Facebook Inc. took steps to solidify the control of founder Mark Zuckerberg and other existing shareholders in the event the social-networking company goes public. Facebook said Tuesday that this should not be seen as a signal that the company is going public at this time. FB has announced that eventually they will go public. But as of now the thing that has been done is the solidifying of key share holder stock. So Facebook will convert existing stock holders to Class B which has ten times the voting power of class A stocks.
It said it is introducing the structure "because existing shareholders wanted to maintain control over voting on certain issues" and "focus on the long-term."
So when the company eventually goes public and existing investors hold onto their shares the dual-class structure would enhance their control and fend of unwanted suitors. Giving the key share holders more control. This was the same thing followed by google before they went public.
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