Which of the following rights concerning shareholder-sponsored board nominations and shareholder-sponsored resolutions would be advantageous to an investor?
A) |
The right to nominate or remove board members in certain circumstances, and the right to propose initiatives for consideration at the annual meeting. | |
B) |
The right to propose initiatives for consideration at the annual meeting, but not the right to nominate or remove board members in certain circumstances. | |
C) |
The right to nominate or remove board members in certain circumstances, but not the right to propose initiatives for consideration at the annual meeting. | |
Investors need the power to put forth an independent board nominee. In addition, the right to propose initiatives for consideration at the annual meeting is an important method to send a message to management. |