After Cadbury, the candy company, separated from Dr. Pepper, the soft drinks maker, Cadbury was able to substantially lower its debt load. The profits of Cadbury, the candy company, zoomed.
Legg Mason's structure is misunderstood by the market. Legg Mason has an affiliate model. They own 100% of their affiliates, which are investment managers such as Permal, Western Asset Management, and Royce.