Proxy Blog

WEC Energy Group, Inc. 

April 7, 2020

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.