ADP Comments on Letter From Pershing Square and Previous Meeting With ADP Board - Seite 3

Pershing Square's Approach Could Put ADP's Business at Risk.
"The ADP Board is concerned by Pershing Square's claim that ADP can increase its operating margins by an extreme 1,600 basis points from ADP's already strong and increasing margins. This could do serious harm to our client relationships, disrupt mission-critical technologies, and put ADP's client retention -- and by extension the ADP business model -- at significant risk. Furthermore, Pershing Square has provided no clear roadmap on how it intends to accomplish the massive margin improvement it has targeted; if Pershing Square's vague and risky 'plan' for ADP fails, it can simply walk away, while our clients, shareholders, and associates are left to deal with the consequences."

"Ahead of our Annual Meeting of Stockholders on November 7, 2017, we look forward to discussing our business with all of our investors. As always, we are committed to delivering sustainable value to ADP shareholders."

Morgan Stanley & Co. and Goldman Sachs are acting as financial advisors and Paul, Weiss, Rifkind, Wharton & Garrison LLP is acting as legal advisor to ADP.

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