corporate control and imposes a 50% excise tax on
greenmail profits.
"The Canadian securities law regime differs significantly from the regulatory environment in the United States which prompted the creation of the Pill and which permits two-tier front-end loaded junk bond-financed bust-up acquisitions, street sweeps and
greenmail." Gordon Coleman, "Poison Pills in Canada" (1988) Can.
Nevertheless,
greenmail still occurs, (116) and it can be characterized
(53) Goodyear succeeded in retaining control of the company, but at a cost of $90 million in
greenmail (54) to Goldsmith and, according to some, the "abandonment of its long-term corporate strategy." (55) Goodyear's publicity campaign against the attack on a "treasured midwestern 'institution'" (56) helped set the stage for legislation to slow foreign investment.
Greenmail is a cut above ordinary email because it makes messages safe using bespoke encryption technologies, prevents spam junk mail, stops people sending mail to the wrong recipient, tells the sender when their message has been read, and gives a genuine recall facility if the sender gets it wrong--which can save red faces all round!
The most notable of these institutional investors are large pension funds such as CalPERS and TIAA-CREF, both of which specifically discourage the use of unequal voting, secret ballot, supermajority requirements, staggered boards,
greenmail, and poison pills, all of which are components of the Gompers et al.
"We are not interested in playing a game that some would describe as '
greenmail.'"
First, the repurchase can be considered as
greenmail, if the company buys back stock from a potential raider at a premium above the market price.
The past two decades have been a rough ride for Carteret, N.J.-based Pathmark Stores, starting with an unfortunate
greenmail attempt, a leveraged buyout by Merrill Lynch shortly thereafter, and later, an acquisition deal with Ahold that was quashed by the Federal Trade Commission.
The study did not include companies that repurchased their stock because of a
greenmail threat.
As the mystery progresses, readers seamlessly learn both the meaning and the downside for shareholders of corporate use of "poison pills," "
greenmail," "option-repricing," "golden parachutes," and "political entrepreneurship." Wilson goes for the jugular.