https://investingnews.com/starteepo-sends-letter-to-xerox-board-in-advance-of-third-quarter-earnings/
They sent a letter to the board:
As we have made clear in our discussions with management and in our public communications, we expect Xerox to use its upcoming third-quarter results announcement on October 29, 2026, to update shareholders regarding certain crucial initiatives.
@ev Share buyback at a higher price. They would get paid and get out all at once/
Wow you can use chat gpt
An Open Letter to Sterteepo:
Subject: Protect Your Capital — Liquidate Your XRX Position Before Webster’s Failures Become Irreversible
To the Investment Leadership at Sterteepo,
We write this urgent open letter with the utmost seriousness. As a major stakeholder in Xerox Holdings Corporation (NASDAQ: XRX), your position is facing immediate, catastrophic erosion rooted not in broader market headwinds, but in severe executive deception and operational sabotage inside the Webster, New York campus.
You are being fed a curated fairy tale by corporate leadership, directly manufactured by the Site Manager, TA. If you value your fiduciary duty and your invested capital, you must cut your losses and sell your position before the next earnings cycle strips away whatever floor remains.
1. TA Is Not an Operator — TA Is Selling You Pure Fiction
The narrative coming out of Webster is that the site is pivoting, streamlining, and modernizing. This is an outright lie.
TA has managed to keep executive leadership and major investors completely blind to the operational realities on the manufacturing floor. While reports sent up the chain to the C-suite boast of lean efficiencies and cutting-edge forward momentum, the reality on the ground is a compounding technical deficit led by someone who has repeatedly proven incapable of understanding commercial print hardware. TA's internal roadmap is built on misdirection, shifting goalposts, and hiding critical hardware bottlenecks from executive audits.
2. The Execution of the Cash Cow: Axing iGen
No single decision illustrates this destructive incompetence better than the gutting of the iGen platform.
For years, iGen was the reliable backbone of high-volume digital production. It generated high-margin consumables revenue, maintained sticky institutional accounts, and kept long-term service contracts intact. Slashing the iGen portfolio without an equally robust, competitive successor was not strategic discipline—it was pure vandalism. Instead of preserving and refining the revenue engine that funded day-to-day operations, TA ki-led it off, leaving an unfillable hole in the production print balance sheet.
3. Funding Ancient History: The Print-Head Fiasco
Worse than ki-ling a proven product is what TA convinced the CEO to replace it with.
Through aggressive internal politicking, TA managed to secure tens of millions in capital expenditure to double down on print-head technology that is at least three generations behind the industry standard.
We have seen this script play out already, with catastrophic consequences:
Brenva: Rushed to the commercial cut-sheet inkjet market with outdated architecture, resulting in systemic field issues and immediate customer churn.
Baltoro: Promoted as the salvation of Xerox production inkjet, yet fundamentally crippled by the same obsolete, uncompetitive drop-on-demand core that could not match the speeds, resolutions, or nozzle redundancy of competitors like Ricoh, Canon, and HP.
Instead of pivoting to contemporary, field-proven piezoelectric architectures or next-gen silicon MEMS, TA went back to the corner office and sold the CEO on sinking even more precious capital into hardware designs that were obsolete five years ago. Competing vendors are taking market share at will because Xerox’s commercial cut-sheet print engines are fundamentally non-competitive from an engineering standpoint.
4. The Inevitable Reckoning
You cannot paper over hardware reality forever.
When you strip away high-margin legacies (iGen), sink non-recoverable R&D into outdated hardware architectures, and mask the fallout with fabricated progress reports from the Webster site, the cliff arrives fast:
Service contract cancellations will accelerate as aging tech fails to meet service-level agreements.
Commercial customers are refusing to buy into platforms that repeat the Baltoro/Brenva failures.
Capital that should be servicing debt or funding genuine innovation is permanently trapped in an obsolete tooling dead-end.
TA has deceived the CEO. The CEO is unwittingly deceiving the street. And institutional holders like Sterteepo are left holding the equity risk for a technical strategy that has already failed three times over.
The engineering inside Webster is broken, the product roadmap is built on obsolescence, and the leadership running the site is actively misleading the top floor to protect their own standing.
Do not wait for the inevitable asset write-downs and the next guidance cut. Get out of XRX now, before it’s too late.
@e1 Could be but they must be awful stupid to try to shake down an entity with no money!
@e5 Starteepo doesn't have enough juice to do much.
Starteepo, at this point, might as well re-brand as torpedo.
What is wrong, exactly? Is XFS actually worth something on its own, or is Starteepo not trying shake down XRX and actually want to try and spin this out as a new company?
Oh god, the Good Grief guy still posts on here? Some of the worst takes. Please go back into your mom’s basement. Nobody takes you seriously. Stop trying to sound smarter than you are.
Wrong 👇
Goodwill Guy here!
Ok, you might be thinking this is nonsense, and there is no hidden value with the captive lending arm of a company that is going down the tubes. You are correct.
XFS has no real value on its own, and probably could not survive if it had to deal with non-captive borrowers.
I believe it has nothing to do with "unlocking value" and the real reason, it's somewhere between shareholder activism, and blackmail. So if you read the letter, they are hyping these crazy numbers and pushing hard for transparency about margin, property value, RoE, and other things XRX does not want public in a line item format.
It's a shakedown. I sincerely believe Starteepo wants a negotiated share buyback, and is willing to sign a standstill agreement and non-disparagement to get paid out.
Does this sound d-mb? Yes. Does this sound d-mber than buying $30+ million in shares and trying to save this company? No, it doesn't.
In the end there is a 0% chance this works. XRX lacks the accountability, shame, and spare funds to make this scheme even possible. Starteepo will sell at a loss, or ride this all the way down to CH7/11.
It's kind of funny.
This story has a familiar ring to it.
@OP They should just cut their losses now.
@OP Damn, the must have some good stuff in Prague to think the stock will go over 7.