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Article

Title: Bancroft Trusts' Lawyers Hold Key to Dow Jones

Author: Karnitschnig, Matthew Article Type: Product Analysis
Source: Wall Street Journal, v250 n1 pB1(2) Publication Date: Jul 2, 2007
  ISSN: 0193-2241
  Illustrations: Charts, Photographs
URL of Publication: http://www.wsj.com

Lawyers from Hemenway & Barnes are at the center of issues related to many overlapping trusts that hold sway over the 64 percent voting stake of the Bancroft family in Dow Jones & Company, but the lawyers could have the final say on whether the WSJ will be sold to Rupert Murdoch and News Corp. The lawyers have two of the three trustee sets for several key trusts, and the third is held by a family member. For one of the largest trusts, lawyers from the firm are the only trustees. A family member has said the vote actually resides with the lawyers. The involvement of Hemenway & Barnes could speed approval of the deal if negotiators for New Corp and Dow Jones reach agreement on price. Holders of most of the shares that are not in the family make up about 36 percent of Dow Jones voting power, and they will probably want to take advantage of the rich premium and cash out. Among topics covered are an agreement between the parties to protect the editorial integrity of the WSJ and other publications, Michael B. Elefante's influence, the background of the Bancroft trusts, the value of he original trusts and their offshoots since the offer from Mr. Murdoch, and the entitlements of the upper generation (automatic disbursements from the trusts).

Special Features: Charts, Photographs

Companies:
Dow Jones & Co Inc News Corp

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