Proxy Blog

Corning Incorporated 

April 15, 2019

The annual proxy for this technology company specializing in materials had the following proposals: 

  1. Proforma votes on directors, appointment of auditors, and “say-on-pay” advisory vote 
  2. Board proposal to amend the 2019 Equity Plan for Non-Employee Directors 

Magni voted as follows: 

  1. For all proforma proposals.
    -Directors – The board has a majority of independent directors and some have CEO/CFO experience with other companies. The compensation of directors is disclosed with a meaningful portion in equity where the equity has restrictions to align director incentives with long-term value creation. 
    -Auditors – There appear to be no controversies with the financial statements of the company.
    -“Say-on-pay” – The proxy materials contain clear information on shareholder engagement efforts, and those efforts include discussions on compensationThe peer group was listed with broad statements about the criteria for inclusion in the peer groupThe information was sufficiently complete to vote for the proposal, though the company should do more to prove the process for establishing peer groups is objective. 
  2. For the board proposal on the equity plan as the plan is aligned with shareholder interests, the amendments are minor in nature, and having the board focused on value creation is a good governance practice.