Apple reported solid results with computer shipments up 41 percent, but issued conservative guidance for the next three months—as the company is wont to do—and its stock also plunged after hours by 11 percent. The WSJ on B1 says its outlook raises concerns for a nervous technology industry.
But much of the drop could have been because of hardly reassuring words from Apple’s chief financial officer concerning worries about CEO Steve Jobs’ health after the cancer survivor appeared gaunt at a recent event:
Responding to an analyst’s question about CEO Steve Jobs’s health, Mr. Oppenheimer said on a conference call that Mr. Jobs “has no plans to leave Apple” and the Apple leader’s “health is a private matter.”
The Journal inexplicably leaves it at that without any context about Jobs’ medical history. It should have expanded on that and it seriously underplayed the health information by putting it in the penultimate paragraph. The Times on C1 is not much better.
Yahoo buys off Icahn with three board seats
Yahoo agreed to give activist investor Carl Icahn three board seats to get him to end his proxy fight with the company over its refusal to sell to Microsoft, the Journal says on A1 and the Times on C1.
Yahoo will probably regret buying off Icahn, who only owns 5 percent of its shares. Here’s what he’s done at Blockbuster, where he owns just 14 percent:
Since he gained control of three seats on what was an eight-person board, the company’s CEO and most of the top management have left. People familiar with the company say Mr. Icahn was able to block one major business venture and delay another for months. The company even holds board meetings in New York, because Mr. Icahn won’t travel to its Dallas headquarters.
The Times says his board power could mean a better chance of a Microsoft deal.