ShopHQ’s Dissident Shareholders Blast Management

ShopHQ’s dissident shareholder group lobbed back its response to the No. 3 home shopping network Wednesday, and it was doozy.

The company’s “strategy is old and lacks innovation,” was one of the charges, and the network’s location in Minnesota makes business difficult for merchants and vendors, according to the complainers.

It makes for juicy reading, if you want to take a gander yourself.

For those not in the know, The Clinton Group is trying to oust ShopHQ’s current management, including CEO Keith Stewart, and this battle will come to a head at a March 14 shareholder meeting.

In a filing with the Securities and Exchange Commission Wednesday, The Clinton Group says that ShopHQ’s plan was to increase sales convincing customers to spend more money by improving the merchandise and changing the product mix, and by increasing the number of homes that buy products.

But the dissident group claims that ShopHQ has only modestly changed its product mix and that the number of homes buying goods is flat.

The Clinton Group also hoists Stewart by his own petard by listing a series of quotes from him about how great ShopHQ is doing, when things really haven’t been going so well.


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11 Responses to “ShopHQ’s Dissident Shareholders Blast Management”

  1. Abigail Says:

    That was indeed a juicy read, and, two things that jumped out at me, the giving of temperature that it was -37, well, Chicago is just as cold and its a major city, so, not sure what that has to do with anything not that I would live in either. The most startling thing was that most of management lives 1000 miles away, that makes not one bit of sense and to me shows they just want a check.

    And my favorite, the repeats they show nightly, too bad they didn’t go off on the bad hosts and models!

  2. Claire Says:

    You can tell by the elementary analysis done by Clinton that they really have no better plan for the company. Clearly not with this slate of directors. Could the present group had executed better, probably, but I suspect if they weren’t there, Shop would have been no more. They are an intelligent group of executives many who QVC probably wishes they had back.

  3. Mike Says:

    Things are not as they seem at ShopHQ

  4. Aiden Michael Says:

    Pretty sure that the “frequent flyer” management was let go and they didn’t leave QVC to go to MN willingly, which explains their long commute. ShopHQ is a tired, and repetitive bottom tier channel. They are so far out of touch with consumer wants. They have the distribution, but they clearly don’t offer what consumers want. A network can’t survive on watches, and tired HSN/QVC failed brands. This new team could really make them a player in the business.

  5. Concerned Says:

    I am commenting in regards to what I view as an oppressive and abusive work environment at ShopHQ. I believe that because of the Clinton Groups efforts to take over the company some of the questionable practises of this executive team have already come to light. I am hopeful that someone will be willing to look closer at how employees are treated as well as question some of Keith’s business decisions regarding merchandise.

    While I hesitate to name names of employees (for fear of retribution) I will give an example of this teams unprofessional behavior. At a company meeting one of the employees attending had just returned from having a stroke. He was still recovering and had to wear dark glasses. He was singled out by Keith Stewart in the presence of his co-worker’s with the words “Who do you think you are? F—— Stevie Wonder?” This is only one example – there are others. It seems the “F” word with this executive team is in constant use. It is unfortunate that it is often used to disparage employees.

    Jean Sabatier is a major source of employee stress in the company. I am hoping someone will look into the rumors of lawsuits as it relates to this issue. If one of the board members would just go to human resources and ask about the turnover rate of employees from his department it would tell it’s own story. For some reason Keith is giving this man free rein so Jean touches many departments. Some of us have complained about his treatment to human resources. It has fallen on deaf ears.

    The pressure of achieving 4th quarter sales this year is overwhelming. It seems that the management team is even more panicked than usual and their aggressive and seemingly illogical decisions are forcing some valuable employees to think about leaving the network.

    There is so much more that needs to be told. I hope that others will come forward – even anonymously – as I am. I think that the Clinton Group has it right. Keith Stewart needs to step down.

  6. AprilD Says:

    ShopHQ is the home shopping channel I mostly shop with since last year. They have greatly expanded their selection of clothing and shoes and brought in some premier brands like Emu. Their shipping costs are also much more reasonable than the others and frequently have free shipping with their proprietary card. I could do without the 6 hours of reruns which I do not watch. They have also stopped constantly selling those Invicta watches. At one point they were always on. How many watches can one person want. I think they have improved their product mix. I have hardly purchased from HSN or QVC the past 12 months. Their quality has is totally gone.

  7. John Says:

    Concerned… I would like more details, I have substantial shares in this company and I think the management team has done a decent job. I can’t tolerate abusive management although and it would make me inclined to vote my shares for a change

  8. Angela Says:

    John: KS is a loser and a creep. Period. A CEO who calls out an employee in front of the whole company and asks him “What’s with the f—king glasses, who are you…Steve Wonder?” should be fired. I was there. He didn’t bother to realize the employee had just had a stroke and not only didn’t he apologize but HR (Kelly T) tells the guy if he wants to keep his job that he has to buy some funny glasses at a gag store and wear them to next meeting so everyone would believe it was ‘just a joke’. Everyone knows this insane story. And there’s way more where that came from. Except for Jean S., another very creepy guy, you won’t find many FOKS, except him and the other fired qvc losers. The big joke at the company is if you want to have a meeting with senior management go to the airport on Thursday afternoon and meet most of them flying back home to Philly. Some like Bob A are almost completely MIA. You say John: “a decent job”? Name 5 newly launched successful brands they have created. Exclude the ones that were booted off Q or H.

    Everyone is petrified to lose their jobs because of him. Some already have or quit in disgust. A whole bunch of us who have been here long before KS and crew arrived wish someone would pry below the surface. Clinton….Obama. Anybody!!!!!

  9. john Says:

    Gee KS has a high school degree, you think he would have had better managerial skills….but I have news for you the clowns that Clinton has provide wouldn’t be any better, some are Q “losers” also.

  10. Johanna Wrede Says:

    Sad to see things haven’t changed. As a former employee of QVC I can only confirm “Concerned” comments regarding Jean S. The guy obviously has a short man’s “Napoleon complex” and shouldn’t be in any managerial position whatsoever. He was verbally abusive back then and doesn’t seem to be able to act like a normal, decent human being.

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