1.
Seinfeld ads only part of Microsoft push
Slideshow
1 of 2
Yahoo co-founder David Filo speaks during the launch of the "Greenest City in America" challenge at a press conference in New York's Times Square district on May 14, 2007. The winning city will be announced on June 8 and will receive a hybrid taxi fleet or the equivalent cash donation to be used for city greening projects. (UPI Photo/Ezio Petersen)
The two companies engaged in talks in recent weeks to negotiate a friendly acquisition, but Saturday's deadline to reach a deal passed without comment from either party.
Microsoft chief Steve Ballmer said if the deadline passed, the initial bid of a cash-and-stock offer valued at $29.68 per share would diminish significantly, The Wall Street Journal said Sunday.
Yahoo! directors say the offer is too low and suggested a price closer to $35 a share. Yahoo stock prices closed down 1.86 percent at $26.80 in trading Friday on the Nasdaq.
Microsoft officials said they would consider only a modest increase.
"Our bid is quite generous, roughly 80 times earnings," Ballmer said. "If we don't hear from Yahoo!, we've said we'll go to their shareholders."
Microsoft Chief Financial Officer Chris Liddel said Thursday the company could take the offer to shareholders, put pressure on Yahoo!'s board or remove the offer altogether. A decision is expected this week.
