Marissa Mayer & David Karp will be on Squawk On The Street at 10 AM today.
Marissa Mayer proposed the accepted deal, $1.1 billion in cash, to Karp. Karp didn't request an all-cash deal. Mayer simply didn't offer Yahoo shares, likely because she believes they're undervalued. The deal would have happened even if it hadn't been all cash, the source says.
They also said Yahoo wants out of the Microsoft search deal. 2015 at the latest and Bing is gone. Ballmer will have to make his move before then.