemental footnote disclosure of inventory carried at net realizable value, we do not believe this mistake will have a material impact on its

...SAN FRANCISCO (S&P Global Ratings) June 7, 2018--S&P Global Ratings said today it is taking no rating actions on Samsonite International S.A. following its response to allegations by an activist investor of accounting irregularities and poor governance practices, and the resignation of CEO Ramesh Tainwala. CFO Kyle Gendreau succeeded Mr. Tainwala. We believe that Mr. Tainwala's departure addressed the questions surrounding his academic credentials and the related party transactions associated with his family's businesses. We also believe that Samsonite provided sufficient explanation in response to the activist's allegations. While the company acknowledged one error related to its supplemental footnote disclosure of inventory carried at net realizable value, we do not believe this mistake will have a material impact on its operating results. The company has maintained clean audit opinions as well. We believe Samsonite retains a solid business with continued good growth prospects and strong...

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