TAKEOVER DEFENSES: But What About Elsie?

But What About Elsie?

Corporate raids have inspired such colorful defensive tactics as the Pac-Man counterattack and the poison pill. Now the managers at Borden, the food and consumer-products giant, have created a novel repellent they call a "people pill." Borden said last week that its top 25 officers have agreed to resign en masse during any takeover attempt if they believe stockholders are getting less than a fair price or if any executives are fired or demoted.

Borden has no bidders now, but last year's food-industry takeovers worried its managers. Chairman Romeo Ventres, who dreamed up the strategy in a sauna, said it might...

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