Each shareholder holding a voting share has a right to vote in the companies decisions. Under a cumulative voting system, each shareholder has the right to cast a vote according to a total number of shares. The shareholder has the total liberty of voting in favor of one decision or split them in any proportion as he thinks fit.
Assume a company is appointing three directors; director marketing, director operations and director sales with each position having three candidates. A shareholder who has 500 shares can now choose to cast 500 votes in any proportion. He can opt for casting 500 votes in favor of any one of three positions or split his votes in all three or two in any proportion. Let’s say he casts 200 votes for candidate X for a director sales position, 120 votes for candidate Y for director marketing position, and the rest for candidate Z for director operations positions.
The shareholders of Motive Power Corp. need to elect three new
Candle box Inc. is going to elect six board members next
An election is being held to fill three seats on the board
An election is being held to fill three seats on the board
Beasley, Inc. is going to elect nine board members next
Blue Moon Corporation has one million shares of common stock outstanding.
The Beasley Corporation has been experiencing declining earnings, but has just
The shareholders of Bryant Power Corp. need to elect three new
Acme Corporation’s articles of incorporation require cumulative voting for the election of
Suppose a firm has 15 million shares of common stock outstanding and
