Sotheby's Adopts Shareholder Rights Plan With Shareholder Protections, Related to Loeb Pressures

The Board of Directors of Sotheby's BID today adopted a shareholder rights plan and declared a dividend distribution of one preferred share purchase right on each outstanding share of the Company's common stock. The Board adopted the rights plan in response to the recent rapid accumulations of significant portions of Sotheby's outstanding common stock, including through the use of derivatives. It is intended to protect Sotheby's and its shareholders from efforts to obtain control that are inconsistent with the best interests of the Company and its shareholders. The rights plan provides several recognized shareholder protections: expires automatically in 12 months unless approved by shareholders (in which case it will expire in three years); has an exception for offers made for all shares of the Company that treat all shareholders equally and that result in the bidder owning a majority of the Company's shares after 100 days; guards against coercive tactics to gain control without paying all shareholders a premium for that control; and facilitates the ability of all shareholders to realize the full long-term value of their investment in the Company. Bill Ruprecht, Sotheby's Chairman and CEO, said: "This action is designed to protect the interests of See full press release