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Article

Title: Yahoo, Microsoft and the Ties That Bind

Author: Karnitschnig, Matthew Article Type: Company
Source: Wall Street Journal, v251 n121 pC1(2) Publication Date: May 23, 2008
  ISSN: 0193-2241
URL of Publication: http://www.wsj.com

Relationships among people involved in the talks between Yahoo! Inc. and Microsoft Corp. have kept the dialogue open despite disagreements and tension. There has not been any resolution yet, and though Microsoft exited the bargaining table in May, talks continue about the possibility of Microsoft buying Yahoo!'s search business. The people involved in the merger dance fall into three categories. First are those people who are associated with the Wall Street firm Donaldson, Lufkin & Jenrette (DLJ) and include Yahoo! President Susan Decker (at DLJ for 14 years); Jill Greenthal, who is advising Microsoft (who worked with Decker and advised Yahoo! in 2003); Janine Shelffo, who is advising Yahoo! (and worked at DLJ); and perhaps most well-known, Kenneth Moelis, an advisor to Yahoo! who once headed corporate finance at DLJ and knows Decker, Greenthal and Shelffo. The second group of people are all friends of Carl Icahn, the billionaire investor who owns a large amount of Yahoo! stock. Moelis is a close advisor to Icahn and Jon Woodruff and Gene Sykes, both bankers at Goldman Sachs & Co. and part of Yahoo!'s team, got to know Icahn during Oracle's acquisition of BEA. The third category of important relationships is the Omaha Connection, those people (Decker, Bill Gates, and Ronald Olson a lawyer for the firm that represents Yahoo!'s board) that are members of Warren Buffett's Berkshire Hathaway Inc. board.

Companies:
BEA Systems Inc Microsoft Corp
Oracle Corp Yahoo! Inc

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