Heat is on Time Warner

first_imgNEW YORK (AP) – Carl Icahn, the billionaire investor, stepped up his campaign for changes at Time Warner Inc. Tuesday, issuing a letter to shareholders accusing the company’s executives of mismanagement and demanding new shareholder representation on the board. Icahn has already urged the company to step up its share buyback program from $5 billion to $20 billion as a way to lift the company’s sluggish stock price. He also wants the company to completely spin off its cable TV division, instead of only the 16 percent stake that Time Warner currently plans to spin off. In his letter to shareholders, Icahn also accused the company of getting poor prices on two previous deals, one to sell off Warner Music Group last year and the sale of its 50 percent stake in Comedy Central to Viacom Inc. Icahn also repeated his criticism of Time Warner’s decision in early 2000 to be acquired by America Online Inc. at the height of the Internet bubble, which led to a 75 percent decline in the company’s value over two years. AD Quality Auto 360p 720p 1080p Top articles1/5READ MOREWalnut’s Malik Khouzam voted Southern California Boys Athlete of the Week160Want local news?Sign up for the Localist and stay informed Something went wrong. Please try again.subscribeCongratulations! You’re all set!last_img read more

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