Hedge Fund Demands Yahoo CEO Scott Thompson Fired Over Resume Inaccuracies
Third Point, which is engaging in a proxy battle with the Internet company, wants Thompson and another director to be gone by Monday.
A hedge fund that hasn't been thrilled with the performance of its 5 percent stake in Yahoo to begin with upped its attack on the compay Friday by calling for the termination of CEO Scott Thompson over inaccuracies in his resume.
The fund, Third Point, was the first to accuse Yahoo of padding the resume of not only Thompson but also of director Patti Hart.
Third Point, which is seeking to oust some of Yahoo's directors and replace them with ones of their choosing, said in a letter that Hart should resign and Thompson should be fired by Monday afternoon.
Yahoo's corporate website listed among Thompson's credentials a bachelor's degree in accounting and computer science, when, as Yahoo clarified on Friday, he actually has a degree in business administration.
As for Hart, her bio at Yahoo's website claimed a degree in marketing and economics but it was also in business administration.
In a letter to Yahoo's board of directors from Third Point CEO Daniel Loeb, he notes that the errors have been in SEC filings for years.
"The board should make no mistake: this is a big deal. CEOs have been terminated for less at other companies," Loeb writes.
"Irreparable damage to Yahoo's culture will continue," Loeb wrote, "every day that the board allows Mr. Thompson and Ms. Hart to remain at the helm of the company after having clearly demonstrated that they lack even the 'minimum qualifications for service as a director of the company.'"