Larry Nelson holds $1,000$ shares of General Electric$$s $($GE$)$ common stock. The annual stockholder meeting is being held soon, but as a minor shareholder, Larry doesn$$t plan to attend. Larry did not sell his shares but gave his voting rights to the management group running General Electric $($GE$).$ Larry must have signed a that gives the management group control over his shares.

Larry also holds $2,000$ shares of common stock in a company that only has $20,000$ shares outstanding. The company$$s stock currently is valued at $$50\mathrm{.}00$ per share. The company needs to raise new capital to invest in production. The company is looking to issue $5,000$ new shares at a price of $$40\mathrm{.}00$ per share. Larry worries about the value of his investment.

Larry$$s current investment in the company is $.$ If the company issues new shares and Larry makes no additional purchase, Larry$$s investment will be worth $.$

This scenario is an example of $.$ Larry could be protected if the firm$$s corporate charter includes a provision.

If Larry exercises the provisions in the corporate charter to protect his stake, his investment value in the firm will become $.$nk