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A European Union proposal that 40 percent of company supervisory boards be made up of women will be amended to ease potential sanctions in an effort to win over EU officials, a person familiar with the matter said.

EU Justice Commissioner Viviane Reding will make minor changes to allow governments more flexibility on penalties against companies that don’t meet the target by 2020, said the person, who declined to be identified because the matter is private. Under the draft rules, companies would also have to explain selection procedures if challenged by unsuccessful candidates who claim they were discriminated against.

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