CommonWealth REIT comments on arbitration panel rulings

CommonWealth REIT announced that the Arbitration Panel considering various motions by Corvex Management and Related Fund Management has issued an order on motions by Corvex-Related to remove CWH's trustees without cause. The motions by Corvex-Related raised several legal issues. Corvex, Related sought an order that its purported consent solicitation was proper and that CWH should convene a special meeting of shareholders to elect new trustees. The Arbitration Panel denied these motions and set an evidentiary hearing for further consideration of all matters in the disputes between Corvex-Related and CWH to begin on October 7. CWH's bylaws provide that the combination of shareholders who may request a record date for a consent solicitation to remove trustees must have held at least 3% of CWH's common shares for at least three years. Corvex-Related first acquired shares of CWH in January and requested a record date for a consent solicitation in April.