Limelight (LLNW) Debacle Worsens: Audit Committee Member Quits


The tragicomedy known as Limelight Networks (LLNW) is now a lock for “worst Goldman Sachs deal of the year.”  Yesterday, only a few days after blowing its first quarter as a public company, Limelight informed the SEC that

On August 10, 2007…Gary Valenzuela notified Limelight Networks, Inc. of his resignation from his position as a member of the Company’s Board of Directors and as a member of the Audit Committee and the Nominating and Governance Committee of the Company’s Board of Directors, effective immediately.

Gary, for those of you who were otherwise engaged during the late 90s, was the first CFO at Yahoo, where he banked a couple of hundred million and then hit the beach.  Based on the letter above, Gary is now second-guessing his return to the public stage.  Unfortunately, we have some bad news for Gary: He’s too late.  Lawyers will spend the next several years crawling over every inch of the steaming dung-heap known as Limelight, and they’ll find him eventually.

New to the Limelight saga?  Don’t miss these milestones:

Surprise, Surprise: Limelight Getting Pants Sued Off
Goldman Reams Clients With Limelight; Feels Pain, But Sits Pretty