This book follows the theme of Corporate Governance Matters: A Closer Look at Organizational Choices and Their Consequences also by David Larcker and Brian Tayan. Larcker is the James Irvin Miller Professor of Accounting, Stanford Graduate School of Business. Brian Tayan is a member of the Corporate Governance Research Program at the Stanford Graduate School of Business. While Corporate Governance […]
Archive | July, 2013
QVB vs Proxy Exchange: Buy Votes or Assign Them?
James McRitchie, July 30, 2013 ,
Thanks to Broc Romanek I learned of what he termed the Wildest Idea of the Year? Creating a “Vote Buying” Framework, July 29, 2013. Here’s part of his take: Two Professors from the U. of Chicago – Eric Posner and Glen Weyl – have used their economic backgrounds as a way to devise a solution to shareholders […]
Noteworthy Proposal to Cap Pay Ratio at Microsoft (MSFT)
James McRitchie, July 29, 2013 ,
A proposal by Qube Investment Management, which owns 10,208 shares of Microsoft ($MSFT), to cap pay has been challenged through the “no-action” process. See incoming correspondence to the SEC. The resolved clause of Qube’s proposal reads as follows: Resolved: The the Board of Directors and/or the Compensation Committee limit the average individual total compensation of […]
Video Friday: Bruce Freed & Disclosure of Political Contributions
James McRitchie, July 26, 2013 ,
This session features a debate on corporate political spending by Bruce Freed, president and founder of the Center for Political Accountability, and Brian Cartwright, a former general counsel at the Securities and Exchange Commission. They discuss the most frequently submitted type of proxy proposal in 2013, disclosure of political expenditures. How do we address corporate […]
FAMulous Basis for Achieving Alpha
James McRitchie, July 25, 2013 ,
No, this article isn’t about becoming famous though the internet, the Sisters of the Sororitas, or Famulous Eateries in Bangkok. Rather, I just spent an hour on a Webinar with GMI Ratings on their Forensic Alpha Model (FAM), designed to help investors predict stock returns using forensic-accounting and governance-related measures of issuer risk. Yes, it was […]
2013 Proxy Season Review
James McRitchie, July 24, 2013 ,
Steven Hall Partners published a list of all the failed “say on pay” votes this season to date. 56 companies failed with an average 60% ‘Against’ vote. Two additional company received less than 50% ‘For’ but considered the vote a win because ‘For’ votes outnumbered ‘Against’ votes due to abstentions. I say they’re crazy. They failed. […]
Corporate Governance: Stepping Back in Time
James McRitchie, July 23, 2013 ,
Five years ago in Corporate Governance Publisher’s Note: Yes, you’ll find many broken links. After 5, 10 and 15 years, the internet moves on. Many of the organization’s linked have since gone under. We’re just glad to still be here, offering our readers a sense of the history we have shared. Since 2005, KLD has studied the […]
Seven Proxy Proposals Worth Considering for Next Season
James McRitchie, July 22, 2013 ,
After finding some “off-beat” proposals made at Fortune 250 firms and posted to ProxyMonitor.org, Laura J. Finn thinks the following might be Five Coming Trends in Shareholder Proposals (Corporate Board Member, July 11, 2013). I provide a brief evaluation of each and add a couple of my own. (more…)
Video Friday: FDIC's Virtual Directors' College Program
James McRitchie, July 19, 2013 ,
Corporate Governance Presentation from the FDIC’s video series entitled the Virtual Directors’ College Program – This presentation reviews corporate governance principles that are vital to a director’s role in setting the direction of the bank. (more…)
Selected Tweets From ICGN 2013 in New York
James McRitchie, July 18, 2013 ,
Unfortunately, I got sick in New York, so missed the entire second day of ICGN 2013. Several weeks later, I am still recovering and am way behind in my other work, so any real comments I have on the conference will be long delayed. In the meantime, here are a few selected tweets. They aren’t […]
End Zombie Directors: Action Needed for Majority Vote Mandate
James McRitchie, July 17, 2013 ,
I urge readers to support the June 20th petition by the Council of Institutional Investors (CII) to the NYSE and Nasdaq for the exchanges to require listed companies to elect directors by majority vote in uncontested elections. CII’s letters to both exchanges are posted here. (more…)
Steris Corp. ($STE): Proxy Score 100
James McRitchie, July 16, 2013 ,
Steris Corp. (STE) is one of the stocks in my portfolio. Their annual meeting is coming up on 7/25/2013. ProxyDemocracy.org had collected the votes of one fund when I checked on 7/15/2013. I voted with management 100% of the time. View Proxy Statement. (more…)
Comptroller Spitzer for Better Corporate Governance
James McRitchie, July 15, 2013 ,
Eliot Spitzer, the former “Sheriff of Wall Street” as New York Attorney General, would bring unprecedented visibility and creativity to the role of New York City Comptroller. He wants to re-envision the Comptroller’s, just as he did the Attorney General’s. I believe he will. In a recent interview, Spitzer said the Comptroller is “a significant […]
Robert Monks: Obtaining Proxy Vote Information on 401(k) Plans Often Difficult
James McRitchie, July 10, 2013 ,
Robert Monks has just begun a series of articles at CSRwire on his most recent book, Citizens DisUnited: Passive Investors, Drone CEOs, and the Corporate Capture of the American Dream (my review). Part one of the CSRwire is A Simple Solution to Runaway Corporate Power. See also, Robert A.G. Monks, Crusading Against Corporate Excess, NYTimes, July 6th. His main message […]
Jon Lukomnik Wins ICGN Award for Corporate Governance
James McRitchie, July 8, 2013 ,
Jon Lukomnik, Executive Director of Investor Responsibility Research Center Institute (IRRCi), was announced the winner of the 2013 International Corporate Governance Network (ICGN) Award for Excellence in Corporate Governance. He received the honor at the ICGN annual general meeting in New York, New York. Ralph Whitworth, Founder and Principal of Relational Investors, was awarded the Lifetime Achiever […]