Carl Icahn Presses for Apple Shareholder Vote on Increased Stock Buyback

IcahnActivist investor Carl Icahn has filed paperwork to ask Apple shareholders to recommend a $50 billion share repurchase to Apple's board of directors.

The request is what's called a precatory proposal, meaning even if a majority of shares vote in favor, it would not be binding on Apple's management. In an interview with Time, Icahn said he believes CEO Tim Cook and Apple's management team are doing a good job, but he believes the company should be spending more of its capital on its own shares.

For his part, Icahn says he doesn’t consider his proposal an indictment of Apple CEO Tim Cook, or the company’s management, per se. "Tim Cook is doing a good job with the business,” Icahn tells TIME. "I think he’s good whether he does what I want or not." But, says Icahn, referring to the company’s huge cash stockpile, "Apple is not a bank."

[...]

I’m not against the management of this company. But they’ve got too much money on their balance sheet."

Icahn is able to withdraw his proposal before the shareholder's meeting if he no longer wishes to press the issue, either because Apple agrees with him or he believes a potential proxy fight is no longer in his favor. If not, Apple would likely recommend investors vote against the proposal, even though it isn't binding.

Since he first disclosed his position in Apple back in August, Icahn has been vocal about asking the company to increase its buyback at the same time he has dramatically increased his stake in the company.

Apple, for its part, announced a significant increase in its capital return program back in April of 2013, and management pledged to reexamine its share repurchase and dividend programs in the first half of 2014.

Top Rated Comments

b13o0r12e3 Avatar
135 months ago
Mr. Icahn, if you're reading this

here's two words for you.

****. OFF.

Yours sincerely,
Disgruntled Apple Shareholder
Score: 51 Votes (Like | Disagree)
Swift Avatar
135 months ago
Look at that face

Who doesn't despise this load of crap?
Score: 49 Votes (Like | Disagree)
appleofmy"i" Avatar
135 months ago
Shut up, Carl.
Score: 32 Votes (Like | Disagree)
apfeljonas Avatar
135 months ago
Ahh, just when I thought he'd gone away...
Score: 32 Votes (Like | Disagree)
fredfnord Avatar
135 months ago
Ye gods and little fishes...

…I am beginning to DESPISE this man.

He seems to have more or less singlehandedly destroyed a company that I had a fair bit of stock in, a while ago: he pumped up the share price, got out, and the company is now scraping along the bottom and is liable to get bought out for a song. Not really any different from Romney: if he can make a bunch of money by destroying a company and stepping on the faces of the employees and the small investors, he'll do it. (I sometimes think these people prefer it that way, because that way they can also contemplate how much more awesome they are than the people whose livelihoods they destroyed.)
Score: 26 Votes (Like | Disagree)
vito Avatar
135 months ago
who would have thought it an investor who only cares about making even more money
Score: 21 Votes (Like | Disagree)

Popular Stories

reset password request iphone

Warning: Apple Users Targeted in Phishing Attack Involving Rapid Password Reset Requests

Tuesday March 26, 2024 4:34 pm PDT by
Phishing attacks taking advantage of Apple's password reset feature have become increasingly common, according to a report from KrebsOnSecurity. Multiple Apple users have been targeted in an attack that bombards them with an endless stream of notifications or multi-factor authentication (MFA) messages in an attempt to cause panic so they'll respond favorably to social engineering. An...
iPhone Home Screen Gradient Blank Spaces 1

Sources: iOS 18 Lets Apps Be Placed Anywhere on Home Screen Grid

Sunday March 24, 2024 1:33 pm PDT by
iOS 18 will give iPhone users greater control over Home Screen app icon arrangement, according to sources familiar with the matter. While app icons will likely remain locked to an invisible grid system on the Home Screen, to ensure there is some uniformity, our sources say that users will be able to arrange icons more freely on iOS 18. For example, we expect that the update will introduce...
iPad Pro 2024 Landscape Camera Feature

New iPad Pro Again Rumored to Feature Landscape Front-Facing Camera

Monday March 25, 2024 5:43 am PDT by
The next-generation iPad Pro will feature a landscape-oriented front-facing camera for the first time, according to the Apple leaker known as "Instant Digital." Instant Digital reiterated the design change earlier today on Weibo with a simple accompanying 2D image. The post reveals that the entire TrueDepth camera array will move to the right side of the device, while the microphone will...
maxresdefault

Apple Announces WWDC 2024 Event for June 10 to 14

Tuesday March 26, 2024 10:02 am PDT by
Apple today announced that its 35th annual Worldwide Developers Conference is set to take place from Monday, June 10 to Friday, June 14. As with WWDC events since 2020, WWDC 2024 will be an online event that is open to all developers at no cost. Subscribe to the MacRumors YouTube channel for more videos. WWDC 2024 will include online sessions and labs so that developers can learn about new...
sonoma desktop wwdc

Apple Releases macOS Sonoma 14.4.1 With Fix for USB Hub Bug

Monday March 25, 2024 10:10 am PDT by
Apple today released macOS Sonoma 14.4.1, a minor update for the macOS Sonoma operating system that launched last September. macOS Sonoma 14.4.1 comes three weeks after macOS Sonoma 14.4. The ‌‌‌‌macOS Sonoma‌‌ 14.4‌.1 update can be downloaded for free on all eligible Macs using the Software Update section of System Settings. There's also a macOS 13.6.6 release for those who...
Generic iOS 18 Feature Purple

iOS 18 Will Finally Bring This Android Feature to iPhone

Monday March 25, 2024 6:42 am PDT by
iOS 18 will allow iPhone users to place app icons anywhere on the Home Screen grid, according to sources familiar with development of the software update. This basic feature has long been available on Android smartphones. While app icons will likely remain locked to an invisible grid system on the Home Screen, our sources said that users will be able to arrange icons more freely on iOS 18....
apple maps 3d feature

Apple Maps May Gain Custom Routes With iOS 18

Tuesday March 26, 2024 3:10 pm PDT by
Apple may be planning to add support for "custom routes" in Apple Maps in iOS 18, according to code reviewed by MacRumors. Apple Maps does not currently offer a way to input self-selected routes, with Maps users limited to Apple's pre-selected options, but that may change in iOS 18. Apple has pushed an iOS 18 file to its maps backend labeled "CustomRouteCreation." While not much is revealed...