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Facebook to issue new class of stock as dividend, keep Zuckerberg in control

is creating a new classof non-voting capital stock, known as Class C capital stock.

If theproposal is approved at the company's June 20 stockholders meeting, the social networkinggiant intends to issue two shares of class C capital stock for each outstandingshare of the company's class A and class B common stock, executed as a one-timestock dividend.

Founderand CEO Mark Zuckerberg said in an April 27 note to stockholders that the creationof a new class of stock would help him keep founder control of Facebook, addingthat he and his wife Priscilla Chan "will be able to give our money to fundimportant work sooner."

In December2015, Zuckerberg announced plansto give away nearly all of his Facebook stock over the course of his life to furtherpromote philanthropic work.

Facebookshares were up almost 9% in April 27 after-hours trading as the company also reportedits quarterly results.