Chapter 22

How Companies Communicate with Shareholders

IN THIS CHAPTER

Bullet Attending annual shareholder meetings

Bullet Looking at the responsibilities of the board of directors

Bullet Keeping abreast of corporate special events

Bullet Listening perceptively to analyst calls

Bullet Getting information from company websites

Bullet Investing through company incentive programs

Happy shareholders don't necessarily make for a happy company, but they're a good start. Although a company collects most of the money generated from stock transactions when the stock is first sold to the public during an initial or secondary public offering, shareholders still hold a bit of power over management. Angry shareholders showed what their wrath could do when their lack of support for Disney CEO Michael Eisner helped oust him from the chairmanship of the board in 2004. In August 2013, at the time of this writing, another very public fight ...

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