Yahoo’s legacy for me

Yesterday was a very emotional day for me… Yesterday was the last FYI (our weekly Yahoo-wide meeting). Something that Marissa started after she arrived at Yahoo in July 2012.

I have never shed tears at my place of work before. So, I wondered why I was all choked up and could not get words out.

My career consists of just two companies in the United States. Roughly equal in time across both, at the first being 11 years, and now at Yahoo more than 9 years.

I remember the last months of my previous (1st) employment in the US. I could not wait to get out. I had a lot of connections in the company, and they gave me a warm goodbye. However, there was no affinity, no camaraderie, we were just employees. We never built a cult(ure).

Then I joined Yahoo in 2008. I was discouraged by many. I had my own doubts, as I was moving from the East coast across to the West. I was changing companies after a long stint. Yahoo stock was not doing well back then. To add to the fun, the day I joined, Microsoft bid $31/share to buy Yahoo. I thought – “big change, new company, in turmoil, simple website, solved technical problems” – lets give it a year or two and move on.

I have been at Yahoo now for more than 9 years. And, I will continue as part of “Oath”.  How did a year or two become almost ten? Why, not just me, but thousands of employees around the world feel that great affinity to this company, this brand? Why do ex-employees say “I bleed purple” when they refer to Yahoo? Why do alumni groups meet up regularly and share experiences?

It is all about the PEOPLE, CULTURE and OPPORTUNITY. 

For me, the best part has been the opportunity to meet and work with these leaders at Yahoo who impacted my life (professionally and otherwise). You will see a common theme of traits that made them special.

a) Belief in employees b) Humility and down-to-earth demeanor c) Strong sense of culture d) Serve the employees, users and shareholders

1. Chuck Neerdaels

Chuck was my first manager at Yahoo. I had never worked for Chuck before, and when I moved to California, I was pleasantly surprised. He was calm, cool and collected (or seemed to be) all the time. Usually the smartest guy in the room, and would rarely try to prove it.

What did I learn from Chuck and why? He was ready to take a bet on me to run a team and lead execution of a tough project, just after a couple of months of being an architect in his group. He was not fainthearted to make hard decisions. And, even when he gave negative feedback to a team or individual, it came across as being a great coach/partner.

Chuck also was a deeply technical manager. He understood technology and technical details. And never let go of being technically differentiated in what we proposed or built.

2. David Filo

Filo is one of the finest human beings you can find. He is humble. Cares about the employees, users and shareholders of the company. He is the soul of Yahoo. 

What did I learn from Filo? Be humble, be grounded. It is not how much you are worth in terms of money or material wealth. It is more important on how you impact lives. He has created something that has given pleasure to thousands of employees and millions of users for 22 years, and more to come.

Initially Filo seemed very reserved, serious and non-people person to me. I have been accused of the same. But over the years, on many occasions, he would reach out to me (during periods of change), check on me, and even find out what my thinking was on some professional decision I had made. And, as I spoke to people in the company, others gave me examples of the same.

A common moniker that Filo is called by is “Cheap” Yahoo (a take on “Chief Yahoo”). Filo is known for his stinginess about capital expenditures. However, my observation was that he was not being cheap, but rather raising the bar. Every time he would ask us to do more experiments or change the estimate, he was actually pushing us to raise the bar on technology and capabilities in order to increase shareholder value.

If you want to give an example to your kids about how to lead ones life, he would be my example. Humble, Human, Caring, Passionate…

3. Jay Rossiter

I have been in Jay’s chain of management for the longest in my career. Either directly or through a layer. And, so have known Jay as my org leader for many years now.

What struck me about Jay, was that he is always ready to invest in people. He believed in me, and my potential, and invested in growing me and my career.

When he saw the gaps, he was not hesitant to point them out. During one promotion cycle early on, he pulled  my name out from the list (which I still insist was a mistake.)  I was upset, and felt that I was ready and deserved. I could have resigned, changed jobs, moved to a different organization. His conviction in doing the right thing for me, his organization, and the company allowed him to make the hard call.

I stayed on, because I had appreciation of his approach and warmth. I knew he had everyone’s best interests in mind. And, in fact, he went one step further to get an executive coach to help me grow in those gaps. He has been one true mentor for me in my career.

And, I have seen Jay do this investment to many folks in the company throughout his career.

I can go on about how Jay is technical, committed, with high integrity. The list would be too long and will show all the positives of a great organizational leader. Above all, like Chuck, like Filo, Jay is a super humble person.

4. Marissa Mayer

If there is one person that I have seen energize and change the culture of a company. And do it in just a couple of years. It is Marissa Mayer. I remember the first company-wide strategy presentation, and I remember thinking “wow”….  now finally we have a CEO who understands the consumer internet, our users, and how to build great products that can compete for the limited time users are willing to spend online. 


Marissa had bold ambitious goals for the resurgence of Yahoo. And, she brought cultural changes in Yahoo around that mission. Free food, workspace changes, smart phone smart fun, dogwood of our apps, WFH, FYI, PB&J. There are countless changes both small and big. The goal was to unite the company, inspire all the employees, and make us part of that mission.

So the main impact that Marissa had on me is, it’s “all about culture”. She knew and remembered every employee she interacted with. Sometimes spent hours talking to employees who queued up in lines. Even yesterday.

Over the last few years I got many questions from friends and family – “How is Yahoo doing under Marissa”, “How is Marissa as a CEO”, “Do you know Marissa?”. I always skirted and avoided the answer being careful about not revealing internal details that I would be privy to.

I personally loved every minute of the 5 years of her tenure, the faith she had in me and many of my colleagues to execute and deliver on the mission. And, she worked tirelessly for the employees, users and shareholders. So, to me the following words embody what Marissa did:

“Success is the peace of mind which is a direct result of self satisfaction in knowing you made the effort to become the best you are capable” – John Wooden

We all gave it our f**king best!!

As a new journey begins for Yahoo, so does one for me. I am hoping that I can carry forward some of the learning from these leaders, and learn from new ones at Oath.

Russian Hackers and Government Officers Indicted in Connection With Yahoo Security Incidents

By Chris Madsen, Assistant General Counsel, Head of Global Law Enforcement, Security & Safety

Earlier today, the U.S. Department of Justice announced the indictment of four defendants, two Russian intelligence officers and two state-sponsored hackers, for the theft of Yahoo user data in late 2014, as well as cookie forging to obtain access to user accounts on our network in 2015 and 2016. The indictment unequivocally shows the attacks on Yahoo were state-sponsored. We are deeply grateful to the FBI for investigating these crimes and the DOJ for bringing charges against those responsible.

This morning’s announcement is consistent with our prior disclosures. On September 22, 2016, we disclosed our belief that a state-sponsored actor had stolen a copy of certain user account information for approximately 500 million user accounts in late 2014. On December 14, 2016, we provided details on the forging of cookies to gain access to certain user accounts without a password and we linked some of that activity to the same state-sponsored actor.

We appreciate the FBI’s diligent investigative work and the DOJ’s decisive action to bring to justice those responsible for the crimes against Yahoo and its users. We’re committed to keeping our users and our platforms secure and will continue to engage with law enforcement to combat cybercrime.

TV Fanatics Unite! Introducing Yahoo View, a TV Watching Experience Featuring Hulu

By Jess Lee, Vice President of Lifestyles Product

I’m a TV junkie who can’t get enough of my favorite shows – “Marvel’s Agents of S.H.I.E.L.D” and “Brooklyn Nine-Nine.” After watching an episode, I love to geek out on Tumblr with other fans over plot twists, costumes and my favorite ships.

So, I’m incredibly excited today to announce the launch of Yahoo View, a brand new community TV-watching site. We are partnering with Hulu to offer thousands of free full-length episodes of premium TV shows, anime and Korean drama, as well as movies and TV clips. We’ve got everything from “Scandal" to “Empire” to “One Punch Man” to “Sungkyunkwan Scandal.” You can also go beyond the episode with behind-the-scenes extras, recaps, and the best GIFs, photos and edits from the Tumblr fandom community.

We’ve seen awesome things happen when you add community and content together (think of the passionate communities on Yahoo Sports, Polyvore and Tumblr to name a few) and are excited to be taking this first step towards creating a powerful community TV-watching experience. Today’s launch is only scratching the surface of what’s possible, and we are looking forward to rolling out more content and community-related updates soon!

view.yahoo.com is immediately available in the U.S. today. Mobile web and mobile apps will be coming soon.

Verizon to acquire Yahoo’s operating business

Today is a big day for Yahoo! This is the email that I sent to Yahoos around the world today. Given the interest around our journey to this point, I wanted to share more about today’s announcement. –Marissa

Dear Yahoos,

Moments ago, we announced an agreement with Verizon to acquire Yahoo’s operating business. This culminates a rigorous, thorough process over many months, and yields a great outcome for the company. Today’s announcement not only brings us an important step toward separating Yahoo’s operating business from our Asian asset equity stakes, it also presents exciting opportunities to accelerate Yahoo’s transformation. Among the many entities that showed interest in Yahoo, Verizon believed most in the immense value we’ve created, and in what a combination could bring our users, our advertisers, and our partners.

This is a good moment to reflect on Yahoo’s journey to date.

Yahoo is a company that changed the world.  Before Yahoo, the Internet was a government research project. Yahoo humanized and popularized the web, email, search, real-time media, and more.

What really sets Yahoo apart is the shared passion to create great products for our 1B+ users, and in doing so, transforming the world for the better. You can clearly see that spirit, that commitment, that fight in the work we’ve done together over the past few years. We set out to transform this company – and we’ve made incredible progress. We counteracted many of the tectonic shifts of declining legacy businesses, and built a Yahoo that is unequivocally stronger, nimbler, and more modern. We tripled our mobile base to over 600 million monthly users, we invested in and built Mavens from basically zero in 2011 into $1.6B of GAAP Revenue in 2015, we streamlined and modernized every aspect of our consumer products, and, with Gemini and BrightRoll, we dramatically improved our advertiser products. This only scratches the surface of what we’ve achieved… and we all know how much hard work it took to get here.

It’s because of that hard work and resilience, that Yahoo will realize amazing opportunities in its next chapter.

This sale is not only an important step in our plan to unlock shareholder value for Yahoo, it is also a great opportunity for Yahoo to build further distribution and accelerate our work in mobile, video, native advertising, and social. As one of the largest wireless and cable companies in the world, Verizon opens the door to extensive distribution opportunities. With more than 100 million wireless customers, a shared view of the importance of mobile and video ad tech, a deep content focus through AOL, Verizon brings clear synergies to the table. And with their aggressive aims to grow global audience to 2B users and $20B in revenue within the mobile-media business by 2020, Yahoo’s products and brand will be central to achieving these goals. Joining forces with AOL and Verizon will help us achieve tremendous scale on mobile. Imagine the distribution challenges we will solve, the scale we will achieve, the products we will build, and the advertisers we will reach now with Mavens – it’s incredibly compelling.  

The strategic process has created a lot of uncertainty, but our incredibly loyal and dedicated employee base has stepped up to every challenge along the way. Through the first half of the year, we met our operational goals and overachieved on plan. But, further, there are things that you cannot measure, like the passion of the people behind the products. The teams here have not only built incredible products and technologies, but have built Yahoo into one of the most iconic, and universally well-liked companies in the world. One that continues to impact the lives of more than a billion people. I’m incredibly proud of everything that we’ve achieved, and I’m incredibly proud of our team. For me personally, I’m planning to stay. I love Yahoo, and I believe in all of you. It’s important to me to see Yahoo into its next chapter.

As we work to close this agreement in Q1 2017, it’s more important than ever that we come together as one global team to continue executing on our strategic plan through the remainder of the year. We have delivered the first half of the year with pride, achieving our goals. Now, it is up to us to make Yahoo’s final quarters as an independent company count.

Yahoo is a company that changed the world.  Now, we will continue to, with even greater scale, in combination with Verizon and AOL.

Thanks,

Marissa

Important Additional Information and Where to Find It.

Yahoo will be filing with the Securities and Exchange Commission (the “SEC”) a proxy statement regarding the proposed sale of Yahoo’s operating business to Verizon Communications Inc., the definitive version of which will be sent or provided to Yahoo stockholders.  BEFORE MAKING ANY VOTING DECISION, YAHOO’S STOCKHOLDERS ARE STRONGLY ADVISED TO READ YAHOO’S PROXY STATEMENT IN ITS ENTIRETY (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) WHEN IT BECOMES AVAILABLE AND ANY OTHER DOCUMENTS FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION OR INCORPORATED BY REFERENCE THEREIN BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.  Investors and stockholders will be able to obtain (when available) a free copy of Yahoo’s proxy statement, any amendments or supplements to the proxy statement, and other documents filed by Yahoo with the SEC (when available) in connection with the proposed transaction for no charge at the SEC’s website at www.sec.gov, on the Investor Relations page of Yahoo’s website investor.yahoo.net or by writing to Investor Relations, Yahoo! Inc., 701 First Avenue, Sunnyvale, CA 94089.

Yahoo and its directors and executive officers may be deemed participants in the solicitation of proxies from its investors and stockholders in connection with the proposed transaction.  Information concerning the ownership of Yahoo securities by Yahoo’s directors and executive officers is included in their SEC filings on Forms 3, 4 and 5, and additional information is also available in Yahoo’s annual report on Form 10-K for the year ended December 31, 2015, as amended, and Yahoo’s proxy statement for its 2016 annual meeting of stockholders filed with the SEC on May 23, 2016. Information regarding Yahoo’s directors, executive officers and other persons who may, under the rules of the SEC, be considered participants in the solicitation of proxies in connection with the proposed transaction, including their respective interests by security holdings or otherwise, also will be set forth in the definitive proxy statement relating to the proposed transaction when it is filed with the SEC.  These documents may be obtained free of charge from the sources indicated above.

This post contains forward-looking statements concerning the proposed sale of Yahoo’s operating business. Risks and uncertainties may cause actual results to differ materially from the results predicted. Potential risks and uncertainties include, among others: (i) the inability to consummate the transaction in a timely manner or at all, due to the inability to obtain or delays in obtaining the stockholder approval, necessary regulatory approvals for the transaction or satisfaction of other conditions to the closing of the transaction; (ii) the occurrence of any event, change or other circumstance that could give rise to the termination of the purchase agreement; (iii) the potential adverse effect on Yahoo’s partner, advertiser, vendor and customer relationships, operating results and business generally resulting from the announcement of the transaction; (iv) the implementation of the transaction which will require significant time, attention and resources of Yahoo’s senior management and others within Yahoo, potentially diverting their attention from other aspects of Yahoo’s business; (v) risks related to Yahoo’s ability to retain or recruit key talent; (vi) the costs, fees, expenses and charges related to or triggered by the transaction; (vii) potential adverse effects on Yahoo’s business, properties or operations caused by Yahoo implementing the transaction; (viii) the anticipated benefits of transaction to Yahoo’s stockholders may not be realized; and (ix) the initiation or outcome of any legal proceedings or regulatory proceedings that may be instituted against Yahoo relating to the transaction.  More information about other potential factors that could affect Yahoo’s business and financial results is included under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Yahoo’s Annual Report on Form 10-K for the year ended December 31, 2015, as amended, and Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, which are on file with the SEC and available on the SEC’s website at www.sec.gov. All information set forth in this communication is as of July 25, 2016. Yahoo does not intend, and undertakes no duty, to update this information to reflect subsequent events or circumstances.

Verizon to acquire Yahoo’s operating business

Transaction will create a new rival in mobile media technology reaching over 1B users* with a roster of the world’s most beloved brands

BASKING RIDGE, NJ, and SUNNYVALE, Calif. – July 25, 2016 – Verizon Communications Inc. (NYSE, Nasdaq: VZ) and Yahoo! Inc. (Nasdaq: YHOO) today announce they have entered into a definitive agreement under which Verizon will acquire Yahoo’s operating business for approximately $4.83 billion in cash, subject to customary closing adjustments.

Yahoo informs, connects and entertains a global audience of more than 1 billion monthly active users** – including 600 million monthly active mobile users*** – through its search, communications and digital content products. Yahoo also connects advertisers with target audiences through a streamlined advertising technology stack that combines the power of their data, content and technology.

Lowell McAdam, Verizon Chairman and CEO, said: “Just over a year ago we acquired AOL to enhance our strategy of providing a cross-screen connection for consumers, creators and advertisers. The acquisition of Yahoo will put Verizon in a highly competitive position as a top global mobile media company, and help accelerate our revenue stream in digital advertising.”

Yahoo will be integrated with AOL under Marni Walden, EVP and President of the Product Innovation and New Businesses organization at Verizon.

Marissa Mayer, CEO of Yahoo, said: “Yahoo is a company that has changed the world, and will continue to do so through this combination with Verizon and AOL. The sale of our operating business, which effectively separates our Asian asset equity stakes, is an important step in our plan to unlock shareholder value for Yahoo. This transaction also sets up a great opportunity for Yahoo to build further distribution and accelerate our work in mobile, video, native advertising and social.”

Mayer added, “Yahoo and AOL popularized the Internet, email, search and real-time media. It’s poetic to be joining forces with AOL and Verizon as we enter our next chapter focused on achieving scale on mobile. We have a terrific, loyal, experienced and quality team, and I couldn’t be prouder of our achievements to date, including building our new lines of business to $1.6 billion in GAAP revenue in 2015. I’m excited to extend our momentum through this transaction.”

Tim Armstrong, CEO of AOL, said: “Our mission at AOL is to build brands people love, and we will continue to invest in and grow them. Yahoo has been a long-time investor in premium content and created some of the most beloved consumer brands in key categories like sports, news and finance.”

Under Armstrong, AOL has invested in and grown global premium brands, including The Huffington Post, TechCrunch, Engadget, MAKERS and AOL.com, and market-leading programmatic platforms – including ONE by AOL for both advertisers and publishers.

Armstrong added, “We have enormous respect for what Yahoo has accomplished: this transaction is about unleashing Yahoo’s full potential, building upon our collective synergies, and strengthening and accelerating that growth. Combining Verizon, AOL and Yahoo will create a new powerful competitive rival in mobile media, and an open, scaled alternative offering for advertisers and publishers.”

The addition of Yahoo to Verizon and AOL will create one of the largest portfolios of owned and partnered global brands with extensive distribution capabilities. Combined, AOL and Yahoo will have more than 25 brands in its portfolio for continued investment and growth. Yahoo’s key assets include market-leading premium content brands in major categories including finance, news and sports, as well as one of the most popular email services globally with approximately 225 million monthly active users****. Additional technology assets in the advertising space include Brightroll, a programmatic demand-side platform; Flurry, an independent mobile apps analytics service; and Gemini, a native and search advertising solution.

The deal is subject to customary closing conditions, approval by Yahoo’s shareholders, and regulatory approvals, and is expected to close in Q1 of 2017. Until the closing, Yahoo will continue to operate independently, offering and improving its own products and services for users, advertisers, developers and partners.

Verizon will generally issue cash-settled Verizon RSUs for Yahoo RSUs that are outstanding at the close.

The sale does not include Yahoo’s cash, its shares in Alibaba Group Holdings, its shares in Yahoo Japan, Yahoo’s convertible notes, certain minority investments, and Yahoo’s non-core patents (called the Excalibur portfolio). These assets will continue to be held by Yahoo, which will change its name at closing and become a registered, publicly traded investment company. Yahoo will provide additional information about the investment company at a future date.

Yahoo intends to return substantially all of its net cash to shareholders and will determine and communicate a specific capital return strategy at an appropriate time.

LionTree Advisors, LLC, Allen & Company LLC, Bank of America Merrill Lynch and Guggenheim Securities, LLC are acting as financial advisors to Verizon. Wachtell, Lipton, Rosen & Katz, Gibson, Dunn & Crutcher LLP, Covington & Burling LLP and Winston & Strawn LLP are acting as legal advisors to Verizon.

Goldman, Sachs & Co., J.P. Morgan Securities LLC and PJT Partners are acting as financial advisors to the Yahoo Board and its Strategic Review Committee. Skadden, Arps, Slate, Meagher & Flom LLP, Wilson Sonsini Goodrich & Rosati and Weil Gotshal & Manges LLP are acting as legal advisors to Yahoo. Cravath, Swaine & Moore LLP is independent legal advisor to Yahoo’s Strategic Review Committee.

Yahoo will hold an investor call at 5:30 a.m. Pacific/8:30 a.m. Eastern today. Investors can dial in at (866) 593-9949 and investors outside the U.S. can dial in at (973) 935-8154, using the conference ID 55971720. The call will be hosted by Yahoo CEO Marissa Mayer and Yahoo CFO Ken Goldman. Yahoo will also make the Chair of the Strategic Review Committee, Tom McInerney, and Yahoo Chairman of the Board Maynard Webb available for questions.

Verizon will announce second-quarter 2016 results tomorrow, July 26. To provide further context for investors about this transaction and other strategic initiatives, McAdam will participate in Verizon’s earnings webcast beginning 8:30 a.m. Eastern tomorrow. Access instructions and presentation materials, including Verizon’s earnings release, will be available at 7 a.m. on Verizon’s Investor Relations website, www.verizon.com/about/investors/.

*Based on Yahoo internal metrics, Jan. 2016 and AOL Internal, June 2016

**Yahoo internal user metrics, Jan. 2016

***Yahoo internal user metrics, Jan 2016

****Yahoo internal user metrics, Jan. 2016.  Mail monthly active users includes 58M IMAP/POP only users – ie. Yahoo monthly users that access their mail using other companies mail application

About Verizon

Verizon Communications Inc. (NYSE, Nasdaq: VZ), headquartered in New York City, generated nearly $132 billion in 2015 revenues. Verizon operates America’s most reliable wireless network, with 112.6 million retail connections nationwide. The company also provides communications and entertainment services over America’s most advanced fiber-optic network, and delivers integrated business solutions to customers worldwide.

About AOL

AOL is a media technology company with a mission to connect consumers and creators through open marketplaces. AOL uses data to disrupt content production, distribution and monetization. The company connects publishers with advertisers across its global, programmatic platforms, tapping into Microsoft inventory and original content brands like TechCrunch, The Huffington Post and MAKERS, which reach over 500 million monthly global consumers. Within its mobile advertising network alone, AOL has a reach of roughly 600 million users. A subsidiary of Verizon, AOL is shaping the digital future.

About Yahoo

Yahoo is a guide to digital information discovery, focused on informing, connecting, and entertaining users through its search, communications, and digital content products. By creating highly personalized experiences, Yahoo helps users discover the information that matters most to them around the world – on mobile or desktop. Yahoo connects advertisers with target audiences through a streamlined advertising technology stack that combines the power of Yahoo’s data, content, and technology. Yahoo is headquartered in Sunnyvale, California, and has offices located throughout the Americas, Asia Pacific (APAC) and the Europe, Middle East and Africa (EMEA) regions. For more information, visit the pressroom (pressroom.yahoo.net) or the Company’s blog (yahoo.tumblr.com).

Yahoo!, the Yahoo family of marks, and the associated logos are trademarks and/or registered trademarks of Yahoo! Inc. Other names are trademarks and/or registered trademarks of their respective owners.

Important Additional Information and Where to Find It.

Yahoo will be filing with the Securities and Exchange Commission (the “SEC”) a proxy statement regarding the proposed sale of Yahoo’s operating business to Verizon Communications Inc., the definitive version of which will be sent or provided to Yahoo stockholders.  BEFORE MAKING ANY VOTING DECISION, YAHOO’S STOCKHOLDERS ARE STRONGLY ADVISED TO READ YAHOO’S PROXY STATEMENT IN ITS ENTIRETY (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) WHEN IT BECOMES AVAILABLE AND ANY OTHER DOCUMENTS FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION OR INCORPORATED BY REFERENCE THEREIN BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.  Investors and stockholders will be able to obtain (when available) a free copy of Yahoo’s proxy statement, any amendments or supplements to the proxy statement, and other documents filed by Yahoo with the SEC (when available) in connection with the proposed transaction for no charge at the SEC’s website at www.sec.gov, on the Investor Relations page of Yahoo’s website investor.yahoo.net or by writing to Investor Relations, Yahoo! Inc., 701 First Avenue, Sunnyvale, CA 94089.

Yahoo and its directors and executive officers may be deemed participants in the solicitation of proxies from its investors and stockholders in connection with the proposed transaction.  Information concerning the ownership of Yahoo securities by Yahoo’s directors and executive officers is included in their SEC filings on Forms 3, 4 and 5, and additional information is also available in Yahoo’s annual report on Form 10-K for the year ended December 31, 2015, as amended, and Yahoo’s proxy statement for its 2016 annual meeting of stockholders filed with the SEC on May 23, 2016. Information regarding Yahoo’s directors, executive officers and other persons who may, under the rules of the SEC, be considered participants in the solicitation of proxies in connection with the proposed transaction, including their respective interests by security holdings or otherwise, also will be set forth in the definitive proxy statement relating to the proposed transaction when it is filed with the SEC.  These documents may be obtained free of charge from the sources indicated above.

Verizon Forward-Looking Statements

In this communication Verizon has made forward-looking statements. These statements are based on our estimates and assumptions and are subject to risks and uncertainties. Forward-looking statements include the information concerning our possible or assumed future results of operations. Forward-looking statements also include those preceded or followed by the words “anticipates,” “believes,” “estimates,” “hopes” or similar expressions. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The following important factors, along with those discussed in our filings with the Securities and Exchange Commission (the “SEC”), could affect future results and could cause those results to differ materially from those expressed in the forward-looking statements: adverse conditions in the U.S. and international economies; the effects of competition in the markets in which we operate; material changes in technology or technology substitution; disruption of our key suppliers’ provisioning of products or services; changes in the regulatory environment in which we operate, including any increase in restrictions on our ability to operate our networks; breaches of network or information technology security, natural disasters, terrorist attacks or acts of war or significant litigation and any resulting financial impact not covered by insurance; our high level of indebtedness; an adverse change in the ratings afforded our debt securities by nationally accredited ratings organizations or adverse conditions in the credit markets affecting the cost, including interest rates, and/or availability of further financing; material adverse changes in labor matters, including labor negotiations, and any resulting financial and/or operational impact; significant increases in benefit plan costs or lower investment returns on plan assets; changes in tax laws or treaties, or in their interpretation; changes in accounting assumptions that regulatory agencies, including the SEC, may require or that result from changes in the accounting rules or their application, which could result in an impact on earnings; and the inability to implement our business strategies.

Yahoo’s Forward Looking Statements

This press release (including, without limitation, the quotations from management) contains forward-looking statements concerning the proposed sale of Yahoo’s operating business. Risks and uncertainties may cause actual results to differ materially from the results predicted. Potential risks and uncertainties include, among others: (i) the inability to consummate the transaction in a timely manner or at all, due to the inability to obtain or delays in obtaining the stockholder approval, necessary regulatory approvals for the transaction or satisfaction of other conditions to the closing of the transaction; (ii) the occurrence of any event, change or other circumstance that could give rise to the termination of the purchase agreement; (iii) the potential adverse effect on Yahoo’s partner, advertiser, vendor and customer relationships, operating results and business generally resulting from the announcement of the transaction; (iv) the implementation of the transaction which will require significant time, attention and resources of Yahoo’s senior management and others within Yahoo, potentially diverting their attention from other aspects of Yahoo’s business; (v) risks related to Yahoo’s ability to retain or recruit key talent; (vi) the costs, fees, expenses and charges related to or triggered by the transaction; (vii) potential adverse effects on Yahoo’s business, properties or operations caused by Yahoo implementing the transaction; (viii) the anticipated benefits of transaction to Yahoo’s stockholders may not be realized; and (ix) the initiation or outcome of any legal proceedings or regulatory proceedings that may be instituted against Yahoo relating to the transaction. More information about other potential factors that could affect Yahoo’s business and financial results is included under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Yahoo’s Annual Report on Form 10-K for the year ended December 31, 2015, as amended, and Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, which are on file with the SEC and available on the SEC’s website at www.sec.gov. All information set forth in this communication is as of July 25, 2016. Yahoo does not intend, and undertakes no duty, to update this information to reflect subsequent events or circumstances.

Standing With Orlando

By Chris Kolk, Chair of the Yahoo Pride Employee Resource Group

Today at Yahoo, the LGBTQ and American flags are being flown at half-staff to honor the Orlando shooting victims. Our hearts and thoughts are with the family, friends and victims of this act of terrorism and hatred, and their lives will be remembered in all Pride activities this month at Yahoo.

This weekend as the Yahoo Pride Employee Resource Group, together with family and friends, stood proud to march in the L.A. Pride parade – those whose lives were forever changed by this senseless tragedy were at the forefront of our minds. In days like these, it is important for us to not only remember why we march but to celebrate the freedom and liberty that has been so hard fought. We will continue to stand with Orlando and are in discussions on specific ways we can honor all who were impacted. We will march forward and live authentically, as it’s important to remember that everyone deserves the opportunity and freedom to be their true selves.

Please join me in remembrance of those impacted by this tragedy.

News You Need, Conversations You Want – New Updates to the Yahoo App and Homepage

By Simon Khalaf, SVP

Today, we are excited to announce new updates to the Yahoo app and homepage in the U.S. Now you can find, consume and engage around the news, content and video you care about all in one place, front and center. We’ve made it easier to discover and create conversations with a community around engaging content and follow the latest developing stories in a nearly infinite news stream.

As we worked to build this new experience, we looked to the latest mobile trends to guide us. In 2015, news and magazine apps usage alone grew 141% (Flurry Trend Report), demonstrating huge interest in discovering, consuming and engaging around great content from around the web. Whether you consume content through the Yahoo app or on the homepage, you’ll find it consistent across platforms.

  Easier To Get All Your Latest News and Content

With this update, we’ve made it possible to sift through more content in less time. You no longer need to open individual articles in multiple browser tabs; instead, you can simply scroll through related stories inline. Up top, our editors pick some of the most important stories you need to know, alongside content most relevant to you. For a more in-depth understanding of a story, see related stories by clicking the “heart” icon, or clicking through to find additional related stories below each article. Over time, as you click on more content, the Yahoo stream becomes more tailored to your interests. The more you use the app and homepage, the better your experience will be.

Join the Community to Discover and Create Conversations

News stories have the power to start meaningful conversations. With tens of millions of you sharing your views daily as part of our vibrant community, we want to amplify your voice. We’ve made it easier for you to share your thoughts, engage and converse with each other about a particular topic or story. This new update surfaces comments directly in-line, making it easy to share and hear reactions from our  community, in one place.

Follow the Latest Developing Stories

Interested in breaking news and real-time events?  The new updates let you discover the full story as it’s happening live. Follow the latest news developments and receive instant notifications when a story is updated.

  Additionally, we’ll continue to offer the same great opportunities for our advertisers with more to come so stay tuned.

Download the Yahoo app from the App Store and Google Play Store, and check out the Yahoo homepage. We can’t wait to hear what you think, so share your ideas and feedback for Yahoo on the web, iOS and Android.