Microsoft extends Yahoo's U.S. search revenue guarantee
SAN FRANCISCO (Reuters) - Microsoft Corp extended the revenue guarantee it provides to Yahoo Inc in the companies' underperforming search partnership, Yahoo said on Tuesday.
The U.S. revenue-per-search guarantee, which had expired on March 31, will be extended for one year, and took effect on April 1, Yahoo said in its 10Q filing with the Securities and Exchange Commission on Tuesday.
Yahoo also disclosed strong financial results at two of its Asian assets on Tuesday. Chinese e-commerce company Alibaba Group, in which Yahoo owns a 24 percent stake, grew revenue roughly 80 percent year-on-year to $1.84 billion in the last three months of 2012.
Yahoo Japan, in which Yahoo owns a 35 percent stake, increased its net income by 13 percent to $343 million in the last three months of 2012.
Shares of Yahoo were up 3.4 percent at $26.02 in mid-day trading on Tuesday.