Report Update: Six Additional Companies Fail Say on Pay – Featuring Trends in Equity Plan Proposals

Report Update: Six Additional Companies Fail Say on Pay – Featuring Trends in Equity Plan ProposalsZoom inDownload PDF

Our special topic this week revisits an earlier analysis of vote results for equity plan proposals. Compared to 2011, twice as many companies have received equity plan support above 90% thus far in 2015. Companies that fail Say on Pay are 10x more likely to have their equity plans voted against by shareholders. To date 1,750 Russell 3000 companies have held their Say on Pay votes and 93% are passing with above 70% support. Six companies have failed since our last report: Fidelity National Financial, ICU Medical, MedAssets, Monster Worldwide, Resolute Energy, and Shutterfly. To date, 38 Russell 3000 companies (2.1%) have failed Say on Pay in 2015. ISS is recommending ‘Against’ Say on Pay proposals at 11% of companies.