Oracle Corp. shareholders rejected the software maker'sexecutive compensation plan for a sixth straight year after itawarded the top three bosses pay packages worth more than $100million each in fiscal 2018.
|A majority of shares voted opposed the program, according topreliminary results announced Wednesday at Oracle's annual meetingin Redwood City, Calif. It's the only S&P 500 company thathasn't secured majority approval in a say-on-pay vote since 2011,even though founder and chief technology officer Larry Ellison ownsabout 28% of the stock.
|In September, Oracle presented a revamped compensation program,including long-term awards of stock options for Ellison, 73, andco-CEOs Mark Hurd, 60, and Safra Catz, 55. The grants, each valuedat $103.7 million, vest if the company meets share price, marketcapitalization and operational goals. The board doesn't expect togrant them additional equity until 2022.
|“Ongoing equity mega-awards to top executives perpetuate apay-for-performance disconnect,” proxy adviser InstitutionalShareholder Services Inc. said in a report recommending thatinvestors oppose the plan.
|ISS also advised clients to withhold votes for directors MichaelBoskin and Bruce Chizen, who are members of Oracle's auditcommittee. Ellison has for years pledged millions of Oracle sharesas collateral for personal loans, which raises “significantconcern” about the committee's risk oversight, the proxy advisersaid.
|Oracle said Wednesday that both Chizen, 62, and Boskin, 72, werere-elected to the board. The vote tally wasn't immediatelydisclosed.
|From: Bloomberg News
|Copyright 2018 Bloomberg. All rightsreserved. This material may not be published, broadcast, rewritten,or redistributed.
Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.
Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
- Exclusive discounts on ALM and Treasury & Risk events.
- Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.
*May exclude premium content
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
