Report: Hedge Fund Urges More Action at Wausau Paper

The CEO of Starboard, Jeffrey Smith, was highly critical of the company in a 10-page letter to Wausau's board of directors. Smith accused Wausau's executives with wasting millions of dollars in recent years to salvage aspects of the business that he deemed were destined to fail, the paper said.

“Despite substantial losses in its paper businesses going back as far as the year 2000, as well as years of criticism from shareholders and research analysts, Wausau (Paper) continued to blindly follow its flawed strategy and showed a complete lack of urgency to make substantive changes,” Smith wrote, according to the Journal.