A Proxy Fight Occurs When

question 51

Multiple Choice

A proxy fight occurs when:

• A) the board solicits renewal of current members.
• B) a group solicits proxies to replace the board of directors.
• C) a competitor offers to sell their ownership in the firm.
• D) the firm files for bankruptcy.
• E) the firm is declared insolvent.

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Definitions:

Oil Reserves

Quantified estimates of the amount of crude oil located in a specific economic region that can be recovered and sold under current economic and technological conditions.

Hostile Takeovers

Attempts by a company to acquire another company against the wishes of the target company's management and board of directors.

Poison Pills

Strategies used by companies to deter unwanted takeover bids by making the company less attractive to the potential acquirer.

Golden Parachutes

Payments made to executives who are forced out when a merger takes place.