Are You Concerned About the Future of StoneMor? You’re Not Alone.
In the two years since CEO Joe Redling was brought in to turn StoneMor around, the stock price has fallen 80 percent—significantly underperforming the market and key peers in the death care industry even prior to the pandemic. It has been 11 years since StoneMor last reported a profit, and 2019’s loss of $3.84 per share was the worst result yet.
Still, even as the company scrambles to implement drastic cost cuts –selling off key assets, cutting jobs and outsourcing core operations—StoneMor’s executive team continues to receive generous payouts. For the past year, CEO Redling was paid $3.3 million; his voluntary decision to give up 50 percent of his base salary for 10 weeks amounts to less than two percent of this total. Meanwhile, other executives have received generous severance packages or consulting gigs.
Now with the stock price below a dollar and the company on the verge of being delisted, StoneMor’s Chairman of the Board Andrew Axelrod and his hedge fund is making a move to buy out long-term shareholders for pennies on the dollar.
And while the top brass looks to cash out, who is looking out for you? Who is looking to ensure that StoneMor can provide the quality services families expect at their time of grief?
If you are concerned for your future or the future of StoneMor, don’t hesitate to reach out. To learn more, contact [email protected]—all contact information will be kept confidential.