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Title: Occupy boardroom: Shareholders revolt
Source:
CNN Money
URL Source: http://money.cnn.com/2012/04/24/markets/occupy-boardroom/index.htm
Published: Apr 26, 2012
Author: Maureen Farrell
Post Date: 2012-04-26 23:16:56 by lucysmom
Keywords: None
Views: 2379
Comments: 5
NEW YORK (CNNMoney) -- Shareholders across the United States are uniting, creating a movement that could be dubbed Occupy Boardroom.
Long-term shareholders, including pension funds and mutual funds, are attempting to push out board members and fight back against executive pay packages.
And unlike Occupy Wall Street, the police can't shut it down.
"Shareholder rights are reaching a tipping point, and the balance of power is really shifting from companies to shareholders," said Mike Mayo, a banking analyst at investment firm CLSA.
Three years after the financial crisis and the ensuing government bailouts, banks have been the primary targets of shareholders' wrath and negative votes.
Last week, 55% of Citigroup's (C, Fortune 500) shareholders voted against CEO Vikram Pandit's $15 million pay package for 2011, a year when the bank's stock fell 44%. While the vote is non binding, it sends a clear signal to management that shareholders want change.
Goldman Sachs (GS, Fortune 500) recently received a letter from Sequoia Fund, asking Goldman's board to oppose the reelection of director James Johnson, who had been Fannie Mae's CEO from 1991 to 1998. Sequoia said Johnson has been at the center of "egregious corporate governance debacles" including the events that led up to the housing crisis.
Sequoia has also asked its investors to vote against Johnson...
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#1. To: A K A Stone, Anti-ping to CE, Fred Mertz, Godwinson, go65, war, no gnu taxes, Skip Intro, ferret mike, jwpegler, brian s, mininggold, mcgowanjm (#0)
While the protests seem to be offshoots of Occupy Wall Street, it's the pushback from shareholders that have historically taken more passive roles that's surprising corporate executives."There's a certain righteous indignation that shareholders are developing because of extreme pay packages," said Andrew Lo, a professor of finance at Massachusetts Institute of Technology. "It indicates the depth of the frustration."
It's about time.
Anyone claiming to be an expert is selling something. I brandish my ignorance like a crucifix at vampires. Aaron Bady
#2. To: lucysmom, *Extended Clip Progressives* (#0)
dubbed Occupy Boardroom
Fascist commies trying to spread the wealth to the unions, until society collapses and humanity returns to the stone age. Billions will perish setting a new record for Communist death tolls.
Mission Accomplished, for the eco-fascists! No hope, but lots of change.
"We (government) need to do a lot less, a lot sooner" ~Ron Paul
Obama's watch stopped on 24 May 2008, but he's been too busy smoking crack to notice.
#3. To: hondo68 (#2)
Fascist commies trying to spread the wealth to the unions, until society collapses and humanity returns to the stone age. Billions will perish setting a new record for Communist death tolls.
How did you get that out of the article?
Anyone claiming to be an expert is selling something. I brandish my ignorance like a crucifix at vampires. Aaron Bady
#4. To: lucysmom (#3)
"Shareholder rights are reaching a tipping point, and the balance of power is really shifting from companies to shareholders," said Mike Mayo, a banking analyst at investment firm CLSAreceived a letter from Sequoia Fund
'CLSA Asia-Pacific Markets'
Controversies
Securities and Futures Commission reprimand (May 2004)[9]
Asiamoney “vote-rigging” email (2005)[10]
Allen Lam insider-trading conviction (July 2009)[11]
Sequoia Fund is Warren Buffet, another commie vampire.
The article virtually screams COMMUNIST TAKEOVER, and that always ends badly if successful. They'll most likely fail and only ruin a corp or two at the most. But who knows, it could trigger a global financial meltdown etc...
"We (government) need to do a lot less, a lot sooner" ~Ron Paul
Obama's watch stopped on 24 May 2008, but he's been too busy smoking crack to notice.
#5. To: hondo68 (#4)
The article virtually screams COMMUNIST TAKEOVER, and that always ends badly if successful.
I guess you could say corporate ownership is collectivist.
Anyone claiming to be an expert is selling something. I brandish my ignorance like a crucifix at vampires. Aaron Bady
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