updated 09:15 pm EST, Wed January 23, 2008
Apple shareholders meeting
Apple has officially announced its annual meeting of shareholders, where stockowners will elect the company's Board of Directors and ratify the appointment of KPMG LLP as Apple's independent registered public accounting firm for fiscal year 2008. Also on the agenda are considerations for two shareholder proposals, which are listed below. The meeting is scheduled to take place on March 4th at 10:00 a.m. local time in Building 4 on the company's Cupertino campus.
Shareholder proposal regarding advisory vote on compensation
The first of the two shareholder proposals revolves around compensation policies, regarding a low grade (D) from corporate governance advisory authority The Corporate Library, and to clear up any misinformation regarding backdated stock options.
Apple believes that the existing US corporate governance arrangements do not provide shareholders with adequate communication with boards on senior executive compensation. The company cites improved practices in the UK, where shareholders can cast an advisory vote on a director’s remuneration report.
The board of directors advises a vote against the measure, however, citing claims that it will only act as a deterrent from the Compensation Committee ensuring that executives are given the proper retainers and incentives.
Shareholder proposal to amend corporate bylaws, establishing a board committee on sustainability
The second proposal governs whether or not a committee should be formed to manage company “green” policies.
Apple says that it supports environmentally friendly practices, and has made recent strides in eliminating harmful materials and manufacturing processes. Regardless, the board advises against the measure, citing that another corporate layer will impede innovation and response to competing vendors.