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Starboard Believes Considerable Change To Newell' Board And Leadership Required

Starboard Value said it continues to believe that Newell Brands Inc. (NWL) is substantially undervalued and that significant opportunities exist to create substantial shareholder value. Starboard believed that considerable change to the composition of Newell's Board of Directors and leadership is required. Since its involvement, eight of the eleven Board members will be new, including a new Chairman, Starboard said.

Starboard Value LP, which beneficially owns about 4.5% of the Company's outstanding shares, said that it believes that asset sales, if executed properly, can create substantial value at Newell. Given that Newell intends to now explore asset sales for approximately half of the Company, Starboard believe that the most prudent course of action is for the Company to work with its financial advisor to evaluate a comprehensive set of strategic alternatives for all of the businesses. Only following this thorough analysis can Newell prudently determine which assets may realize the greatest after-tax value, and decide which assets, if any, the Company should continue to operate.

Based on research, Starboard said it is confident that there is an opportunity to improve operating income by approximately $500 million to $800 million based on actions that should be within management's control. Starboard believes it is important that, in addition to exploring strategic alternatives for all of the businesses, the new Board be equally and simultaneously focused on the operational improvements available to the Company. Asset sales on their own are not a panacea for operational issues.

Starboard noted that it intends to closely monitor the situation, and will be reserving rights as to the election contest. Should it decides to move forward, Starboard would reduce slate to a minority of the Board. Given the new circumstances, and in consultation with Mariposa Associates, LLC, Ian Ashken, Domenico De Sole, Martin Franklin, and James Lillie are collectively withdrawing their names from nomination as they now plan to pursue other opportunities.

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