Yahoo CEO May Face Dissenting Shareholders At AGM On Tuesday

Terry Semel will surely face some tough questions from investors at its annual general meeting this Tuesday. Not much will happen with these protest, but at least one activist investor believes it could add momentum to campaigns to overhaul its executives and replace Semel, reports WSJ.

Among the gripes: Semel’s annual salary, in face of continued stock and performance decline for the company. Semel’s total compensation last year of $71.7 million put him at the top of the list of highest-paid CEOs at Standard & Poor’s 500 companies that have filed with regulators this year, according to an AP analysis of the filings.

AP: “The company is drifting,” said Eric Jackson, who intends to confront Semel during the meeting on behalf of about 80 Yahoo stockholders who own a combined 2 million shares (about 0.2 percent of Yahoo’s outstanding stock) in the company. “And its problems ultimately lie at Terry’s feet.” Besides pushing for Semel’s ouster, Jackson’s group believes six other directors on Yahoo’s 10-member board should be bounced: Roy Bostock, Ron Burkle, Eric Hippeau, Arthur Kern, Robert Kotick, Edward Kozel and Gary Wilson. Only Yahoo co-founder Jerry Yang, HP executive Vyomesh Joshi and Ed Kozel, CEO of Silicon Valley startup Skyrider Inc., have done enough to remain on the board, Jackson contends. Lots more details in the AP story.

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