Latest Yahoo (YHOO) Chatter: Jerry and Sue Toast
- "Yahoo’s board and major investors are talking today about various options for the company, including Yahoo’s receptivity to a sweetened deal with Microsoft and also other ways to pull the asset-rich company out of its stock doldrums." We imagine so. We think Yahoo would likely accept the sweetened deal with Microsoft Kara laid out a few days back, which Microsoft is reportedly developing at the urging of some big Yahoo investors.
- Yahoo's in talks with Time Warner again about buying all or part of AOL. Good plan, but probably won't happen, because Microsoft won't let it happen. If Microsoft is serious about being big in online ads and doesn't want to acquire Yahoo, why would it allow Yahoo to buy Platform-A (Advertising.com)? Doesn't make sense. Microsoft's bid for AOL will be "whatever Yahoo will pay plus $1 billion. Cash."
- News Corp. (NWS) and Comcast (CMCSA) are considering bids for Yahoo, and some private equity firms might be as well. We just don't see News Corp or Comcast forking over $30-$35 billion for Yahoo, which means that--in News Corp's case--a deal would be some cockamamie MySpace+cash for Yahoo swap, and we hate the idea of Yahoo merging with MySpace. We've already discussed the logic private equity firms might bring to the situation, which gets more attractive all the time (See "Yahoo Getting Cheap Enough For LBO Firms To Pounce"). And then, of course, there's Microsoft. At this point, Yahoo's shareholders would likely be thrilled about an offer of $24-$25, which would probably be more palatable to Microsoft shareholders, too.
- The board is considering replacing Jerry Yang and Sue Decker, who have lost the confidence of investors and employees. The "nice" way to do this (more likely) would be to allow Jerry to retire to non-executive Chairman. The harsh way (less likely) would be for the board to can him. Sue, meanwhile, is too linked to Jerry to survive. Either way, it seems safe to conclude that Jerry and Sue are just about done. So the next question is, who will they get to run the place? (Meanwhile, don't you just love this newly agitated Yahoo board? That global pasting they got after they snoozed and hallucinated through the Microsoft deal really must have gotten to them.)
- Maybe Ross Levinsohn (ex News Corp) and/or Jon Miller (ex AOL) will be CEO, at least temporarily. After that, maybe Tim Armstrong from Google (good choice) or Kevin Johnson from Microsoft (strange choice). The good news: These names are better than any we've heard thus far. We must confess that we're just not that excited about handing the company over to Carl Icahn's buddy Frank Biondi.
- New mandate for the new CEO, whoever he or she is? Fire people. Specifically, make the harsh decisions Jerry has been unwilling to make because he's too close to the company and too nice a guy. We're on board with that, at least conceptually. We wouldn't want to see the company cut too much, because we think there's some good stuff going on (TechTicker!), but we thought the latest round of cuts could have gone further. We're also tired of seeing senior Yahoos pursue other opportunities. Yahoo should figure out who's in and who isn't and show the latter the door.
In any event, as Kara concludes, a lot will likely happen in the next 30 days. Including, we suspect, a lousy Q2.
See Also:
Yahoo: Yes, We Blew the Microsoft Deal, But Please Don't Fire Us
Microsoft Developing Secret Plan to Seize Control of Yahoo Without Buying It
Subscribe to SAI: RSS, email newsletter (no spam)
Share:
Thank you for distilling and analyzing Kara's posts over here, Mr. Blodget. I find her columns to be absolutely unreadable. I don't know why exactly, but I think it's a "too much fat, not enough meat" situation. The context and analysis here is much more palatable.
Back the the Yahoo! train-wreck, though, this plans seems decent enough. At the very least, perhaps YHOO will regain some of the massive amounts of shareholder value and trust it has pissed away.
(and--in the interest of full disclosure--as a TWX shareholder, I do get a bit of a hard-on thinking that AOL could trigger a bidding war!)
barry
I just cannot make sense of the Yahoo analysis OR supposed leaks they post. It seems to me to be fairly scrambled at best; and yes, Henry is doing a public service by translating it into something that almost makes sense. i better shut up now.
Thanks for the post.
It's good to see some signs of life and sanity from the Yahoo board. While it makes sense for MSFT to offer a lower bid, I disagree that Yahoo shareholders would accept a bid at $24-25. There was post on this site that made an estimation of Yahoo's value at approximately $22.5 per share. (Sorry, I don't remember if you were the author, Henry). It is still conceivable that Yahoo could reach $24-25 on it's own within the next year.
If someone wants to acquire Yahoo the shareholders probably won't accept anything less than $30, even after the recent drop.
I don't understand the fuss being made about sacking Jerry. It's his company, his decision to blow it or suck it. If you don't believe in his decisions, take your money or yourself out of it. Simple. He does not want to go along with Microsoft, so be it. After all who wants to be wedded to someone who is not a match?
Why make a big hue and cry of replacing the chairman etc, eh?
"I don't understand the fuss being made about sacking Jerry. It's his company,"
Because it is NOT his company. It is a publicly traded company as far as I know.
he is giving other tech entrepreneurs and managers a black eye just by the sheer incompetency of his behavior. I would certainly cut the guy some slack if he had offered ANY credible plan to save YHOO. There is none. They are headed straight D O W N! Please fasten your oxygen masks.
I'm wondering... What might be the Yahoo trading price that would be just high enough to allow Yang and Decker to survive the proxy vote?
I'd always assumed they'd squeeze by at 24ish. I think 20-25 is really in the Mystery Zone, but below 20 by Aug 1 probably gets the Yang and Decker obits dusted off and ready for print.
Anything with a "1" in front of it at least repudiates a-n-y improvements in Yahoo's operations since Jan, or any confidence in their leadership, even without the MSFT merger attempt being considered.
I know one thing for sure. I bet that Change in Control severance plan is really hanging as a pretty heavy millstone around the board's neck right about now. Carl's slate represents a Change in Control without any real evidence of the a-b-i-l-i-t-y to c-o-n-t-r-o-l... and the board evidently can't defuse the Doomsday Device in the face of the ongoing risks of a change of control evidenced by Icahn alone.
How'd you like to need a 5-vessel heart bypass operation and the only one that could do it was Carl?... and Carl quit medical school 50 years ago.
To my mind the board would have to either be totally confident they'd win a proxy vote on Aug 1, or they'll be forced to cut some partial deal with MSFT even if they don't like the terms that much. Otherwise they'll lose control a-n-d Yahoo goes into the self-destruct sequence with Carl to boot.
I understand that with one of these Doomsday Devices, once triggered and the green light flashes, then turns, first to amber, and then starts blinking r-e-d, it can't be halted for any reason after that.
I love the sci-fi metaphor!
BTW, Carl is the Doomsday Device, not the Change of Control severance plan.
I will continue with my approach. Sue and Jerry need to be fired because they are the architects of *several* failed strategies AND Microsoft will eventually buy Yahoo for a price to be determined.
The banker that laid this out for Ballmer will earn a huge bonus this year!
Everything this guy touched has turned to gold from his first Internet company, his great negotiation and sale of that company to Yahoo, his investment in HD TV, and the Dallas Mavericks.
If Mark can focus for 1-2 months on Yahoo's business, hia free and creative spirit will come up with better ideas than the current Yahoo board From Semel to Yang to Decker they've focused too much on entrenching themselves, and handing out free options to each other.
Are you kidding about Ross? He's never successfully run anything. He ran FIM, temporarily, until the guys from MySpace ran him out of News Corp. forever. Ross isn't a CEO and never has been. I have to call you out when you say wonkish things that strain credulity. This is one work of fiction that could NEVER happen. For your long term viability you must stop writing things like this. Us folk that actually know these people can see right through you.
I'm voting for Tim.
First of all a five star bonus for using the word credulity! It does though sound to me like you're a pissed off ex FIM person. Levinsohn brought MySpace to the table at fox, brought the deal in and ran it well. You claim to know Ross, which I think might have been at a much lower level in FIM, as all the executives I have talked to about him seem to think he's pretty much a good guy, smart thinker and a good CEO?
How much do you think Jerry and Sue would pay to be able to go back in time and do the deal at $34?
Strike that- She was right about employees bleeding out, but pretty much everyone knows that one.
If you keep posting her rumors and discussing the logic of why or why not they could make sense, it's a value add to me.
I respectfully disagree on all counts, especially about being "low level" or "disgruntled". That's the great thing about blogs. You never quite know who you're speaking with.
Ross paid the most during a sale process for MySpace. It's been good for News Corp. in any number of ways. Ross deserves credit. That's where the story ends.
Depending on what accountability you have, I would suggest that running a division of a major corporation like FIMat Newscorp, GM is CEO. If as you maintain you are not an ex-lower level FIM disgruntledor not, then if you worked with Ross at Fox, it would make you Chernin, and that I doubt lol, (but who knows). You're right about blogs though, you never know who you're blogging with, which does make it fun verbal jousting.
eric
Funding, creating shareholder value, dealing with investors, managing a board of directors (sometimes hostile toward you), and vision. All of these are areas that a CEO must handle/provide. As a GM of a major company NONE of them are within your area of control or expertise.
What kind of vote of confidence is that? Talk about destruction of shareholder value (both on MSFT's and YHOO's side). Unless one immediately sold all of one's Yahoo holdings (and heck, if that was your only plan, why not just sell everything at 28 or whatever it was right after the offer was announced?), there is ZERO guarantee that MSFT could pull this off and create more value than Jerry & Co.
MSFT has ZERO credibility when it comes to turning a profit on the internet, in fact, they have a negative X billion credibility.
It's been 13 years, Bill!
13 years after he told the troops that MSFT would focus all of its efforts on the internet, they still haven't made one dime on it or ever truly innovated anything internet related (despite the richest R&D budgets of any company in history). All they ever did (at best) is be obstructionist.
Think about this: Your very own money that MSFT extracted from you by virtue of their monopolist MSFT tax on PC computing was used to try and hamper the development of the internet at every turn! Great!
Thanks for nothing Bill...
YHOO's powerpoint did an excellent job of showing how ridiculous MSFT's so called partial bid was and don't forget that MSFT was raving about the deal in that leaked memo to its own employees.
http://www.techcrunch.com/2008/06/13/microsofts-letter-to-the-troops-our-yahoo-offer-was-better/
Its clear from YHOO's SEC filing that MSFT has been a bad apple throughout this deal - no pun intended.
All you YHOO ranters, here's something to keep things in perspective. During all this hoopla about MSFT's on again and off again bid the end result so far is that YHOO has outperformed MSFT by about 25%. Numbers don't lie, people do.
http://finance.yahoo.com/echarts?s=MSFT#chart5:symbol=msft;range=20080130,20080701;compare=yhoo+goog;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined
MSFT is in a no win situation. If they don't buy YHOO, GOOG will eat their lunch and dinner. If they buy YHOO (or whatever is left of YHOO) decline will be even more precipitous due to integration issues and all the merger related bad-blood. Vista is such a bummer that people prefer "upgrading" to XP. What's to stop them from switching to MACs pretty soon.
With YHOO stock already down to ~$19+, the expectations are set so low that even a modest boost from the GOOG deal will be enough to sustain the stock. Then there are MSFT put, PE put, AOL/Myspace put, asian assets etc... It may be good stock to own in this kind of recessionary environment because its correlated more to the deal action rather than the macro factors.
Sorry didn't get back sooner, been in meetings all day, it sucks being a CEO.
Eric
DVD Ripper for Mac
Mac Video Converter
They are very practical softwares. With DVD Ripper for Mac, you can rip DVD to any other video and audio formats on Mac OS X.
Mac Video Converter can help you convert almost all popular video formats on Mac.
برامج جديدة ازياء افلام كرتون
دردشةالعاب فلاش ديكور
ازياء 2008 قصائد شعريةدور
بلوتوث ثيماتوسائط MMS
تحميل ملفات خطوط عربية
نكت ديكور فوتوشوب
صور فنانات
اجابة
صور رسائل
العاب بنات العاب اطفال
الاكثر بحث العاب تسريحات صور ديكور العاب قتالية العاب سباقات العاب ذكاء العاب رياضية العاب اكشن العاب متاهات العاب جديدة صور نانسي عجرم صور تامر حسني صور لميس صور مدبلجين اصوات مسلسل سنوات الضياع صور ياسر القحطاني سيارات معدله اسعار السيارات قصص روايات نظارات شمسية فساتين العروسة مسكات حلوة جدا للعروس
مسنجر9
صور ماسنجرتوبيكات لعبة ترافيانشرح لعبة ترفياندراغون بول
برامج انترنت متصفحات إنترنت برامج ارسال رسائل جوال مجانية برامج محادثات و ماسنجر برامج البريد الالكتروني برامج تنزيل و تحميل الملفات برامج تسريع الإنترنت و النت برامج تبادل و مشاركة الملفات برامج PDF وتحويل صيغها
برامج ويب كام WebCam تحديثات شاشات توقف
برامج خدمات الكمبيوتر خدمات الاجهزة برامج ادارة النظام برامج شبكات برامج استعادة الباسوورد برامج ضغط وفك ضغط الملفات نسخ احتياطي ادارة كلمات المرور برامج صوت وصورة برامج فيديو برامج صوت محولات الفيديو محول الصوتيات كوديك وتحديث الصوتيات والمرئيات برامج راديو وتلفزيون كوديك وتحديث الصوتيات والمرئيات برامج دي جي ادوات DJ برامج حماية و مكافحة برامج تحرير وتقطيع الفيديو برامج مكافحة ملفات التجسس برامج جدار ناري برامج بروكسي حماية الملفات والمجلدات برامج تصميم برامج تحرير واستعراض الصور
نسخ الاقراص المدمجة برامج فلاش و سويتش برامج اصحاب المواقع محررات PHP Editor برامج FTP اكواد لغات البرمجة كتب و مكتبة برامج عربية ومعربة برامج هندسة و هندسة معمارية برامج اطفال برامج ترجمة اللغات برامج Portable برامج جوال برامج نوكيا برامج سوني اريكسون برامج جوال موتورلا العاب نوكيا برامج و العاب Pocket PC نغمات الجوال ثيمات الجوال العاب كمبيوتر العاب اكشن و مغامرات العاب رياضية
صور سكس سنوات الضياع
wow gold
wow gold
eve isk
wow power leveling
wow power leveling
wow power leveling
wow power leveling
warhammer gold
warhammer power leveling
china travel
sesli sohbet
chanel replica bags ;
replica chanel handbags ;
wholesale replica bags ;
chanel replica purses;
gucci replica handbags ;
replica gucci handbags ;
In addition we offer prepaid game cards for many games. Multilingual competent team, we are your MMORPG´s partner.
wow account
여성 신용 신용
대만 돈많은 그물을 신용
신용 법 여자 국가 신용 민간 조사 기관의