DIRECTV Completes Malone Exchange
President and CEO Michael D. White Named as Chairman
June 16, 2010 05:51 PM Eastern Daylight Time
EL SEGUNDO, Calif.--(EON: Enhanced Online News)--DIRECTV(NASDAQ:DTV) today announced that it has
consummated the previously announced transaction with Dr. John C. Malone to recapitalize the DIRECTV stock
ownership held by Dr. Malone, his wife and two trusts for the benefit of his children. Under the terms of the
agreement, the Malones exchanged 21,809,863 shares of Class B common stock of the Company, which is all of
the outstanding Class B shares, for 26,547,624 shares of Class A common stock, resulting in the reduction of the
Malones’ voting interest in DIRECTV from approximately 24.3% to approximately 3%. All of the Class B shares
will be cancelled. As part of the transaction, Dr. Malone resigned as Chairman and he, Paul A. Gould and Gregory
B. Maffei resigned as members of the Board of Directors.
The transaction was completed after receiving required regulatory approval from the Federal Communications
Commission (FCC). The FCC approval order also confirms that DIRECTV has now satisfied a condition relating to
DIRECTV’s subsidiary in Puerto Rico, imposed by the FCC in February 2008 in connection with the acquisition by
Liberty Media Corporation of its interest in DIRECTV. As a result, DIRECTV Latin America will be permitted to
remove its Puerto Rican operations from a trust which had been established in 2009.
DIRECTV also announced that Samuel A. DiPiazza, Jr. has been elected to serve as a member of the Board of
Directors effective June 17, 2010, and that Michael D. White has been elected as Chairman of the Board of
Directors. Mr. White will continue to serve as President and CEO of the Company.
Mr. DiPiazza, age 59, served as Global Chief Executive Officer of PricewaterhouseCoopers International Limited
(PwC) from 2002 to 2009. Mr. DiPiazza began his career with PwC in 1973 and was named partner in 1979,
serving as a leading tax partn