Apple to shareholders: Vote against Icahn's stock proposal

(Credit: /James Martin)

Apple is urging its shareholders to vote against a proposal to increase the amount of money the company spends to buy back stock, according toa proxy statement filed Friday.

The proposal, made by wealthy investor Carl Icahn, asks Apple to commit to at least $50 billion of share repurchases next year. It's a "non-binding advisory resolution," meaning even if Apple shareholders approve the measure, the company would not be bound to the decision. Icahn has been steadily applying pressure for an increased buyback.

Icahn's proposal (No. 10) is one of 11 proposals Apple shareholders will be asked to vote on at the company's annual shareholder meeting, which the documents revealed will be held on February 28. The proxy statement, which Apple files annually, details compensation for both executives and board members and discusses issues shareholder will be asked to vote on at the upcoming shareholder meeting.

The board's statement in opposition to Icahn's proposal tries to reassure investors that Apple is "fully committed to returning cash to shareholders," without an increased buyback program.

Via: CNET