Yahoo! has outlined a three-year plan that, it says, proves Microsoft's unsolicited proposal "substantially undervalues" the company.As a result of the announcement, shares in the search engine provider rose by five per cent during yesterday's (March 18th's) trading.
In a company statement, Yahoo! tried to convince its shareholders that the business was better off without Microsoft, claiming that the board expects sales to increase by more than 70 per cent over the next three years.
Yahoo! went on to say that it anticipates roughly doubling operating cash flow to $3.7 billion and generating $8.8 billion in revenue by 2010.
It also forecast securing $1.9bn in extra revenue over the next three years through display and video advertising.
Co-founder and chief executive of the company Jerry Yang stated: "Yahoo! is positioned for accelerated financial growth. We have a powerful consumer brand, a huge global audience and a highly profitable operating model."
Meanwhile, Roy Bostock, chairman of the Yahoo! board, added: "We are pleased to share with the market more details about our business and our expectations for Yahoo!'s financial performance, which provided context for our board's unanimous rejection of Microsoft's unsolicited proposal."
Earlier this month, Yahoo! revealed it had postponed the deadline for nominating its directors in an effort to temporarily fend off Microsoft's takeover bid.
Although no new date was given, it is expected that the process of nominations could be delayed until the summer.
