Yahoo extends portal pact with Verizon; Stock still in purgatory

Verizon and Yahoo said Wednesday that they have re-upped a portal deal that began in 2005.

Under a new multiyear agreement (statement), a custom Verizon-Yahoo portal will be offered to all new subscribers to FiOS Internet services. Customers that take the offer will get Yahoo Search, email, instant messaging and a toolbar. Yahoo provides the search and display ads on the cobrand and will split revenue with Verizon.

Yahoo will also provide easily customizable personal assistants and controls to control the co-brand's layout and other features.

Yahoo has been notched a few incremental wins, but the stock is on death watch. Folks have noted that the company's stock has fallen to the point where Microsoft first made its offer for Yahoo (blog roundup) in late January. The thinking goes that if Yahoo breaks this magic level it's look out below time.

Here's a look at Yahoo's year to date stock performance.

If you zoom out to a five year chart Yahoo could fall a little further. In any case, Microsoft's $31 a share offer would look pretty good right now.