Part 3/8:
The conversation pivots to high-profile instances of stock splits, notably Facebook's proposed split, announced during a recent conference call. The CFO, David Wehner, hinted at plans for a one-time stock dividend issuing two class C shares for every outstanding class A and B share, resulting in a tripling of total shares outstanding.
This is where the complexity of ownership dynamics comes into play. Currently, Facebook operates with two classes of stock: Class A shares (one vote each) and Class B shares (10 votes each) controlled disproportionately by Mark Zuckerberg, who holds a significant majority of the voting power.