• Institutional Investors Take Back The Street
  • September 18, 2009 | Author: Benjamin Galdston
  • Law Firm: Bernstein Litowitz Berger & Grossmann LLP - San Diego Office
  • For one brief moment on March 3, 2004, Walt Disney shareholders brought months of simmering discontent with Disney management to a climax by registering a whopping 43% vote against re-electing CEO Michael Eisner as Chairman of the Board. Although the vote failed to oust Eisner, who is expected to remain Disney's chief executive through the duration of his contract, which expires in 2006, it marked a watershed in developing shareholder activism and sent a clear message across many boardrooms. Shareholders are no longer willing to sit by silently while directors fail to contend with perceptions of corporate mismanagement or outright fraud.