Despite the fact that the FCC approved Facebook's purchase of Instagram last week, the state of California had one more final hearing on the matter — a "fairness hearing" meant to approve the transfer of Facebook stock as part of the whole deal. The hearing took place today, and the Wall Street Journal reports that California's Department of Corporations found that the deal was "fair, just, and equitable," paving the way for the sale to finally be complete. Instagram CEO Kevin Systrom attended the hearing and answered questions regarding the fact that Instagram's purchase price had dropped from $1 billion to $750 million because of Facebook's underperforming stock. In response, Systrom said, "I've been taught throughout my life to realize there's upside and downside to all public markets."
He also noted that the $1 billion valuation of Facebook back when the deal was first announced "was something generated by the press," going on to say that "we were always talking percentage of Facebook outstanding stock plus a cash consideration." Unsurprisingly, it looks like Instagram took stock fluctuations into account back when the deal was being put together — and Systrom seems happy enough with the approximately $750 million he'll still be clearing when the sale is finally in the books.