DOJ Trial to Block PRH/S&S Merger Begins; Evidence Dispute Looms

The dispute involves PRH's claims that its acquisition of Simon & Schuster would create "cognizable merger-specific efficiencies." But according to court filings, PRH's expert witness, Edward Snyder, conceded in his testimony he did not seek to independently verify the numbers he used in forming his opinion on such efficiencies, which were drawn from a report by PRH's head of global mergers Manuel Sansigre, and PRH U.S. president and COO Nihar Malaviya. DOJ lawyers argue that the law requires data used by expert witnesses be verified. And because Snyder did not verify the numbers, the government is seeking to bar parts of Snyder's testimony "in order to facilitate a motion...seeking judgment as a matter of law on the issue of efficiencies."