Feb 7 Hedge fund manager David Einhorn of
Greenlight Capital told Reuters on Thursday that he "chatted
yesterday" with Apple CEO Tim Cook who is receptive to
his proposals on Apple's capital allocation strategy.
Einhorn said earlier on Thursday he suggested to Apple an
initial preferred share distribution, where dividends could be
funded on an ongoing basis by a relatively small percentage of
the company's operating cash flow.
"Apple rejected the idea outright in September 2012," he
said, adding the company considered it but then refused to
withdraw the proposal to eliminate preferred stock from its
Einhorn told Reuters that his discussions last fall had been
with Chief Financial Officer Peter Oppenheimer.
Einhorn said: "When I discussed this with Tim Cook, and
actually, the conversation has been going on for the last couple
of weeks, he said that he wasn't familiar with my previous
conversations with Peter Oppenheimer and whoever Peter
Oppenheimer's advisors were. I was surprised by that."