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Yahoo has decided to lump the hosers in with the Eurotrash, adding Canada to the Yahoo Europe team now headed by exec Toby Coppel. Why? Ostensibly because "Canada's multicultural diversity parallels Europe; and Canadian sites operate in English and French," Coppel claims in an inadvertently hilarious memo sent to all European and Canadian employees. The real reason, we suspect: Feeling his position threatened after career patron Terry Semel stepped down as Yahoo's CEO, and having been unceremoniously booted off Yahoo's "Management Team" page, Coppel is now begging for scraps of authority. Full memo after the jump.

From: Toby R. Coppel [mailto:toby@yahoo-inc.com] Sent: 23 August 2007 05:29 To: Ruth Sarfaty; Dan Foehner; Mark Rabe; Charles Thomas; Jim L'Heureux; Damian De Rosaire; Tim Mihok; Maria Marshall; Chris Karl; Beth Lawrence; Vish Makhijani; Vince Broady; Tapan Bhat; Scott Moore; Ira L Kurgan; Eckart Walther; Brad Garlinghouse; Rollanda Harris; Jeff Weiner; David Windley; Jeff McCombs; all-svps@yahoo-inc.com; all-canada@yahoo-inc.com; all-europe@yahoo-inc.com Cc: Sue Decker; Jerry Yang Subject: Canada - Change in Reporting Lines

Hi Canadian and European Yahoos

As you know Yahoo! is working on a strategic plan that will position our company to win. This will involve aligning our resources within the best organizational structure to deliver the highest levels of growth and profitability.

As we look to our strategic needs and our vision to power Yahoo! for the future we have decided to move Yahoo! Canada into the European organization. We believe this provides the right environment for our Canadian business to thrive and benefit from the many opportunities that lie ahead. So with immediate effect Kerry Munro, Canada GM will report into me.

We see strong market similarities and product synergies between Canada and Europe. For instance:

* Canada's multicultural diversity parallels Europe; and Canadian sites operate in English and French
* Canada enjoys a comparable size of operation to that of the European countries and it has many of the same opportunities and challenges
* From a product/engineering standpoint Canada has ongoing collaboration with the EU team, particularly in the UK and France
* Like Europe - Canada has been leading international development of properties such as Lifestyle, video, UGC and platforms like mediasuite.

At this time we do not plan to incorporate Canada into the European overhead infrastructure but to manage it as a separate country. Going forward we'll look at the best operational structure to support its growth. I'll also work with the leadership teams of Canada and Europe to chart the optimum course for the new organization to support our ambitions for both our Canadian and European businesses.

I want to warmly welcome all 135 Canadian Yahoos (and our 16 million users in Canada) - I'm looking forward to meeting you and working together. We are all aware of the many challenges ahead - but I'm equally confident we can build on our great talent and assets to deliver extraordinary value for our users, advertisers and publishers. We should also take the time to have some fun along the way.

Toby