More Positive Say on Pay Results Roll in as the Heart of Annual Meeting Season Approaches

Shareholder Viewpoints

The 2013 say on pay season encountered its first hiccups over the last week as Apple received only 61 percent shareholder support and Disney received just 57.6 percent, up less than one point from its 2012 total.  The Disney vote was driven by a 20 percent increase in compensation and a protest vote by some shareholders who wanted to separate the CEO and Chairman.  To date, 27 S&P 500 companies have reported results, and all have received majority support.  All but two of those 27 – Apple and Disney - received support in excess of 89 percent.  As of March 8, the average shareholder support is 92.8 percent with a median support of 95.0 percent.  Newly reporting companies this week, AmerisourceBergen, Joy Global, and Applied Materials, have all received support in excess of 90 percent.  TE Connectivity, a 2007 off-shoot of Tyco International, continued to see a year-over-year increase in say on pay support, receiving slightly less than 90 percent shareholder support, up nearly 10 percent from its 2011 total and up five percent from last year.  Next week, we will report on pending results that include the year's first batch of ISS "Against" recommendations.