"Because Stone's background is office, while Dupree's background is retail, it is likely that Cuz will emphasize office over retail development," says the Feb. 15 newsletter authored by David Shulman and Stuart Axelrod. "Because Dan Dupree is so highly regarded, we suspect that (the stock price of) Cuz will be under pressure this morning."

The analysts, however, continue to give the REIT a "buy" salute, projecting it will reach a $32 per share target at an undetermined date. "With Stone being the chosen nominee of chairman and 19% owner Tom Cousins, we would be buyers on weakness," the analysts say. The company recently authorized a $2 million share buyback which would likely be used should the share price decline," Shulman and Axelrod say in their report.

The report says Dupree is leaving Cousins after five years to participate in "a non-profit sports venture." Dupree couldn't be reached by GlobeSt.com today for comment on his future plans and why he is leaving the company at this time. His office also couldn't confirm the Lehman information to GlobeSt.com. Lehman's Axelrod tells GlobeSt.com he doesn't have further details on the non-profit venture with which Dupree will be associated. One of Dupree's non-corporate activities is coaching a local Buckhead Baseball League team in metro Atlanta.

"Stone made his reputation in the rough and tumble Dallas office market and is currently chairman of 75%-owned Cousins Stone LP," the report states. "Stone owns the remaining 25% and he will be bought out for about $4 million with his after-tax proceeds likely to be reinvested in Cousins stock."

The analysts credit Stone for Cousins' successful entry into the Austin market. Stone and other members of the Cousins management team are scheduled to visit the company's major investors from Feb. 28 through March 2, the Lehman newsletter says.

DuPree joined the REIT in 1992 when Cousins acquired New Market Development where DuPree was chairman. He was president of Cousins' retail division until 1995 when he was named president and COO. During his tenure as president, the REIT achieved a 21% annualized total return for shareholders, Chairman Thomas G. Cousins notes in a prepared statement.

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