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All of the following statements regarding poison pills are true EXCEPT: A. Poison pills may allow target shareholders to buy discounted shares of target stocks.

All of the following statements regarding poison pills are true EXCEPT:

A. Poison pills may allow target shareholders to buy discounted shares of target stocks.

B. According to court rulings, a leveraged recapitalization creates an auction environment that negates a poison pill.

C. The board of directors can rescind poison pills.

D. Acquirers that have swallowed a poison pill still earned reasonable rates of return for their shareholders.

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