ISS Recommends Voting ‘No’ On Icahn’s $50bn Buyback Proposal

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Proxy advisory firm Institutional Shareholder Services (ISS) has recommended that shareholders vote against Carl Icahn’s share buyback proposal for Apple.

According to the ISS report, “[The Apple board] has returned the bulk of its U.S.-generated cash to shareholders via aggressive stock buybacks and dividends payouts. In light of these good-faith efforts and its past stewardship, the board’s latitude should not be constricted by a shareholder resolution that would micromanage the company’s capital allocation process.”

Icahn is currently in the middle of a campaign to get Apple to return more cash to shareholders, and has filed a resolution proposing that the company give back $50 billion more through share buybacks. Apple shareholders will vote on the proposal at a February 28 meeting.

ISS isn’t the only proxy advisory firm to suggest that shareholders vote against Icahn’s proposal. On Friday, Egan-Jones also advised shareholders to take the same course of action.

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About the author

Luke DormehlLuke Dormehl is a UK-based journalist and author, with a background working in documentary film for Channel 4 and the BBC. He is the author of The Formula: How Algorithms Solve All Our Problems, And Create More and The Apple Revolution, both published by Penguin/Random House. His tech writing has also appeared in Wired, Fast Company, Techmeme, and other publications. He'd like you a lot if you followed him on Twitter.

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