The annual proxy for this electricity and natural gas utility 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 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 disclosure regarding the shareholder engagement program was fine. The peer group was listed along with high-level criteria for the group. There was no benchmarking of the company against the peer group, so the appropriateness of the peer group could not be determined.
