#USA #Buffalo #Servotronics #Beaver Hollow Wellness #Proxy Battle

Beaver Hollow Wellness Takes a Stand Against Servotronics

In a bold statement issued on April 23, 2025, Beaver Hollow Wellness, LLC (BHW) has taken a decisive stance against Servotronics, Inc. (NASDAQ: SVT), amidst escalating concerns regarding the company’s board operations and their recent proxy tactics. As the largest active shareholder of Servotronics, BHW is raising alarms about the board's attempts to protect its own financial interests at the expense of shareholders.

An Overview of the Proxy Battle

Servotronics has recently filed an amended proxy statement, which BHW describes as a reflection of a board that is under pressure and potentially disconnected from its shareholders. Paul L. Snyder III, Chairman of BHW, emphasizes that the board's new language surrounding 'change of control' compensation is particularly worrying, suggesting that the focus has shifted away from creating value for investors towards safeguarding executive bonuses.

The proxy statement indicates that if a majority of directors are replaced, it could trigger hefty financial compensations for top executives, something Snyder considers an outrageous tactic used to intimidate shareholders.

Self-Serving Motives and Executive Compensation

According to BHW, the new provisions outlined by Servotronics serve primarily to shield board members from accountability while inflating executive payouts. Snyder’s assessment highlights a pervasive system within the board that prioritizes self-serving executive compensations—often referred to as 'Golden Parachutes'—over responsible governance and operational excellence. BHW denounces this practice, advocating instead for a board that is aligned with the interests of its shareholders.

BHW argues that any compensation awarded to executives should not only be fair and transparent but must also be rooted in performance metrics rather than purely a defense against shareholder votes for accountability.

BHW's Vision for Responsible Stewardship

In stark contrast to the current board's strategies, BHW has reiterated its commitment to rebuilding Servotronics. The organization is advocating for sweeping operational improvements including the adoption of lean manufacturing practices, an overhaul of supply chain operations, and a promise of zero-defect delivery. BHW plans to bolster oversight in a manner that prioritizes the interests of shareholders while maintaining operational integrity.

The leadership proposed by BHW includes seasoned professionals with expertise across various fields such as aerospace, finance, and governance—all aimed at steering Servotronics back on track. Snyder emphasizes the importance of experience, independence, and accountability as vital attributes for the nominees put forward by BHW.

A Call to Shareholders

In this ongoing battle for control, BHW is calling on fellow shareholders to reject the fear-based tactics employed by the current board. They urge stakeholders to support their nominees by using the WHITE universal proxy card to vote in favor of a series of proposed changes. BHW has outlined its 'SAVE Servotronics' plan—an initiative that is both constructive and credible, targeting real change within the company.

BHW’s nominees include Paul L. Snyder III, Christine R. Marlow, Michael W. Dolpp, and Charles C. Alfiero, each bringing a wealth of experience and a commitment to restoring shareholder value.

For those interested in learning more about the campaign, additional information is available at SaveServotronics.com.

In summary, Beaver Hollow Wellness is at the forefront of advocating for a much-needed shift in governance at Servotronics. By challenging the existing board's practices, BHW is not only passionate about corporate accountability but is also keen on ensuring that shareholder interests remain paramount. As the proxy battle unfolds, the outcome will undoubtedly carry significant implications for the future of Servotronics and its investors.