Ties May Bind Apple's CEO to Board
If board members are golfing buddies or best friends with CEOs, "they're not going to treat them with the arms-length, director-management relationship that shareowners are looking for."
Still, at least some analysts believe that there's every reason to believe that Apple's directors at the time were in fact independent of Jobs, regardless of whatever ties they may have had to him.
Intuit (INTU) Chairman William Campbell and Oracle (ORCL) Chairman Larry Ellison, both of whom joined Apple's board with Jobs in 1997 and served with him throughout the period in question, are "probably the only two people who have no problem standing up to Jobs," says Tim Bajarin, principal analyst at Creative Strategies and a longtime Apple watcher.
Meanwhile, Bajarin describes Jerome York, who served on Apple's board during the same time period, as "the most hard-nosed guy I ever met.""There's no question in my mind that the board was very independent," says Bajarin. "I don't see anybody on the board that's 'yes people' in any way." Citing the company's ongoing investigation into its stock grants in the late '90s and early this decade, Apple spokesman Steve Dowling declined to comment on the independence of the company's board during that time. An Oracle representative declined to comment. Other members of the board from that period did not return calls seeking comment.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV