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The Cleanest Compensation Fuel: Restricted Stock, Executive Compensation Trends and Issues in 2013, & The Importance of Robust Proxy Disclosure | March 2013

Longnecker & Associates
March 27, 2013
       
Hello to All, 
 
Executive compensation is in full swing right now as proxies are being drafted.  This month's L-Blast has three great pieces, two of which are by L&A: "The Cleanest Compensation Fuel" and our "Executive Compensation Trends and Issues in 2013" presentation, which are lockstep with what is happening right now.  Both of these are intended to proactively position companies to make the right chess moves going forward in 2013.
 
The final piece is the transcript from a recent speech by SEC Commissioner Aguilar discussing the need for "robust" disclosures in regards to executive compensation.  We believe this very important information for all of us to be aware of.
 
As always, we here at L&A are very appreciative of you and hope that 2013 has started off well.  Enjoy the read!
 

by Chris Crawford, Brent Longnecker, & Todd Henke
The emerging talent gap within energy companies across the U.S. has become one of the most serious concerns keeping senior management and board members awake at night. In a recent survey of utility industry human resource executives, conducted by Carnegie Mellon University’s Electricity Industry Center, the retiring work force is listed as the number one concern.

Executive Compensation Trends and Issues in 2013
by Chris Crawford and Kevin Kuschel
Proxy season approaches and CD&As are being prepared.  The Swiss have voted for a binding shareholder vote and the Germans are looking to do the same.  In the U.S., shareholder lawsuits are popping up almost weekly against executive compensation decisions.  There are many things companies, both public and private, need to be aware of in 2013 regarding compensation and board governance practices.  All of these trends and issues are discussed in this presentation by Chris Crawford and Kevin Kuschel of L&A, as well as how to prepare for ISS and say-on-pay and CD&A disclosure best practices.

Shareholders Need Robust Disclosure to Exercise Their Voting Rights as Investors and Owners
by Commissioner Luis A. Aguilar of the SEC
In the next few months, thousands of public companies will hold their annual shareholder meetings. I would like to take this opportunity to emphasize the importance of robust proxy disclosure to shareholders and to highlight areas in which the disclosure can be substantially improved. I share the desire expressed by many investors for additional information that would enhance their ability to make informed voting and investment decisions.