Time Warner Introduces New Rules For Board Nominations

Time Warner IncTWX8-K document, only stockholders, or a group of up 20 stockholders, who have owned 3 percent or more of Time Warner's outstanding common stock continuously for at least 3 years can nominate an individual to the company's Board of Directors. Time Warner's amendments come at a time when various activist investors are believed to be eyeing a large stake in the company with the hopes of gaining a seat on the Board of Directors. Related Link: Report: Nelson Peltz Said To Be Eyeing Stake In Time Warner Variety quoted a research report by analysts at Jefferies which stated: "This is a new right given to shareholders — it is not a change to an existing right." The analysts added, "we do not believe this amendment is a reaction to recent market speculation related to shareholder activism." Shares of Time Warner were trading lower by more than 1 percent Wednesday morning.