|[11:00 AM] Apple Proxy Statement Could Indicate Stock Split; Woolard To Step Down From Board
by Wes George
Apple recently issued a proxy statement announcing the company's annual meeting of shareholders on April 20th in Cupertino. At the meeting, shareholders of record as of February 22, 2000 will vote on a number of pressing issues.
First, shareholders will be asked to reelect six of the seven Apple board members on the board of directors. One member, Edgar S. Woolard Jr. will retire from the board after the meeting and Apple has no plans to replace his vacant seat. Mr. Woolard is the only board member whose tenure predates the return of Steve Jobs to Apple.
The most important and far reaching issue to be voted on at the meeting is a proposal to increase the number of authorized shares of common stock from 320,000,000 shares to 900,000,000 shares. This almost certainly means Apple is planning on a stock split in the next 12 months.
There are other minor procedural business issues that may come before the meeting. Interested parties can download the PDF of the proxy statement. It contains detailed records of the compensation and stock options allotted to each board member and to executive officers.
For other stories regarding Apple's stock activity, visit our Apple Stock Watch Special Report.
The Mac Observer Spin: It is unlikely that Apple is planning a 3 for 1 split as the company has been pleased with having a higher price per share. With this in mind, tripling the number of AAPL shares Apple has to work with is therefore more than what is needed for a simple stock split. What does Apple plan to do with the rest? No one can say for sure, however, one option is the acquisition of other companies through stock swaps. Often, a large, ambition company like Apple will purchase a smaller company to acquire a technological puzzle piece that fits into Apple's larger picture.
Of course, the Board could be planning on giving Steve Jobs another 10 million or so options... Just kidding folks.
It's also interesting to note that Apple has no obligation to make this proxy statement available to anyone but shareholders. By posting it on the Internet, Apple is a pioneering a new style of corporate openness, unimaginable a few years ago.