For more details, see Starboard’s Letter to Yahoo: You Won’t Accept Our Help — Full Text (WSJ); in other Yahoo adventures, see Fantasy Sports Inquiry Puts Spotlight on a Success for Yahoo (NYT); for a big-picture Yahoo reality check, see The Last Days Of Marissa Mayer? (Forbes)
"In a letter sent to Yahoo on Thursday, the investment firm Starboard Value argued that the reason for spinning off the Alibaba stake — avoiding taxes while raising money for shareholders — appeared to have evaporated after questions arose over whether the Internal Revenue Service would crack down on such transactions.Yahoo Pressured to Keep Alibaba Stake and Sell Core Business - The New York Times
Instead, Starboard argued, the company should explore selling its core advertising business, leaving behind only its stakes in both Alibaba and Yahoo Japan. Although such a move would incur taxes, it would be swifter and more certain than pursuing an Alibaba spinoff that could lead to years of fighting with the I.R.S."