For the third time, on May 6th, 2014, Etica Sgr voted at the shareholder annual general meeting of Kraft Foods Group, an American food company, stressing the management on some environmental, social and governance (ESG) issues.
Etica Sgr voted for all items in agenda, with the exception of the advisory vote to ratify named executive officers’ compensation, where it voted against, and the ratification of auditors, where Etica Sgr abstained. No corporate governance issues have been found on the composition of Kraft Foods’ Board so Etica Sgr voted for the election of all four proposed directors. Regarding the remuneration policy of the Company, although the report explains in a good detail the indicators underlying the variable part of the remuneration and other good practices are present, the lack of environmental, social and governance (ESG) parameters and the discretionary component of the compensation leaded to a negative vote. During the annual general meeting six shareholder proposals were presented: one regarding the prohibition of political contributions (submitted by Green Century), one to urge the company to adopt a policy to ensure consistency between company values and political contributions (submitted by a private investor) , one to assess the environmental impact of non-recyclable packaging (filed by As You Sow, member of ICCR), one to ask a report on supply chain and deforestation (submitted by Domini Social Investments, member of ICCR), one requesting that the Company ask suppliers to eliminate cattle dehorning (filed by The People for the Ethical Treatment of Animals, PETA), one in support of animal welfare improvements in the Company’s pork supply chain (submitted by Humane Society of the United States, HSUS). Etica Sgr, considering these resolution compliant with its Guidelines, stated its support voting in favor.
06 May 2014Engagement ESG Foreign companies