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UPDATE 2-Starboard nominates candidates to replace Newell's board

(Adds background, details from Starboard's letter; updates shares)

Feb 12 (Reuters) - Activist shareholder Starboard Value LP on Monday nominated a full slate of candidates to Newell Brands Inc's board, including two directors who resigned from the Sharpie pen maker's board last month.

Starboard, which owns about 4 percent of Newell, expressed concerns about the company's underperformance and said in a letter to Chief Executive Michael Polk that the company's management had made missteps in integrating and operating Jarden after it bought the consumer products maker in 2016.

Newell last month announced plans to pare down to its core by jettisoning 10 business lines, many of which it acquired through the Jarden acquisition including Rawlings, Goody, Rubbermaid Outdoor, and U.S. Playing Cards.

Newell's shares were down 0.5 percent in midday trading on Monday. The stock has sunk nearly 37 percent since the Jarden acquisition.

The slate nominated by Starboard includes Jarden's co-founders Martin Franklin and Ian Ashken. They were part of Newell's board and resigned in January.

James Lillie, former Jarden CEO, is also part of Starboard's slate.

"We find it extremely disappointing that Newell's current directors not only own very few shares of the company, but have lacked the confidence to buy shares in the company following its recent precipitous decline," Starboard said in the letter.

Newell declined to comment on Monday's news and pointed Reuters to its statement on Friday confirming that it had received notice from Starboard of its intention to nominate directors.

(Reporting by Nivedita Balu and Vibhuti Sharma in Bengaluru; Editing by Shounak Dasgupta and Sayantani Ghosh)