Summary Box: Yahoo CEO mulls new plan for windfall

AP News
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Posted: Aug 09, 2012 7:31 PM

SECOND THOUGHTS: Newly hired Yahoo CEO Marissa Mayer is mulling whether it makes sense for the company to follow through on its promise to pay shareholders billions of dollars from an anticipated windfall later this year.

THE JACKPOT: Yahoo Inc. is selling half its stake in Chinese Internet company Alibaba Group in a deal expected to generate after-tax proceeds of $4.2 billon. The company had pledged to distribute most of that money to shareholders.

INVESTOR REACTION: After Thursday's disclosure about Mayer's potential change of heart about how to use the Alibaba money, Yahoo's stock fell by more than 3 percent.