Yahoo!'s Upside: Only Angry Shareholders

SAN FRANCISCO -- What once had the makings of a high-stakes drama -- featuring a sharp-tongued billionaire and a CEO fighting to save his job -- now looks more like a routine gathering stripped of any surprises.

Yahoo!'s(YHOO) once much-anticipated shareholder meeting takes place in San Jose, Calif., on Friday, but the company's board composition has been largely decided already after activist investor Carl Icahn backed down from his proxy fight, agreeing to three board seats instead of gunning for all nine.

And if Icahn's announced decision not to make an appearance on Friday is any indication of what to expect, then shareholders are in for a tame meeting -- or at least one much tamer than it could have been.

"The proxy fight is over and it will not do shareholders or Yahoo! any good to have the annual meeting turn into a media event for no purpose," Icahn said in a statement Thursday to explain why he planned to not appear on Friday.

Icahn also struck a conciliatory tone that sharply contrasted his usual barbed comments directed at Yahoo! CEO Jerry Yang and the board since May, when he waged his battle to oust all nine directors in a bid to seal a merger with Microsoft(MSFT).

"A few days ago, I met with both Jerry Yang and [Chairman] Roy Bostock and I believe both gentlemen genuinely wish that we will be able to work together to enhance value," Icahn said. "While we still disagree on many points, I have great hope 'this will be the beginning of a beautiful friendship.'"