In a move that Inc. calls a “Wall Street magic trick,” Facebook’s annual shareholders meeting on Monday yielded passage of a measure to issue 5.7 million shares of a nonvoting C Class stock. Subsequently, co-founder, chairman and CEO Mark Zuckerberg — and the company’s other B Class shareholders can sell off portions of their fortune without diluting their influence over the company. Smith School professor Christine
Electric car maker Tesla Motors describes its bid to acquire full-service solar power systems provider SolarCity as a move destined to create the “world’s only vertically integrated energy company offering end-to-end clean energy products to our customers.” But Smith School management professor Brent Goldfarb says such a move is destined to fall flat. He explains his rationale.
School ends Monday for children in Prince George’s County. Summer vacation already has started for students in other parts of the country, which means that families looking to relocate between academic years need to switch into high gear. Clifford Rossi, a mortgage risk expert at the Smith School, shares three tips for buyers and sellers in the seasonal real estate market.
Things are tough for corrupt government officials. After taking bribes or skimming from public funds and development loans, they often end up with piles of cumbersome cash. A former public works minister in Argentina tried to bury his bags of money at a convent, but that ended badly. Other officials create shell companies and offshore accounts to hide their side income, but that also can backfire. Smith School instructor David P. Weber says criminals must follow a three-step process to convert suspicious cash into deposits for legitimate
“Divorces are tough,” says Smith School economist Peter Morici. But Britain nonetheless should break from the “shackles” of its union to a Europe economy locked in ruinous cycles of debt crises and high unemployment. "The EU suffers from chronic slow growth thanks to a smothering bureaucracy and single currency," Morici says. Other Smith School professors foresee challenges if United Kingdom voters opt to separate