BRADENTON, Fla., Nov. 18, 2013 /PRNewswire/ -- (NASDAQ:
"DGICA" and "DGICB") – Gregory M.
Shepard today submitted a shareholder proposal to Donegal
Group Inc. ("DGI") urging shareholders to approve a resolution
requesting DGI's Board, as soon as practicable, to take the
necessary steps to adopt a recapitalization plan that would provide
for all of DGI's outstanding stock to have one vote per
share.
DGI currently has dual-class voting, in which DGI's Class A
common stock has 1/10th of a vote per share and its
Class B common stock has 1 vote per share. As of November 1, 2013, DGI had 20,681,588 outstanding
Class A shares, with 2,068,158 total votes, and 5,576,775
outstanding Class B shares, with 5,576,775 total votes, according
to DGI's Quarterly Report on Form 10-Q filed on November 7, 2013.
Mr. Shepard submitted his shareholder proposal to DGI under Rule
14a-8 of the Securities Exchange Act of 1934, as amended. Mr.
Shepard is seeking to include his shareholder proposal and its
supporting statement in DGI's proxy statement for a vote of the DGI
shareholders at DGI's 2014 Annual Meeting of Shareholders.
The text of Mr. Shepard's shareholder proposal and its
supporting statement were filed today with the U.S. Securities and
Exchange Commission as Exhibit 99.1 to Amendment 21 to Mr.
Shepard's Statement of Beneficial Ownership on Schedule 13D, which
is available at www.sec.gov.
This press release is not intended to and does not constitute
(i) a solicitation of a proxy, consent or authorization for or any
special meeting of DGI's stockholders or (ii) a solicitation of a
consent or authorization in the absence of any such meeting.
SOURCE Gregory M. Shepard