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	<title>BoomTown &#187; Broadridge Financial Solutions</title>
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		<title>The Yahoo Annual Meeting Circus Rolls Back Into Town Next Week: Send in the Clowns?</title>
		<link>http://kara.allthingsd.com/20090618/the-yahoo-annual-meeting-circus-rolls-back-into-town-next-week-send-in-the-clowns/</link>
		<comments>http://kara.allthingsd.com/20090618/the-yahoo-annual-meeting-circus-rolls-back-into-town-next-week-send-in-the-clowns/#comments</comments>
		<pubDate>Thu, 18 Jun 2009 11:45:17 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[BoomTown]]></category>
		<category><![CDATA[D7]]></category>
		<category><![CDATA[D: All Things Digital]]></category>
		<category><![CDATA[Google]]></category>
		<category><![CDATA[Internet]]></category>
		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Microsoft]]></category>
		<category><![CDATA[Silicon Valley]]></category>
		<category><![CDATA[Yahoo]]></category>
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		<category><![CDATA[digital]]></category>
		<category><![CDATA[innovation]]></category>
		<category><![CDATA[interview]]></category>
		<category><![CDATA[search]]></category>
		<category><![CDATA[software]]></category>
		<category><![CDATA[annual meeting]]></category>
		<category><![CDATA[Barbra Streisand]]></category>
		<category><![CDATA[Bing]]></category>
		<category><![CDATA[board]]></category>
		<category><![CDATA[Broadridge Financial Solutions]]></category>
		<category><![CDATA[Carl Icahn]]></category>
		<category><![CDATA[Carol Bartz]]></category>
		<category><![CDATA[circus]]></category>
		<category><![CDATA[data]]></category>
		<category><![CDATA[Jerry Yang]]></category>
		<category><![CDATA[Roy Bostock]]></category>
		<category><![CDATA[Send in the Clowns]]></category>
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		<category><![CDATA[Steve Ballmer]]></category>
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		<category><![CDATA[Terry Semel]]></category>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=14692</guid>
		<description><![CDATA[In exactly one week at 10 am PDT, Yahoo will hold its annual meeting in Silicon Valley, the first time when new CEO Carol Bartz will greet its shareholders in person.

She should prep carefully, as the event has been quite a drama over the last two years.

Here's a rundown of what is likely to be on the minds of investors, including the status of the isn't-it-rich-aren't-they-a-pair relationship between Yahoo and Microsoft.]]></description>
			<content:encoded><![CDATA[<p><a href="http://kara.allthingsd.com/files/2009/06/circustent02.jpg"><img src="http://kara.allthingsd.com/files/2009/06/circustent02-250x187.jpg" alt="circustent02" title="circustent02" width="250" height="187" class="alignright size-medium wp-image-14696" /></a></p>
<p>In exactly one week at 10 am PDT, Yahoo will <a href="http://yhoo.client.shareholder.com/events.cfm?CalendarID=4">hold its annual meeting</a> in Silicon Valley, the first time when new CEO Carol Bartz will greet its shareholders in person.</p>
<p>She should prep carefully, as the event has been quite a drama over the last two years.</p>
<p>In 2007, former Yahoo CEO <a href="http://kara.allthingsd.com/20070613/i-went-to-yahoos-annual-meeting-and-all-i-got-were-these-purple-balloons">Terry Semel left the company just days after a fractious annual meeting</a> and was replaced by co-founder Jerry Yang.</p>
<p>And last August, the meeting was held in the midst of even more trouble.</p>
<p>The walk-up to that gathering included a failed takeover attempt by Microsoft (MSFT), extensive Yahoo (YHOO) management turmoil and a high-profile proxy fight waged by billionaire investor Carl Icahn.</p>
<p>And the <a href="http://kara.allthingsd.com/20080805/new-yahoo-shareholder-vote-yang-disapproval-more-than-doubles">meeting itself was also a mess</a>, after shareholder voting was miscounted and it turned out that discontent about leadership was double what Yahoo first reported it was.</p>
<p>Broadridge Financial Solutions&#8217; corrected tabulation of the vote on Aug. 1, without the &#8220;truncation errors,&#8221; showed Yang&#8217;s disapproval more than double what was previously reported, rising from 14.6 percent votes withheld to 33.7 percent. Yahoo Chairman Roy Bostock saw his shares withheld rise from 20.5 percent to 39.6 percent.</p>
<p>Yang later stepped down, as did President Sue Decker, both of whom presided over the meeting. Yang was replaced by Bartz early this year.</p>
<p>But most of the Yahoo board remains in place, with the addition of Icahn, including Bostock.</p>
<p>And today, just as it was then, Yahoo and Microsoft remain engaged in an ongoing push-me-pull-you relationship about whether to partner in search and online advertising or not.</p>
<p>Talks have been on-again-off-again for months now, including a <a href="http://kara.allthingsd.com/20090528/bartz-and-ballmer-meet-one-on-one-at-d7">meeting between Bartz and Microsoft CEO Steve Ballmer</a> at the <strong>D: All Things Digital</strong> conference in late May.</p>
<p>Those talks have now appeared to reach yet another impasse, but that could change again quickly.</p>
<p>Sources at Microsoft said the software giant has remained interested in such a deal, although not at any price, a stance that has recently been made firmer by the <a href="http://mediamemo.allthingsd.com/20090617/so-thats-what-100-million-gets-you-microsofts-bing-grabbing-more-search-share-for-now/">apparent early success of its rehaul of its search offering, now called Bing</a>.</p>
<p>Some inside the company think this puts added pressure on Yahoo to do a deal, before Microsoft actually logs in consistent gains in search share.</p>
<p><a href="http://kara.allthingsd.com/files/2009/06/yahoo-logo.jpg"><img src="http://kara.allthingsd.com/files/2009/06/yahoo-logo.jpg" alt="yahoo-logo" title="yahoo-logo" width="249" height="195" class="alignleft size-full wp-image-14697" /></a></p>
<p>Microsoft has long been mired in third place at around eight percent, behind Yahoo by a dozen points and well behind Google (GOOG), which consistently tracks above 60 and 70 percent.</p>
<p>&#8220;Bing&#8217;s success only increases the odds [of a Yahoo deal] and decreases the price,&#8221; said one observer.</p>
<p>But a big price is exactly what Yahoo wants, with Bartz stating in an onstage interview with me at <strong>D7</strong> that she was willing to do a deal for &#8220;boatloads of money,&#8221; as well as the right technology and data.</p>
<p>(You can see a <a href="http://kara.allthingsd.com/20090616/yahoo-ceo-carol-bartz-the-full-d7-session-unexpurgated/">video of Bartz&#8217;s full session here</a>, talking about that and more.)</p>
<p>And she is backed, at this point, by the board, except for Icahn, who has been aggressively agitating for a Microsoft deal, in hopes it will return his huge investment in Yahoo into the black.</p>
<p>&#8220;He has been kind of driving Carol crazy about it,&#8221; said one source close to the situation. </p>
<p>For her part, Bartz has told many at the company and outside it that she was hired to make such key decisions and if the board&#8211;especially Icahn&#8211;did not like it they could find another CEO.</p>
<p>Yahoo has been upgraded recently by some analysts, based on confidence in Bartz&#8217;s ability to turn around and reinvigorate the company. The stock has seen a small bump up too.</p>
<p>But Bartz, although successfully projecting command of Yahoo and stabilizing the management over the last six months, has yet to put forth a detailed strategy for the company to stanch declines in profits and revenues and increase innovation. </p>
<p>And, although annual meetings are usually painfully scripted affairs, the event might be her chance to perhaps articulate that plan and more.</p>
<p>BoomTown will, of course, be front and center at the ongoing show to see what happens next. </p>
<p>Until then, here are two videos I did at the 2007 and 2008 annual meetings. </p>
<p>And below it, the great Barbra Streisand in a video, singing the classic, &#8220;Send in the Clowns&#8221;&#8211;which is pretty much the perfect theme song for the star-crossed Microsoft and Yahoo relationship. </p>
<p><strong>2007:</strong></p>
<div class="video-wsj"><object width="380" height="216"><param name="movie" value="http://s.wsj.net/media/swf/microPlayer.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><param name="flashvars" value="videoGUID=099020C7-B163-4EEC-BFBF-E301EB73756F&playerid=4001&plyMediaEnabled=1&configURL=http://wsj.vo.llnwd.net/o28/players/&autoStart=false" base="http://s.wsj.net/media/swf/"name="microflashPlayer"></param><embed src="http://s.wsj.net/media/swf/microPlayer.swf" bgcolor="#FFFFFF" flashVars="videoGUID={099020C7-B163-4EEC-BFBF-E301EB73756F}&playerid=4001&plyMediaEnabled=1&configURL=http://wsj.vo.llnwd.net/o28/players/&autoStart=false" base="http://s.wsj.net/media/swf/" name="microflashPlayer" width="380" height="216" seamlesstabbing="false" type="application/x-shockwave-flash" swLiveConnect="true" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash"></embed><br />[ See post to watch video ]</div></object>
<p><a href="http://kara.allthingsd.com/20080804/kara-visits-the-yahoo-annual-meeting"><strong>2008:</strong></a> </p>
<div class="video-wsj"><object width="380" height="216"><param name="movie" value="http://s.wsj.net/media/swf/microPlayer.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><param name="flashvars" value="videoGUID=A4A91385-7D87-4459-A274-4C7476B829C8&playerid=4001&plyMediaEnabled=1&configURL=http://wsj.vo.llnwd.net/o28/players/&autoStart=false" base="http://s.wsj.net/media/swf/"name="microflashPlayer"></param><embed src="http://s.wsj.net/media/swf/microPlayer.swf" bgcolor="#FFFFFF" flashVars="videoGUID={A4A91385-7D87-4459-A274-4C7476B829C8}&playerid=4001&plyMediaEnabled=1&configURL=http://wsj.vo.llnwd.net/o28/players/&autoStart=false" base="http://s.wsj.net/media/swf/" name="microflashPlayer" width="380" height="216" seamlesstabbing="false" type="application/x-shockwave-flash" swLiveConnect="true" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash"></embed><br />[ See post to watch video ]</div></object>
<p><object width="320" height="265"><param name="movie" value="http://www.youtube.com/v/BnwJ5KIcKX4&#038;hl=en&#038;fs=1&#038;"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/BnwJ5KIcKX4&#038;hl=en&#038;fs=1&#038;" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="320" height="265"></embed></object></p>
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		<slash:comments>4</slash:comments>
		</item>
		<item>
		<title>New Yahoo Shareholder Vote: Yang Disapproval More Than Doubles</title>
		<link>http://kara.allthingsd.com/20080805/new-yahoo-shareholder-vote-yang-disapproval-more-than-doubles/</link>
		<comments>http://kara.allthingsd.com/20080805/new-yahoo-shareholder-vote-yang-disapproval-more-than-doubles/#comments</comments>
		<pubDate>Tue, 05 Aug 2008 21:06:24 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Internet]]></category>
		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Yahoo]]></category>
		<category><![CDATA[digital]]></category>
		<category><![CDATA[board]]></category>
		<category><![CDATA[Broadridge Financial Solutions]]></category>
		<category><![CDATA[Capital Research & Management]]></category>
		<category><![CDATA[Capital Research Global Investors]]></category>
		<category><![CDATA[Chuck Callan]]></category>
		<category><![CDATA[Gordon Crawford]]></category>
		<category><![CDATA[investor]]></category>
		<category><![CDATA[Jerry Yang]]></category>
		<category><![CDATA[shareholder]]></category>
		<category><![CDATA[truncation error]]></category>
		<category><![CDATA[vote]]></category>
		<category><![CDATA[withheld]]></category>

		<guid isPermaLink="false">http://kara.allthingsd.com/?p=2509</guid>
		<description><![CDATA[The vote is now in and it's not so pretty for Yahoo, as it turns out.

Broadridge Financial Solutions' corrected tabulation of the vote at the Yahoo annual meeting on Aug. 1, without the "truncation errors," came out and shareholders are actually mighty irked at Yahoo leadership.

Most glaringly, it shows Yahoo CEO Jerry Yang's disapproval more than double what was previously reported, rising from 14.6 percent votes withheld to 33.7 percent. Yahoo Chairman Roy Bostock increased from 20.5 percent withheld votes to 39.5 percent.

Yang, who has been under fire for his management of Yahoo, is likely to now endure yet another round of questioning about whether he should stay in his job in the wake of this clearly massive show of disapproval by investors.]]></description>
			<content:encoded><![CDATA[<p>The vote is <em>now</em> in and it&#8217;s not so pretty for Yahoo, as it turns out.</p>
<p>Broadridge Financial Solutions&#8217; corrected tabulation of the vote at the Yahoo annual meeting on Aug. 1, without the &#8220;truncation errors,&#8221; came out and, it seems, shareholders are actually mighty irked at Yahoo leadership.</p>
<p>Most glaringly, the new result shows Yahoo CEO Jerry Yang&#8217;s disapproval more than double what was previously reported, rising from 14.6 percent votes withheld to 33.7 percent. Yahoo Chairman Roy Bostock saw his shares withheld rise from 20.5 percent to 39.6 percent.</p>
<p><a href="http://kara.allthingsd.com/files/2008/08/jerry_yang.jpg"><img src="http://kara.allthingsd.com/files/2008/08/jerry_yang-200x300.jpg" alt="" title="jerry_yang" width="200" height="300" class="alignright size-medium wp-image-2480" /></a></p>
<p>Yang (pictured here), who has been under fire for his management of Yahoo (YHOO), is likely to now endure yet another round of questioning about whether he should stay in his job in the wake of this massive show of disapproval by investors.</p>
<p>Here is part of Yahoo&#8217;s press release, with the correct and incorrect tables below:</p>
<p><em>Yahoo! Acknowledges Tabulation Error by Broadridge</p>
<p>SUNNYVALE, Calif., August 5, 2008 – Yahoo! Inc. (Nasdaq: YHOO) was informed today by Corporate Election Services, the inspector of elections for the Yahoo! annual meeting of shareholders on August 1, 2008, that Corporate Election Services was notified this morning by Broadridge Financial Solutions, Inc., an independent voting intermediary that processes proxies on behalf of banks, brokers and institutions, of errors made by Broadridge in reporting votes at the meeting. Specifically, as Broadridge publicly disclosed earlier today, when Broadridge reported voting results for &#8220;withholds,&#8221; a truncation error occurred in reporting share numbers that exceeded eight digits.</p>
<p>The following table reflects the corrected Broadridge numbers:</p>
<p><strong>Roy Bostock</strong> (Shares For: 632,023,657/60.4%; Shares withheld 414,071,927/39.6%)   </p>
<p><strong>Ronald W. Burkle</strong> (649,373,291/62.1%; 396,722,293/37.9%)</p>
<p><strong>Eric Hippeau</strong> (948,862,579/90.7%; 97,233,005/9.3%)  </p>
<p><strong>Vyomesh Joshi</strong> (971,594,650/92.9%; 74,500,934/7.1%)   </p>
<p><strong>Arthur H. Kern</strong> (714,871,925/68.3%; 331,223,659/31.7%)  </p>
<p><strong>Robert A. Kotick</strong> (967,044,818/92.4%; 79,050,766/7.6%)</p>
<p><strong>Mary Agnes Wilderotter</strong> 964,939,727/92.2%: 81,155,857/7.8%)  </p>
<p><strong>Gary L. Wilson</strong> (756,006,576/72.3%; 290,089,008/27.7%)</p>
<p><strong>Jerry Yang</strong> (693,055,602/66.3%;353,039,982/33.7%)</p>
<p>The following table shows the original voting results certified by the inspector of elections, as previously reported:</p>
<p><strong>Roy J. Bostock</strong> (Shares for: 832,023,657/79.5%; Shares Withheld: 214,071,927/20.5%)</p>
<p><strong>Ronald W. Burkle</strong> (849,373,291/81.2%; 196,722,293/18.8%)</p>
<p><strong>Eric Hippeau</strong> (948,862,579/90.7%; 97,233,005/9.3%)</p>
<p><strong>Vyomesh Joshi</strong> (971,594,650/92.9%; 74,500,934/7.1%)</p>
<p><strong>Arthur H. Kern</strong> (814,871,925/77.9%; 231,223,659 /22.1%)</p>
<p><strong>Robert A. Kotick</strong> (967,044,818; 92.4%; 79,050,766/7.6%)</p>
<p><strong>Mary Agnes Wilderotter</strong> (964,939,727/92.2%; 81,155,857/7.8%)</p>
<p><strong>Gary L. Wilson</strong> (856,006,576/81.8%; 190,089,008/18.2%)</p>
<p><strong>Jerry Yang</strong> (893,055,602/85.4%; 153,039,982/14.6%)</em></p>
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		</item>
		<item>
		<title>Broadridge to Yahoo: Oops, We Added Wrong (and Shareholders Like You Lots Less)!</title>
		<link>http://kara.allthingsd.com/20080805/broadridge-to-yahoo-oops-we-added-wrong-and-shareholders-like-you-lots-less/</link>
		<comments>http://kara.allthingsd.com/20080805/broadridge-to-yahoo-oops-we-added-wrong-and-shareholders-like-you-lots-less/#comments</comments>
		<pubDate>Tue, 05 Aug 2008 17:07:09 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Internet]]></category>
		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Yahoo]]></category>
		<category><![CDATA[digital]]></category>
		<category><![CDATA[board]]></category>
		<category><![CDATA[Broadridge Financial Solutions]]></category>
		<category><![CDATA[Capital Research & Management]]></category>
		<category><![CDATA[Capital Research Global Investors]]></category>
		<category><![CDATA[Chuck Callan]]></category>
		<category><![CDATA[Gordon Crawford]]></category>
		<category><![CDATA[investor]]></category>
		<category><![CDATA[Jerry Yang]]></category>
		<category><![CDATA[shareholder]]></category>
		<category><![CDATA[truncation error]]></category>
		<category><![CDATA[vote]]></category>
		<category><![CDATA[withheld]]></category>

		<guid isPermaLink="false">http://kara.allthingsd.com/?p=2507</guid>
		<description><![CDATA[Here's the full statement from the outside firm that tabulated Yahoo's recent shareholder vote. 

Bottom line: An underreporting of shares withheld for certain directors, which the Lake Success, N.Y., firm is calling a "truncation error."

That sounds painful.

And it is likely Yahoo CEO Jerry Yang will feel much of that pain, as sources said the shares are largely those that were withheld from him by disgruntled shareholders.

The mistake will not change the vote's overall outcome, but it will surely make Yang's no-vote tally worse.]]></description>
			<content:encoded><![CDATA[<p><a href="http://kara.allthingsd.com/files/2008/08/addition01-03.gif"><img src="http://kara.allthingsd.com/files/2008/08/addition01-03-300x154.gif" alt="" title="addition01-03" width="250" height="100" class="alignright size-medium wp-image-2508" /></a></p>
<p>Here&#8217;s the full statement (below) from the outside firm, Broadridge Financial Solutions, that tabulated Yahoo&#8217;s recent shareholder vote. </p>
<p>Bottom line: An underreporting of shares withheld for certain directors, which the Lake Success, N.Y., shareholder services firm is calling an &#8220;isolated incident&#8221; and also a &#8220;truncation error.&#8221;</p>
<p>That sounds painful.</p>
<p>And it is likely Yahoo CEO Jerry Yang will feel much of that pain, as sources said the shares are largely those that were withheld from him by disgruntled shareholders.</p>
<p>While the mistake will not change the vote&#8217;s overall outcome, in which all current Yahoo (YHOO) directors were re-elected, it will surely make the no-vote tally worse than first reported for many directors, and underline more clearly the increased investor disappointment directed at Yahoo leadership.</p>
<p>As reported Friday, for example, Yang only had 14.6 percent withheld, with 85.4 percent voting for him, which was better than the year before.</p>
<p>A Yahoo spokesman said the company was redoing its results, based on the new information, and would release the new numbers soon. The Internet company did not do the vote tabulation.</p>
<p>The examination of the results was prompted by an unusually positive <a href="http://kara.allthingsd.com/20080804/yahoo-shareholder-vote-number-crunching-whither-cap-res-no-vote/">Yahoo shareholder vote</a>, when it did not seem to include the withheld votes of one major Yahoo shareholder.</p>
<p>Thus, Capital Research &#038; Management asked Broadridge for a recount of its votes.</p>
<p>The problem centered on <a href="http://kara.allthingsd.com/20080801/yahoo-shareholder-vote-old-board-stays-put/">how shares were tallied in the Yahoo annual meeting</a>, specifically related to a group of votes withheld by Capital Research Global Investors.</p>
<p>That fund owns almost seven percent of Yahoo, and its head, Gordon Crawford, had recommended withholding votes from Yahoo. </p>
<p>Here is the statement from Chuck Callan, Senior Vice President Regulatory Affairs at Broadridge:</p>
<p><em>On August 4, Broadridge was notified by an investor of a potential discrepancy in a reported vote at the Yahoo Annual Meeting on August 1.</p>
<p>Upon review, it was determined that there was a truncation error in the final printout sent to the tabulator. This resulted in the underreporting of shares withheld for certain directors. </p>
<p>This error did not change the outcome of the election of directors, and was determined to be an isolated incident. </p>
<p>Broadridge has determined that the situation was unique&#8211;a truncation error occurred when shares withheld for a specific director in a specific nominee exceeded 8 digits and were reported to the tabulator in paper format. Broadridge has fixed the problem. Further, Broadridge has verified that over the past 18 months there were no other meetings with reports that included this unique combination of factors. The review is ongoing for meetings occurring before then.</p>
<p>On August 4th Broadridge notified Yahoo&#8217;s Inspector of Elections and Tabulator of the problem, and a revised report was issued on August 5th.</em></p>
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		<slash:comments>1</slash:comments>
		</item>
		<item>
		<title>The Yahoo Shareholder Vote: Like Florida, Except More Confusing!</title>
		<link>http://kara.allthingsd.com/20080805/the-yahoo-shareholder-vote-like-florida-except-more-confusing/</link>
		<comments>http://kara.allthingsd.com/20080805/the-yahoo-shareholder-vote-like-florida-except-more-confusing/#comments</comments>
		<pubDate>Tue, 05 Aug 2008 13:50:33 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[BoomTown]]></category>
		<category><![CDATA[Internet]]></category>
		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Yahoo]]></category>
		<category><![CDATA[digital]]></category>
		<category><![CDATA[annual meeting]]></category>
		<category><![CDATA[ballot]]></category>
		<category><![CDATA[board]]></category>
		<category><![CDATA[Broadridge Financial Solutions]]></category>
		<category><![CDATA[Capital Research & Management]]></category>
		<category><![CDATA[Capital Research Global Investors]]></category>
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		<category><![CDATA[Carl Icahn]]></category>
		<category><![CDATA[China]]></category>
		<category><![CDATA[Florida]]></category>
		<category><![CDATA[Gordon Crawford]]></category>
		<category><![CDATA[investor]]></category>
		<category><![CDATA[Jerry Yang]]></category>
		<category><![CDATA[Katherine Harris]]></category>
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		<category><![CDATA[proxy fight]]></category>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=2503</guid>
		<description><![CDATA[All Yahoo needs now is for former Florida Secretary of State Katherine Harris to show up and start recounting votes.

It could happen, given all the crazy characters who have been drawn to the much-beleaguered Internet company like a magnet, in 2008.

It's almost as if there is a voodoo curse on Yahoo and, so, you didn't think the digital gods would let it have more than one weekend of good news, did you?

No, they will not, it seems.]]></description>
			<content:encoded><![CDATA[<p><a href="http://kara.allthingsd.com/files/2008/08/harris_katherine_r.jpg"><img src="http://kara.allthingsd.com/files/2008/08/harris_katherine_r-206x300.jpg" alt="" title="harris_katherine_r" width="206" height="300" class="alignright size-medium wp-image-2505" /></a></p>
<p>All Yahoo needs now is for former Florida Secretary of State Katherine Harris to show up and start recounting votes.</p>
<p>It could happen, given all the crazy characters who have been drawn to the much-beleaguered Internet company like a magnet, in 2008.</p>
<p>It&#8217;s almost as if there is a voodoo curse on Yahoo (YHOO).</p>
<p>So, you didn&#8217;t think the digital gods would let it have more than one weekend of good news, did you?</p>
<p>No, they will not, it seems.</p>
<p>After the annual meeting last Friday, which went off without a hitch and, more importantly, without an expected major shareholder vote against the company&#8217;s management and board, you could feel a palpable easing of tension among Yahoo leadership and its exhausted PR team.</p>
<p>By Monday, the <a href="http://kara.allthingsd.com/20080804/yahoo-shareholder-vote-number-crunching-whither-cap-res-no-vote/">Yahoo shareholder kerfuffle</a>&#8211;in essence, one major shareholder of Yahoo has asked for its outside tabulator of investor votes at the annual meeting for a recount&#8211;had landed with a thud.</p>
<p><span id="more-2503"></span></p>
<p>The problem is <a href="http://kara.allthingsd.com/20080801/yahoo-shareholder-vote-old-board-stays-put/">how shares were tallied in the Yahoo annual meeting</a>, specifically around whether a group of votes withheld by Capital Research Global Investors was not counted, counted incorrectly or even voted incorrectly by the investor.</p>
<p>Parent company Capital Research &#038; Management confirmed that it had asked Broadridge Financial Solutions, a Lake Success, N.Y.-based financial services company that does securities clearing and processing, to investigate whether those votes were correctly counted on behalf of its Capital Research Global Investors fund.</p>
<p>Capital Research Global Investors–one of two funds separately managed at Capital Research &#038; Management–owns 6.5 percent of Yahoo, according to recent filings, and Capital World Investors owns 9.8 percent.</p>
<p><a href="http://kara.allthingsd.com/files/2008/07/crawford.jpg"><img src="http://kara.allthingsd.com/files/2008/07/crawford.jpg" alt="" title="crawford" width="171" height="213" class="alignleft size-medium wp-image-2287" /></a></p>
<p>Capital Research Global Investors is run by legendary media investor Gordon Crawford (pictured here), who has become disenchanted with Yahoo over the last year.</p>
<p>Because of that, sources close to the fund&#8217;s thinking said Crawford had recommended that the fund withhold votes from CEO Jerry Yang and some other board members. </p>
<p>It&#8217;s not clear whether that actually happened or, if it did, whether the votes were tallied properly.</p>
<p>That&#8217;s because Yang, for example, only had 14.6 percent withheld, with 85.4 percent voting for him.</p>
<p>The votes withheld seemed low to Capital, considering Crawford&#8217;s large stake and how many shareholders have been deeply unhappy with Yahoo management this year. </p>
<p>Instead, overall results for Yang and the Yahoo board were mostly better than last year.</p>
<p>Everyone is investigating, of course&#8211;from Capital Research to Broadridge to Yahoo, which does not do its own tabulation, although it has hired an outside proxy solicitor to manage the process&#8211;to try to find out what&#8217;s what.</p>
<p>It is likely there&#8217;s a nonsinister reason for the voting results.</p>
<p>And there might be a lot of possible explanations, but I am partial to blaming the confusion that followed after activist investor Carl Icahn pulled his proxy fight a week before the meeting and made nice with Yahoo.</p>
<p>Unfortunately, Icahn&#8217;s golden proxy ballot was already in the hands of investors, many of whom might have voted for it and then had that vote essentially voided.</p>
<p>Wrote one BoomTown reader and Yahoo shareholder:</p>
<p>&#8220;I hold 23,000 shares of YHOO. I had 17,000 on the date of record. I voted to &#8216;withhold all&#8217; &#8230; I think twice. Then I voted for all of Carl&#8217;s team. Now I have learned that the Carl votes did not count and a day AFTER the annual meeting I received my new ballot. I wonder how many other people were disenfranchised??? Who can I complain to?? Is this how Jerry got his support??&#8221;</p>
<p>Another commenter on the site also wrote:</p>
<p>&#8220;As a stockholder, I was curious *which* of my proxy letters actually was counted&#8211;I received four. One was from Icahn, the other three were from Yahoo. The last of which arrived today, August 4th. Does this strike anyone as odd?&#8221;</p>
<p><a href="http://kara.allthingsd.com/files/2008/08/the-x-files-i-want-to-believe-20080528072713396_640w.jpg"><img src="http://kara.allthingsd.com/files/2008/08/the-x-files-i-want-to-believe-20080528072713396_640w.jpg" alt="" title="the-x-files-i-want-to-believe-20080528072713396_640w" width="380" height="260" class="aligncenter size-full wp-image-2506" /></a></p>
<p>Actually, Yahoo&#8217;s twisting journey passed odd a long time ago and is now headed toward &#8220;The X-Files&#8221; territory.</p>
<p>(So let&#8217;s all triple-hope Yang&#8217;s upcoming trip to China for the Olympics goes smoothly. Have a good time, Jerry, we&#8217;ll be back here counting!)</p>
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		<title>Yahoo Shareholder Vote Number-Crunching&#8211;Whither Cap Re's No Vote?</title>
		<link>http://kara.allthingsd.com/20080804/yahoo-shareholder-vote-number-crunching-whither-cap-res-no-vote/</link>
		<comments>http://kara.allthingsd.com/20080804/yahoo-shareholder-vote-number-crunching-whither-cap-res-no-vote/#comments</comments>
		<pubDate>Mon, 04 Aug 2008 21:39:26 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[BoomTown]]></category>
		<category><![CDATA[Internet]]></category>
		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Yahoo]]></category>
		<category><![CDATA[digital]]></category>
		<category><![CDATA[annual meeting]]></category>
		<category><![CDATA[Arthur H. Kern]]></category>
		<category><![CDATA[Broadridge Financial Solutions]]></category>
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		<category><![CDATA[Capital Research Global Investors]]></category>
		<category><![CDATA[Capital World Investors]]></category>
		<category><![CDATA[Carl Icahn]]></category>
		<category><![CDATA[Eric Hippeau]]></category>
		<category><![CDATA[Gary L. Wilson]]></category>
		<category><![CDATA[Gordon Crawford]]></category>
		<category><![CDATA[hanging chad]]></category>
		<category><![CDATA[investor]]></category>
		<category><![CDATA[Jerry Yang]]></category>
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		<category><![CDATA[MacKenzie Partners]]></category>
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		<category><![CDATA[proxy fight]]></category>
		<category><![CDATA[Robert A. Kotick]]></category>
		<category><![CDATA[Ronald W. Burkle]]></category>
		<category><![CDATA[Roy Bostock]]></category>
		<category><![CDATA[shareholder]]></category>
		<category><![CDATA[vote]]></category>
		<category><![CDATA[Vyomesh Joshi]]></category>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=2497</guid>
		<description><![CDATA[There is a mini-tempest brewing over how shares were tallied in the Yahoo annual meeting last Friday, specifically around whether a group of votes withheld by one of Yahoo's major shareholders was not counted, counted incorrectly or even voted incorrectly by the investor.

According to sources close to the thinking at Capital Research &#38; Management, the proxy committees for its two large funds that hold a significant stake in Yahoo recommended last week that they withhold votes specifically from CEO Jerry Yang and from various board members, such as Chairman Roy Bostock, to register disappointment with their performance.

Thus, sources said, the investment fund has approached outside vote tabulator Broadridge Financial Solutions, a Lake Success, N.Y.-based financial services company that does securities clearing and processing, about whether those votes were correctly counted.]]></description>
			<content:encoded><![CDATA[<p><a href="http://kara.allthingsd.com/files/2008/08/chadhang1.jpg"><img src="http://kara.allthingsd.com/files/2008/08/chadhang1-300x257.jpg" alt="" title="chadhang1" width="250" height="200" class="alignright size-medium wp-image-2498" /></a></p>
<p>There is a mini-tempest brewing over <a href="http://kara.allthingsd.com/20080801/yahoo-shareholder-vote-old-board-stays-put/">how shares were tallied in the Yahoo annual meeting</a> last Friday, specifically around whether a group of votes withheld by one of Yahoo&#8217;s major shareholders was not counted, counted incorrectly or even voted incorrectly by the investor.</p>
<p>According to sources close to the thinking at Capital Research &#038; Management, the proxy committees for its two large funds that hold a significant stake in Yahoo (YHOO) recommended last week that they withhold votes specifically from CEO Jerry Yang and from various board members, such as Chairman Roy Bostock, to register disappointment with their performance.</p>
<p>Thus, the investment fund confirmed it had approached outside vote tabulator Broadridge Financial Solutions, a Lake Success, N.Y.-based financial services company that does securities clearing and processing, to investigate whether those votes were correctly counted on behalf of its Capital Research Global Investors fund.</p>
<p>Capital Research Global Investors–one of two funds separately managed at Capital Research &#038; Management–owns 6.5 percent of Yahoo, according to recent filings, and Capital World Investors owns 9.8 percent.</p>
<p><span id="more-2497"></span></p>
<p>Capital Research Global Investors&#8217; investor Gordon Crawford has been vocal about his disappointment with Yang and the board at Yahoo.</p>
<p>And sources close to the fund&#8217;s thinking said Crawford recommended that it withhold votes from Yang and some other board members. </p>
<p>Capital World Investors has been less critical of Yahoo, but sources said it was also leaning toward voting at least some of its stake against the company&#8217;s leadership.</p>
<p>But Yang, for example, only had 14.6 percent withheld, with 85.4 percent voting for him. Bostock fared worse, grabbing only 79.5 percent of the yes vote, with 20.5 percent withheld.</p>
<p>That would mean, assuming a large part of Capital Research&#8217;s votes to withhold were counted, that only a few other investors voted against Yahoo.</p>
<p>This is highly unusual in a year when many shareholders have been deeply unhappy with its management. </p>
<p>But, in fact, overall results for both Yang and Bostock were actually better than last year.</p>
<p>I called Broadridge for comment and am awaiting a response.</p>
<p>Yahoo does not do its own tabulation, which must be done by a third party, although it has hired MacKenzie Partners as a proxy solicitor to manage the process.</p>
<p>Said a spokesman in response to my inquiry about the situation:</p>
<p>&#8220;The independent inspector of elections certified the results of the election and Yahoo! accurately announced those results. Yahoo! did not participate in the execution of the votes and was not a party to any errors which may have been made either by a voting institution or a proxy processing intermediary acting on behalf of banks, brokers and institutions.&#8221;</p>
<p>While the recommendations of the proxy committees at Capital Research are apparently not binding on some individual directors of smaller funds that make up the larger ones, they typically follow along with the overall decision from the top.</p>
<p>They might not have in this case, of course, or they might not have voted the shares at all, although it is also possible they could have voted incorrectly or that the votes were not tallied properly.</p>
<p><em>This is better than a hanging chad!</em></p>
<p>Another unusual issue around the voting: The amazing drop in the number of shares that were voted at all.</p>
<p>In 2008&#8217;s shareholder tally (see below for individual director numbers), only 75.8 percent, or 1,046,095,584 out of 1,381,008,701 possible share votes, were cast.</p>
<p>There were 1,205,435,371 votes cast in 2007 and 1,276,175,601 in 2006, a much higher percentage of overall votes.</p>
<p>Sources at Yahoo speculated that this could be due to the fact that most investors vote automatically in an uncontested election and were waiting for an outcome in the proxy fight between activist investor Carl Icahn and Yahoo.</p>
<p>After that issue was settled right before the annual meeting, though, some investors might not have even bothered to vote. </p>
<p>More to come, but here are the <a href="http://yhoo.client.shareholder.com/ReleaseDetail.cfm?&#038;ReleaseID=325936">pertinent stats on the Yahoo vote</a> as of Friday:</p>
<p><strong>Roy J. Bostock</strong> (Shares for: 832,023,657/79.5 %; Shares Withheld: 214,071,927/20.5%)</p>
<p><strong>Ronald W. Burkle</strong> (849,373,291/81.2%; 196,722,293/18.8%)</p>
<p><strong>Eric Hippeau</strong> (948,862,579/90.7%; 97,233,005/9.3%)</p>
<p><strong>Vyomesh Joshi</strong> (971,594,650/92.9%; 74,500,934/7.1%)</p>
<p><strong>Arthur H. Kern</strong> (814,871,925/77.9%; 231,223,659 /22.1%)</p>
<p><strong>Robert A. Kotick</strong> (967,044,818; 92.4%; 79,050,766/7.6%)</p>
<p><strong>Mary Agnes Wilderotter</strong> (964,939,727/92.2%; 81,155,857/7.8%)</p>
<p><strong>Gary L. Wilson</strong> (856,006,576/81.8%; 190,089,008/18.2%)</p>
<p><strong>Jerry Yang</strong> (893,055,602/85.4%; 153,039,982/14.6%)</p>
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