PREVIEW-Ackman to tout his Target slate at town hall mtg

* WHAT: Activist investor Ackman holds Town Hall meeting

* WHEN: Monday, May 11

* Ackman to introduce his nominees for Target's board

By Nicole Maestri and Svea Herbst-Bayliss

SAN FRANCISCO/BOSTON, May 8 (Reuters) - William Ackman will
introduce his nominees for Target Corp's (TGT.N) board at a town
hall meeting on Monday, and the activist investor intends to
make the case that his slate can help the retailer create
"greater shareholder value over the long term."

In a regulatory filing with the U.S. Securities and Exchange
Commission on Friday, Ackman, whose hedge fund Pershing Square
Capital Management owns a 7.8 percent stake in Target, filed a
slide presentation providing a taste of what will likely come at
the meeting on Monday.

In a vast auditorium in mid-town Manhattan, the 43-year-old
investor, known for politely but fervently pushing companies to
overhaul the way they do business, is expected to introduce
himself and let the other four nominees do the same.

Ackman insists that this is not his slate of candidates and
the men, who hardly know him, are not running for seats to push
his agenda. Instead, he said in the filing that they would be
fresh faces with real experience in a board room where the
incumbent nominees have served about nine years.

The slides outline the biographies of the candidates, who
include Jim Donald, the former chief executive officer of
Starbucks Corp (SBUX.O), and Richard Vague, the former CEO of
Visa credit card issuer First USA.

They also include comparisons of his candidates with
Target's current board members, and reasons why his nominees are
"better prepared than the incumbent slate to help management
navigate through a challenging economic environment that may
last for several years."

PUSHING FOR CHANGE

The New York-based investor, for whom Target is now his
single biggest investment, has long pushed the Minneapolis-based
retailer to make changes to its business to boost its stock
price, which has fallen roughly 26 percent since April of 2007,
when he began buying its shares.

For years, Ackman publicly praised Target executives while
they ignored many of his suggestions. When management rejected
his proposal that it spin off the land underneath its stores, he
struck back by launching one of this season's most scripted,
high-profile proxy contests.

Monday's Town Hall meeting is meant to be the crowning
highlight in Pershing Square's carefully mapped-out proxy
contest that is steadily gaining stature, top investment
officers at pension funds and others said.

Ackman is contending that Target's board lacks expertise in
three critical areas -- credit cards, real estate and food
retailing -- and he is running a board member to fill each of
those voids.

Ackman will need to convince pension funds, mutual funds and
average investors that this team has more relevant experience to
revive Target's stock price than the company's incumbents. He
has met with some of the company's biggest institutional
investors and plans to crisscross the country to see more up
until the last hours before the final votes are tallied at
Target's annual meeting, May 28.

But Target has staunchly defended its board.

In a letter to shareholders on May 6, Target's CEO Gregg
Steinhafel said its board and management are recognized as among
the best in retail because of their focus on innovation.

"We have created one of the most recognized brands in the
United States through our distinctive marketing campaigns. By
remaining relevant to our guests and delivering on our 'Expect
More. Pay Less.' brand promise, we believe we will continue to
generate substantial shareholder value over time," he stated.

Target has also launched a website, Target.com/proxy, which
it says will help investors "sort through all the information
about the proxy contest and frequent mailings you are likely
receiving at your home."

The meeting comes after Target this week reported a 0.3
percent rise in April sales at stores open at least a year.
While that was slightly below analysts' view for an increase of
0.4 percent, the retailer said given better than expected
performance in its stores, it now expects first-quarter earnings
per share to be "well above" 52 cents.

On Friday, J.P. Morgan Securities and Credit Suisse upgraded
shares of Target, citing a stabilizing credit card segment and
improving margins.

Its shares closed up $1.12, or 2.6 percent, at $43.79 on the
New York Stock Exchange.
(Editing by Matthew Lewis)