CalPERS' Proxy Access Proposal Passes at Old Republic
May 30, 2017
Communications & Stakeholder Relations
Brad W. Pacheco, Deputy Executive Officer
Wayne Davis, Chief, Office of Public Affairs
Contact: Megan White, Information Officer
SACRAMENTO, CA - The California Public Employees' Retirement System's (CalPERS) proxy access shareowner resolution at Old Republic International Corporation (Old Republic) has passed according to preliminary results.
The proposal provides shareowners the right to nominate directors to the company's board. Without effective proxy access, the director election process simply offered a ratification of management's slate of nominees. This resolution was submitted and passed last year with 73.8 percent support, but the board chose not to implement proxy access.
"The shareowners have spoken. The board at Old Republic needs to listen," said Anne Simpson, CalPERS investment director, sustainability. "Once again, fundamental accountability to the shareowners has been voted into practice at Old Republic. The responsibility is now with the board to do what is right."
The proposal included three specific areas:
- Beneficial ownership of at least three percent of the outstanding stock
- Three years of continuous ownership
- Ability to nominate up to 25 percent of the board
Prior to 2015, only 10 U.S. companies had a three percent proxy access bylaw in place – that number has sharply increased to more than 400 companies as of March 10, 2017. The growing number of companies spans across various industries.
For more than eight decades, CalPERS has built retirement and health security for state, school, and public agency members who invest their lifework in public service. Our pension fund serves more than 1.8 million members in the CalPERS retirement system and administers benefits for more than 1.4 million members and their families in our health program, making us the largest defined-benefit public pension in the U.S. CalPERS' total fund market value currently stands at approximately $322 billion. For more information, visit www.calpers.ca.gov.