The corporate governance landscape has changed once again with the release of the Dodd draft bill on March 15, 2010. Like the discussion draft, the draft bill, which has not yet been introduced, addresses several corporate governance topics, but with some revisions from the discussion draft. The changes are:
Another bill on executive compensation has also been introduced in the Senate. On Feb. 26, 2010, Sen. Menendez introduced the Corporate Executive Accountability Act of 2010 that covers (1) say-on-pay, (2) approval of golden parachutes, (3) executive compensation disclosure, (4) Clawback Policy, (5) severance agreements tied to performance, and (6) limitations on equity compensation of executive officers.
We have updated the 2009-2010 Corporate Governance Reforms Chart to reflect changes in the Dodd draft bill and to include Sen. Menendez’s bill. McGuireWoods LLP regularly assists clients in complying with their corporate governance and public reporting obligations, and we actively monitor developments related to the issues discussed above. We are ready to assist you in preparing to respond to any changes in the area of corporate governance.