Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Path: utzoo!watmath!clyde!floyd!harpo!decvax!cca!ima!ism780!judy From: judy@ism780.UUCP Newsgroups: net.invest Subject: take overs - (nf) Message-ID: <242@ism780.UUCP> Date: Sat, 16-Jun-84 00:06:31 EDT Article-I.D.: ism780.242 Posted: Sat Jun 16 00:06:31 1984 Date-Received: Thu, 21-Jun-84 02:13:24 EDT Lines: 26 #N:ism780:14000002:000:1384 ism780!judy Jun 14 16:26:00 1984 I have some questions about take overs. This is prompted by the recent experience Disney has had with Steinberg. I was asking my investment banker brother-in-law about his latest big deal and he pointed me to the newspaper on Saturday stating that Steinberg had bought out Disney. As you probably read, this didn't happen. Rather Disney paid him off to get him not to buy them out. And Steinberg made a huge profit at it. Apparently this is the sixth time he's done this. Now, to my innocent eyes it looks like Disney was in a position in which they had to pay someone not to screw them over. And this seems underhanded to me. Is it as unethical as it appears? Are there laws to stop it? And if not why not? I hate to realize that there are bullies in the adult world behaving no better than the neighborhood bullies we all hated as children. And I'm saddened even more to think my family is helping them. But before I get on a moral high horse to my brother-in-law (he's flamed at me a couple of times for matters far less important) I'd like to get a better picture of the transaction. The analogy I want to use is "How would you feel if someone took your son and made you pay x dollars not to ruin his life?" But since Disney is no longer privately owned but is a corporate entity this losses some potency as an example. But ethically it is the same type of thing.