However, a recapitalization producing different classes of voting stock in a family company can often work well.
U.S. laws currently cap international ownership to 25 percent of voting stock, and prohibit "actual control" by foreign citizens.
Now Berezovsky effectively controls ORT with 36% of the network's voting stock, and Lisovsky is again the sole agent for its advertising.
Despite all these woes, Murdoch is solidly entrenched as the chief of News Corp. as he owns some 40% of the voting stock.
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The parents may want to recapitalize the business to create voting and non-voting stock, or they may want to put restrictions on the transferred stock.
Members of the Bancroft and Ottaway families, which between them own a majority of Dow Jones's voting stock, have come out against Mr Murdoch's offer.
At the start of 2011, Allen converted 2.2 million shares of super-voting stock to ordinary shares, meaning he no longer retained a 35% voting interest associated with his super-voting shares.
This offer, hitherto unreported, was surprising coming from the man whose family controls 40% of the voting stock of Ford Motor and who had been chief executive only since October 2001.
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In the meantime, the family controls about 64 percent of the voting stock, but there are a lot of other investors out there, and they're saying, hey, this is an opportunity.
In addition, each Voting Cayman Entity has entered into an administration agreement with AIML pursuant to which AIML is authorized to vote the voting stock of CHCL held by such Voting Cayman Entity.
In Silicon Valley, it has become popular to find creative ways to shield management and corporate founders from shareholder pressures, either by creating super-voting stock or trying to avoid the stock market all together.
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He came to the company's rescue a second time two years ago when the company was imperiled by a spat between Bleustein-Blanchet's daughters, Elisabeth Badinter and Michle Bleustein-Blanchet, who then controlled 25% of the voting stock.
States do not have to acquire majority interest (control of 50% or more of the voting stock) or even insider ownership (control of 5% or more of the voting stock) to wield an influential hand in furthering their interest.
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Company Y common stock owned by any trust created hereunder: all decisions regarding the sale or retention of such stock and all voting of such stock.
Another advantage in buying only non-voting common stock, is that it is very entrepreneur-friendly.
In total, holders of Class B stock control approximately 98% of the voting power of outstanding stock.
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Other defensive measures, such as converting non-voting shares into common stock, and paying a special dividend, also look reassuringly shareholder-friendly.
The companies he controls--Hollinger Inc. and closely held Ravelston -- have just an 18% economic interest in Hollinger International through Class B shares that have ten times the voting rights of common stock.
Svyazinvest's shareholdings in its main subsidiaries, usually 38%, carry voting control because each subsidiary has 25% of its stock issued in non-voting form.
They set up two classes of stock--a large block of nonvoting Class A stock (which was willed to the charitable Ford Foundation) and a much smaller block of Class B stock that had voting rights (and was willed to the family).
Benjamin Graham said that in the short-term the stock market is a voting machine, while in the long-term it is a weighing machine.
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Both companies will be under Murdoch's control through a family trust that owns nearly 40 percent of a special stock that wields extra voting power.
With its shares selling for a quarter of their 1999 peak, it could also be an opportunity for the Ford family, which still has over 40% voting control, to buy back stock at a depressed price.
Preferred stock compensates investors for diminished voting rights by giving them priority over common shareholders for dividends and typically by paying higher comparative yields.
In the short term, the stock market behaves like a voting machine, but in the long term it acts like a weighing machine (i.e. its true value will in the long run be reflected in its stock price).
At 12 companies in the Russell 3000 stock index, a majority of voting investors have recommended against pay plans this year, according to Institutional Shareholder Services, a proxy advisory firm.
Heavy concentration in the stock of a single employer with no voting or managerial rights, I wrote, sounded like a recipe for disaster.
The situation has been complicated by the fact that Mr Taubman owns 22% of the company's stock, but controls 63% of voting rights.
With them, they will receive voting rights and are allowed to exercise the preferred stock if more than 10% of common shares are acquired.
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