Google to split stock through new class of stock

Friday, April 13, 2012, Vol. 36, No. 15

NEW YORK (AP) — Google plans to split its stock 2-for-1 in part to preserve its leadership's voting power.

The online search leader says it's issuing a new class of stock to shareholders, but the new shares won't have any voting power. All current stockholders will get shares in the new Class C stock.

Google says the split is something investors have been asking for. In addition, employees given Google stock in the future will get the non-voting share, allowing voting power to remain with existing shareholders.

Google also says it earned $2.89 billion, or $8.75 per share, in the first quarter. That's up from $1.8 billion, or $5.51 per share, a year earlier. Excluding items, Google says it earned $10.08 per share. That's higher than the $9.66 expected by analysts polled by FactSet.