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ISS issues benchmark policy updates for 2023

At the end of last week, ISS announced its benchmark policy updates for 2023. The policy changes will apply to shareholder meetings held on or after February 1, 2023, except for those with one-year transition periods. The...more

Corporate Sustainability Reporting Directive receives final approval, applicable to US companies with EU presence

On Monday, according to this press release from the Council of the European Union, all 27 members of the European Council voted in favor of the adoption of the Corporate Sustainability Reporting Directive, the last step for...more

Will climate disclosures translate into climate action?

In light of the billions that even the SEC’s economic analysis estimates would be spent complying with its proposed climate disclosure regulations (see this PubCo post, this PubCo post and this PubCo post), will those...more

FASB issues proposed ASU on segment reporting

Last month, the FASB issued a proposed ASU on segment reporting. In its announcement, the FASB explained that investors find segment information to be critically important to understanding a company’s different business...more

What happened at the 2022 PLI Securities Regulation Institute?

At the PLI Securities Regulation Institute last week, the plethora of SEC rulemaking took some hits. It wasn’t simply the quantity of SEC rules and proposals, although that was certainly a factor. But the SEC has issued a...more

SEC adopts final rules on compensation clawbacks in the event of financial restatements—“Big R” and “little r” [UPDATED]

[This post revises and updates my earlier post primarily to reflect in greater detail the contents of the adopting release. For a discussion of the comments and criticisms of the SEC Commissioners at the open meeting at which...more

SEC adopts final rules on compensation clawbacks in the event of financial restatements—“big R” and “little r”

You might remember back to 2015 when the SEC initially proposed rules to implement Section 954 of Dodd-Frank, the clawback provision. The SEC did not then consider adoption of the proposal in the ordinary course, instead...more

SEC’s Small Business Advisory Committee hears glimmers of positive news about the IPO market

Recently, at a meeting of the SEC’s Small Business Advisory Committee, a panel provided an update on the state of play of the IPO market. While IPO activity—traditional IPOs, SPACs and direct listings—was off-the-charts in...more

Final climate rules are months away, reports Bloomberg

Here’s a big scoop from Bloomberg: the “SEC is months away from finalizing expansive new climate disclosure requirements as the agency juggles investor demands for more transparency, tech glitches and a tough Republican legal...more

Is there an “ESG backlash” among CFOs?

While a recent survey of CEOs (discussed in this PubCo post yesterday) showed increasingly favorable reactions to ESG and its potential impact—transforming ESG “from a nice-to-have to integral to long-term financial success”—...more

The SEC calls “technical glitch”—what happened to your comment letter?

Surprise! The SEC has just reopened a slew of comment periods! Late Friday, the SEC announced that, as a result of a technical error, it had not received a number of electronically submitted comments for at least 11...more

SEC charges Compass Minerals with disclosure violations resulting from “deficient disclosure process”

Toward the end of last month, the SEC announced settled charges against Compass Minerals International, Inc., for alleged disclosure violations that were “the consequence of a deficient disclosure process.” In the Order,...more

The FASB issues new ASU on supply chain financing arrangements

For several years, the SEC staff and advisory committees, credit rating agencies, investors, the Big Four accounting firms and other interested parties have been making noise about a popular financing technique called “supply...more

“The electronic Form 144 may be a big change, but it doesn’t have to feel like one!”

That’s the headline on a sidebar on the SEC’s newest Form 144 EDGAR page, providing psychological support and comfort to ease the trauma—I mean the transition—for new filers of electronic Forms 144. You might recall that, in...more

SEC charges executives with insider trading— purported 10b5-1 plan provided no defense

It may look like just another run-of-the-mill insider trading case, but there’s one difference in this settled SEC Enforcement action: according to the SEC, it involved sales under a purported 10b5-1 trading plan while in...more

SEC Chair Gensler faces Senate Committee—will the SEC moderate Scope 3 disclosure requirements?

Last week, SEC Chair Gary Gensler gave testimony before the Senate Banking, Housing and Urban Affairs Committee. While his prepared testimony largely revisited familiar themes, the Committee’s questioning offered a bit more...more

Corp Fin speaks at “SEC Speaks”

At last week’s PLI program, SEC Speaks, Corp Fin Director Renee Jones and crew discussed a number of topics, among them disclosure of emerging risks, recent rulemakings, staff focus on Part III disclosures, shareholder...more

Fifth Circuit hears oral argument on challenge to Nasdaq board diversity rules—will the rules survive?

On Friday, August 6, 2021, the SEC approved a Nasdaq proposal for new listing rules regarding board diversity and disclosure, accompanied by a proposal to provide free access to a board recruiting service. The new listing...more

California’s proposed Climate Corporate Accountability Act goes belly up—for now at least

“California Approves a Wave of Aggressive New Climate Measures” was a headline in the NYT on Thursday, and that included a “record $54 billion in climate spending, a measure to prevent the state’s last nuclear power plant...more

SEC adopts final pay-versus-performance disclosure rule [updated]

[This post revises and updates my earlier post primarily to reflect in greater detail the contents of the proposing release.] - Last week, without an open meeting, the SEC finally adopted a new rule that will require...more

SEC adopts final pay-versus-performance disclosure rule

It’s been 12 years since Dodd-Frank mandated, in Section 953(a), so-called pay-versus-performance disclosure, and amazingly, no rules had been adopted to implement that mandate…until yesterday, when adoption of the final rule...more

What do the public comments on the SEC’s climate disclosure proposal tell us?

In this July report, Responses to the SEC’s Climate Proposal, KPMG discusses various themes and observations that it gleaned from its review of comment letters on the SEC’s 510-page comprehensive and stunningly detailed...more

State legislation targets company policies on ESG—how will it affect the corporate balancing act?

Over the past several years of political discord, many CEOs have felt the need to voice their views on important political, environmental and social issues. For example, after the murder of George Floyd and resulting national...more

ESG metrics in compensation plans—a growing trend

Consultant Semler Brossy’s new report, ESG+Incentives, examines the prevalence of various ESG metrics as part of incentive compensation structures among companies in the S&P 500. Although some view ESG targets as just too...more

More financial information about human capital? FASB looks to require disaggregation of expenses on the income statement

In June, the Working Group on Human Capital Accounting Disclosure, a group of ten academics that includes former SEC Commissioners Joe Grundfest and Robert Jackson, Jr. and former SEC general counsel, John Coates, submitted a...more

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