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Icahn Rejects Motorola Board Compromise

By Staff Author | March 25, 2008

Along with the news that billionaire Carl Icahn has filed a law suit against Motorola, claiming the company refused to hand over documents related to its handset business, the activist investor has also refused the two board seats the struggling handset manufacturer offered as a compromise. In a replay of last year’s battle, Icahn has nominated four potential board members to Motorola’s board.

Motorola reportedly called Icahn’s suit a “further unnecessary distraction.” The company also reportedly said that it offered Icahn access to the information and documents he is asking for under “a customary confidentiality agreement,” but Icahn refused the terms.

Motorola offered two of Icahn’s candidates seats on the company’s board, but rejected candidate Keith Meister, chief executive of Icahn Enterprises. Icahn reported said that the handset maker wants to keep Meister off the board “for no real reason.”

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