Business Notes
Staff -- TWICE, 8/19/2002
XM Holdings Adopts Stockholder Rights Plan
Washington— XM Satellite Radio Holdings has adopted a Stockholder Rights Plan, designed to deter coercive or unfair takeover tactics. This would kick in only if a person or group became owner of 15 percent or more of XM's Class A Common Stock. The same is true if anyone commences, or announces an intention to commence, a tender offer or exchange offer, which would result in its ownership of 15 percent of Class A Common Stock.
Palm Approves Reverse Stock Split Implementation
Santa Clara, Calif. — PDA maker Palm announced it is looking to initiate a reverse stock split, which would range from 1-for-10 to 1-for-20. The split, intended to increase the handheld device company's depressed stock price, is also expected to better position it for a planned spin-off of the PalmSource software division. Palm's board could implement the split any time before April 1, 2003. Shareholders will receive the proposal Oct. 1.
