James Murdoch survives BSkyB vote despite dissent
Despite the taint of the persistent British phone-hacking scandal, James Murdoch on Tuesday was reelected as chairman of the powerful British Sky Broadcasting television service.
The youngest son of Rupert Murdoch received the support of 81.2% of votes cast in Tuesday's election. Nearly 19% of shareholders voted against him. James Murdoch, 38, also is deputy chief operating officer of News Corp., which owns 39% of the BSkyB shares, and has been considered the likely heir to his father's media empire.
Stripping out the votes held by News Corp., James Murdoch received far less support. Slightly more than 55% of the independent shareholders voted for his retention on the board. Nearly 32% opposed his continued tenure, and the remaining 12.9% withheld their votes.
In October, James Murdoch survived a vote of no confidence during the annual meeting of News Corp. investors. At that time, he retained his position as a director in the New York-based media giant. However, he faces continued hearings in the British Parliament concerning his oversight of News Corp.'s U.K.-based newspaper division, and his handling of the phone-hacking scandal that led to the shuttering of News of the World tabloid.
In July, fallout from the scandal forced News Corp. to withdraw its $12-billion bid to buy out the remaining shares of BSkyB. James Murdoch on Tuesday reaffirmed News Corp.'s continued role as a long-term shareholder in the television service.
In his statement to shareholders, he also said that BSkyB passed its long-term target of 10 million TV customers last year. "This is a significant achievement," he said. "But more important than any single target is the way that our business has been transformed through constant appetite for change and a strong culture of continuous improvement."
The vote results were reported by RNS, a news service of the London Stock Exchange.
-- Meg James
Photo: James Murdoch leaves Tuesday's annual meeting of British Sky Broadcasting shareholders in London. Credit: Gareth Fuller / Associated Press