Yahoo says 'No' to Microsoft, again

Chairman and CEO say $44.6 billion bid is too low in an open letter to Ballmer, but add that Web company is not opposed to some sort of deal.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

How much credit card debt do you currently have?
  • More than $10,000
  • $1,000 - $10,000
  • Less than $1000
  • None

NEW YORK (CNNMoney.com) -- Yahoo continued to reject Microsoft's $44.6 billion unsolicited bid for the company Monday.

The Internet company is not opposed to some sort of financial deal, but the current offer is too low, chairman Roy Bostock and chief executive Jerry Yang said in a letter responding to Microsoft chief Steve Ballmer.

Microsoft (MSFT, Fortune 500) sent a letter to Yahoo (YHOO, Fortune 500) on Saturday, threatening to offer the deal directly to stockholders if the company's board did not respond by April 26. When first put forward Feb. 1, the deal was worth about 62% above market value.

Bostock and Yang pointed to Yahoo's three-year financial plan, its new AMP advertising management platform and the fact that the company recently reaffirmed its first-quarter and year-end outlook as reasons they believe the Microsoft bid was low.

Ballmer's letter acknowledged Yahoo's search for third-party bids from other companies such as Google (GOOG, Fortune 500), News Corp. (NWS, Fortune 500) and Time Warner (TWX, Fortune 500), but questioned why the company refused to negotiate with Microsoft.

Yahoo's response also said that Ballmer's letter "mischaracterizes the nature of our discussions," and that the threat to take the offer to shareholders was "counterproductive and inconsistent with your stated objective of a friendly transaction."

The company said it was open to a transaction from any potential buyer, including Microsoft, but that it would reject anything below what it considers "full value." To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
Want to buy -- and live in -- a piece of history? It's not that far out of reach. These historic homes are not only for sale, they are incredible bargains. More
5 ways retailers are tracking you If you think pesky salespeople are invading your personal space, check out these 5 technologies that are tracking your movements throughout a store. More
Moto X vs. Droid Turbo: Which Droid should you buy? Motorola has made the two best Android smartphones this year. Here's how they stack up. More


Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer.

Morningstar: © 2014 Morningstar, Inc. All Rights Reserved.

Factset: FactSet Research Systems Inc. 2014. All rights reserved.

Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved.

Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2014 and/or its affiliates.