American Greetings: Going back to privately held?

5:36 PM, Sep 26, 2012   |    comments
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BROOKLYN -- One of Cleveland's largest and longest running companies announced they're taking it back.

American Greetings told shareholders they're going back to being a privately held company.

WKYC couldn't get into American Greetings today to see how this change would affect employees and everyday production but we did see the letter sent out by company owners, explaining why they're buying back all the stock and keeping it in the family.

In a letter to shareholders, company owners Zev and Jeff Weiss said, in part:

"After careful consideration, we have concluded that the best course of action is for American Greetings to return to its roots."

It's a greeting many shareholders likely welcomed Wednesday morning, when the company offered to buy back stock at $17.18 in cash.

That's about 20 percent above the stock's value Tuesday.

The letter also says this proposal is just that -- a proposal. The company still has to figure out financing to make this happen. At closing time Wednesday on Wall Street, American Greetings' stock was selling at $16.82.

WKYC-TV

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