Which of the Following Actions Does NOT Help Managers Defend

Multiple Choice

Which of the following actions does NOT help managers defend against a hostile takeover?

A) Establishing a poison pill provision.
B) Granting lucrative golden parachutes to senior managers.
C) Establishing a super-majority provision in the company's bylaws to raise the percentage of the board of directors that must approve an acquisition from 50% to 75%.
D) Retiring long-term debt early to reduce total debt on the balance sheet which will increase the firm's financial position.
E) Finding a "white squire" that will buy enough of the target firm's shares to block the hostile takeover.