CARNEGIE, Pa.–(BUSINESS WIRE)–Toby Z. Rice and Derek A. Rice (the Rice Team), shareholders of EQT Corporation (NYSE: EQT), today issued the following statement in response to the public letter sent by certain members of EQT’s Board of Directors.
“We are pleased that three long-serving directors who have overseen significant value destruction at EQT will be stepping down. It is disappointing to us that it took substantial time and effort on our part to prompt this positive change. However, we do not believe this reactionary move by the Board is sufficient to achieve the fundamental changes needed at EQT.
As we and other shareholders have been saying for many months, the problem at EQT is that the leadership team lacks the vision, ambition and execution capability to deliver on the promise of EQT’s outstanding assets. Modest Board changes without a leadership team change will not, in our view, put EQT on a path to unlock the true potential of its asset base. The reality is that even if EQT achieves management’s stated 2019 targets, it would remain the highest-cost operator in the Appalachian Basin.
As major shareholders and proven operators, the Rice Team stands ready to deliver on EQT’s stated January 2019 plan plus an incremental $500 million of free cash flow annually. Our track record speaks for itself. We look forward to engaging with our fellow shareholders and describing our operating plan and experience.
We are also disappointed that members of EQT’s Board have disingenuously claimed our campaign is an attempt to further our family’s interests. The Board knows that the Rice Team began this campaign only after several of EQT’s largest shareholders reached out to us, expressing their disappointment with the Company’s performance. The Rice Team has nominated directors and will solicit support because all shareholders deserve a proven management team that can deliver results that reflect the potential of EQT’s world class assets.”
A copy of the Rice Team’s presentation outlining its plan for EQT can be found at www.eqtpathforward.com.