The Advisors' Blog

This blog features wisdom from respected compensation consultants and lawyers

October 15, 2013

Say-on-Pay: Now 61 Failures

Broc Romanek, CompensationStandards.com

Recently, Masimo Corporation became the 61st company to fail its say-on-pay in ’13 – see the Form 8-K – with 48% support (the company failed last year with only 37% support). And then we have Capstone Turbine, which was the 60th company with only 48% support – see the company’s Form 8-K. Note that both 8-Ks for these companies don’t quite characterize the votes as failures, as they just provide the share data. However, the proxy statements state that abstentions have the effect of an “against” vote – so when the math is done, they received less than majority support.

With 61 failures, this year now ties last year with the number of failures. Thanks to Karla Bos of ING for the heads up on these!