The annual proxy for this gas and electric utility had the following proposals:
- Proforma votes on directors, appointment of auditors, and “say-on-pay” advisory vote
- Shareholder proposals on independent chairman and lobbying
Magni voted as follows:
- For and against the 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 where the equity has restrictions to align director incentives with long-term value creation.
-For auditors – There appear to be no controversies with the financial statements of the company.
-Against “say-on-pay” – The proxy does not show a benchmarking of the company against the peer group.
- For and against shareholder proposals.
-For independent chairman – Magni wrote a position paper regarding shareholder proposals for independent chairman.
–Against lobbying – The company already provides good disclosures of these activities. In addition, the proposals seek to limit participation in industry trade groups. Such groups are helpful to the company.