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The board elected the former president and CEO of Flowserve Corp., Mark Blinn, as an independent director, Ferguson-based Emerson said, and now has 11 directors, 10 of them independent.

Last month, activist hedge fund D.E. Shaw released a letter urging Emerson to break up the company, cut costs and improve governance, saying that Emerson has “a long track record of poor capital allocation� and that “management and the board have let shareholders down.�

On Tuesday, D.E. Shaw applauded Blinn’s appointment. The hedge fund said the company also agreed to review its executive compensation program with the help of outside advisers, and to move toward one-year director terms.

“We welcome these constructive actions from the Company and believe they will enhance the Board’s composition, its accountability to shareholders and the alignment of management incentives with shareholder returns,� D.E. Shaw Managing Director Michael O’Mary said in a statement.

Emerson did not include the executive pay or term-limit details in its announcement Tuesday morning.

The company also reported on Tuesday profits of $1.16 per share, and net sales of $18.37 billion for the fourth quarter, ending Sept. 30.

“Emerson delivered a solid year, despite a lower growth environment than we anticipated,� Chairman and CEO David Farr said in a statement.

“We are planning for a challenging economic environment in fiscal 2020,� he said. “The U.S. presidential election, continued trade tensions, and an increasing wave of corporate restructuring announcements will pressure global economies, leaving the large capital project cycle — which really hasn’t yet begun in our end markets — stalled.�

Farr went on to say that Emerson’s businesses have proved they are resilient.

Last month the company announced that it is conducting a comprehensive review of its cost structure, capital allocation and portfolio, with the help of an outside consulting firm.

Emerson stock rose 57 cents, or less than 1%, to $73.79 on the day.