Read Full Article
The dispute around director income is the latest front in the war of influence between activist funds and corporate boards...
It's problematic that you're forcing them to focus on the short term, rather than follow a long-term strategy which might be better for the company.
Investors may find the new bylaw provision concerning because it could deter legitimate efforts to seek board representation via a proxy contest, particularly those efforts that include independent board candidates selected for their strong, relevant industry expertise, and who are generally recruited, but not directly employed, by the dissident shareholder.
I believe that there is something to board cohesion and having directors subject to the same basic compensation.