Case Name :      Apple: Corporate Governance and Stock Buyback

Authors :           Won-Yong Oh, Seoyeon Park

Source :             Ivey Publishing

Case ID :            W14736

Discipline :        General Management

Case Length :    11 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

An activist shareholder who invested a significant amount in Apple’s stock proposed a share repurchase program. If this proposal were approved at the annual shareholder’s meeting, Apple would be in a position to buy back a significant number of its shares on the stock market, which would drive up the stock price. However, the executives and board of directors opposed the proposal and recommended that the shareholders vote against it. Apple’s subsequent annual meeting of shareholders was scheduled to be held on Friday, February 28, 2014. Shareholders could either vote for the proposal or follow the recommendation of Apple’s board.