Proxy Blog

Fortune Brands Home & Security, Inc. 

April 2, 2020

The annual proxy for this manufacturer of home fixtures and hardware had the following proposals: 

  • Proforma votes on directors, appointment of auditors, and “say-on-pay” advisory vote 

Magni for and against proforma proposals: 

  • For 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 and there are ownership requirements. 
  • For auditors  There appear to be no controversies with the financial statements of the company. 
  • Against “Say-on-pay” Advisory Vote  The proposal did not address shareholder engagement. A peer group is listed; however, the process for inclusion on the list is not clear and the company is smaller than the average of the peer group.