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Technology Stocks : America On-Line: will it survive ...?

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To: Brian K Crawford who wrote (1878)2/24/1997 11:41:00 PM
From: Zoltan!   of 13594
 
>>Anybody want to chat about the latest Eisner thing? Now there is a guy that could show Steve Case a thing or two about managing a board of directors...and getting a VERY fair comp package.

They discussed that very matter tonight on CNBC with professional managers who basically agreed that Eisner's salary is very low at $750,000. His total compensation is high only when the company performs well.

The reason Eisner is the most highly compensated CEO in the world is merely that Disney performs. It's market cap under Eisner has gone from $2 to $53 billion. And the stock is up smartly again this year.

There is no media company in the same league, just look at that basket case Time-Warner, no earnings & all debt, saddled with a vice-chairman who is a nut waiting for certification. Time-Warner is just a conglomeration of lousy mergers led by the myopic.

Disney set a precedent when it became the first U.S. company in modern times to sell 100 year bonds - it was an easy sale. When Disney bought Capital Cities, Disney wanted to pay cash and no stock, because its stock is so valuable. Cap Cities wanted all stock. So they compromised, half cash, half stock.

Tonight the professionals agreed that if some don't like Eiser's pay, then they should sell the stock.

Bill Gates had it right when he said Disney is the "greatest brand in modern history". Everything else is Brand X.

Regards
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