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
103 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
103 months ago
Look at that face

Who doesn't despise this load of crap?
Score: 49 Votes (Like | Disagree)
appleofmy"i" Avatar
103 months ago
Shut up, Carl.
Score: 32 Votes (Like | Disagree)
apfeljonas Avatar
103 months ago
Ahh, just when I thought he'd gone away...
Score: 32 Votes (Like | Disagree)
fredfnord Avatar
103 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
103 months ago
who would have thought it an investor who only cares about making even more money
Score: 21 Votes (Like | Disagree)

Top Stories

iphone 11 night mode photos

Apple Reveals New Night Mode Photo Feature Exclusive to iPhone 11 Series

Tuesday September 10, 2019 12:23 pm PDT by
Apple today announced the iPhone 11, iPhone 11 Pro, and the iPhone 11 Max, all-new models that boast improved cameras, and specifically, a dramatic new Night Mode photo feature. Last year, Google introduced its impressive Night Sight camera mode, a software-based feature that allows users to take detailed pictures in dark environments using Google Pixel smartphones. Apple's new Night...
maxresdefault

Craig Federighi and Greg Joswiak Discuss iPadOS 15, macOS Monterey, Privacy, Shortcuts on Mac, and More

Saturday June 12, 2021 6:12 am PDT by
As is tradition, Apple executives Craig Federighi and Greg Joswiak joined Daring Fireball's John Gruber in an episode of The Talk Show to discuss several announcements that Apple made over this weeks WWDC, including iPadOS 15, macOS Monterey, and a large focus around privacy. Federighi kicks off the conversation discussing the common architecture, now thanks to Apple silicon, across all of...
affinity designer contour tool

Serif Updates Affinity Photo, Designer, and Publisher With New Tools and Functions

Thursday February 4, 2021 1:58 am PST by
Serif today announced across-the-board updates for its popular suite of Affinity creative apps, including Affinity Photo, Affinity Designer, and the Apple award-winning Affinity Publisher for Mac, all of which were among the first professional creative suites to be optimized for Apple's new M1 chip. "After another year which saw record numbers of people switching to Affinity, it's exciting to...
studio buds family

Beats Studio Buds Debuting Today With Active Noise Cancellation, Stemless Design, and More for $150

Monday June 14, 2021 8:00 am PDT by
We've seen a lot of teasers about the Beats Studio Buds over the past month since they first showed up in Apple's beta software updates, and today they're finally official. The Beats Studio Buds are available to order today in red, white, and black ahead of a June 24 ship date, and they're priced at $149.99. The Studio Buds are the first Beats-branded earbuds to truly compete with AirPods...
iPhone 13 Dummy Thumbnail 2

Kuo: iPhone 13 to Feature LEO Satellite Communications to Make Calls and Texts Without Cellular Coverage

Sunday August 29, 2021 7:39 am PDT by
The iPhone 13 will feature low earth orbit (LEO) satellite communication connectivity to allow users to make calls and send messages in areas without 4G or 5G coverage, according to the reliable analyst Ming-Chi Kuo. In a note to investors, seen by MacRumors, Kuo explained that the iPhone 13 lineup will feature hardware that is able to connect to LEO satellites. If enabled with the relevant...
homepod feature blue2

Looking to Grab a HomePod Before They're Gone? These Retailers Still Have Stock

Monday March 15, 2021 6:54 am PDT by
Apple last week discontinued the original HomePod, marking just over three years on the market for the full-size smart speaker. If you're looking to purchase the larger HomePod before it's completely gone, there are still some options online today. The biggest retailer with remaining stock on the HomePod is Apple itself, which has the White HomePod for $299.00 on its website. Space Gray is...
maxresdefault

Apple Releases Redesigned 'Apple TV Remote' App for iPhone

Monday August 1, 2016 11:59 am PDT by
Apple today released an all new Apple TV Remote app for the iPhone, which is used to control the fourth-generation Apple TV along with older Apple TV models. Announced at WWDC, the new Remote app has been available for developers since June and was released to the public this afternoon. The new Remote app, which connects to an Apple TV via Bluetooth, mimics the exact layout of the physical...
youtube apple tv

YouTube Discontinuing 3rd-Generation Apple TV App, AirPlay Still Available

Wednesday February 3, 2021 3:09 pm PST by
YouTube is planning to stop supporting its YouTube app on the third-generation Apple TV models, where YouTube has long been available as a channel option. A 9to5Mac reader received a message about the upcoming app discontinuation, which is set to take place in March.Starting early March, the YouTube app will no longer be available on Apple TV (3rd generation). You can still watch YouTube on...
iwork macos monterey icons

macOS 12 Monterey Beta 5 Reveals Updated iWork Icons

Thursday August 12, 2021 12:00 pm PDT by
Apple is working on updated icons for the macOS versions of its iWork apps, according to images discovered by MacRumors. The new icons are included in the framework of macOS 12 Monterey beta 5 that handles the display of collaboration links in apps such as iMessage. Pages, Numbers, and Keynote icons found in macOS Monterey The images of the new macOS iWork icons for Pages, Numbers, and...
corellium

Apple and Corellium Agree on Settlement to Bring Lawsuit to an End

Tuesday August 10, 2021 11:36 pm PDT by
Apple this week dropped its long-standing lawsuit against Corellium, the security research company that provides security researchers with a replica of the iOS operating system, allowing them to locate possible security exploits within Apple's mobile operating system, The Washington Post reports. Apple filed a lawsuit against Corellium in 2019, claiming the security company was infringing...