Procter & Gamble Directors Not Happy with CEO Performance

Shareholders of packaged goods provider Procter & Gamble

are said to be underwhelmed with the performance of current CEO Robert McDonald. According to

, investors are putting the Procter & Gamble directors under increasing pressure to have a good look at McDonald's performance after the CEO reduced the company's profit forecast three times this year. The intense scrutiny aimed at McDonald comes days after investor Bill Ackman purchased what he referred to as his biggest initial stake ever. On Friday,

commented that, "Only time will tell what Ackman is angling to do with his investment in the maker of Gillette razors, Old Spice body wash and Tide detergent, among other ubiquitous brands. Given Ackman's reputation as an activist investor, chances are [Ackman's firm] Pershing Square is not going to be treating Procter & Gamble as a long-term investment the way so many investors have, including Warren Buffett's Berkshire Hathaway

BRK-B). Ousting McDonald would likely be the more rewarding scenario for Ackman and anyone else that owns shares of Proctor & Gamble because the company has already engaged in multiple spin offs and still sees its shares lag some of its marquee rivals." Whether Ackman is deliberately setting out to "oust" McDonald remains to be seen, but he will intensify the pressure on the CEO. Ackman isn't the only man unhappy with McDonald. James McNerney, Chairman of the Board's Compensation and Leadership Development Committee, has also told the board that he is unhappy with the CEO's performance. The official line from Procter & Gamble is that, "We will not comment on wild rumor and speculation," as spokesman Paul Fox told Bloomberg. "We are very focused on returning to growth.” Ackman will want to evaluate whether Procter & Gamble can return to growth while McDonald is in charge. As of writing, Procter & Gamble is trading below $65, down roughly 0.4 percent.