A press release said 90% of Business Roundtable companies report that their boards were at least 80% independent in 2007. In 2006, 87% of companies reported board independence of 80% or more. The percentage of companies that have adopted majority voting procedures for directors has risen from low levels to 82% in just two years.
Other survey findings, according to the press release, include:
- Nearly half (48%) of CEOs serve on only one other public company board, while 27% of CEOs do not serve on any other public company boards.
- 38% of companies responded that board members have met with shareholders in the last year.
- Spending on compliance with Sarbanes-Oxley appears to continue to decline. About 50% of companies expect costs to decrease moderately in light of the SEC’s interpretive guidance and the PCAOB’s Auditing Standard No.5; 31% expect costs to remain about the same, and only 2% expect an increase.
- 40% of companies reported adjusting the pay-for-performance element of senior executive compensation in the past year, in addition to the 57% that reported doing so in 2006.
More about Business Roundtable can be found at www.businessroundtable.org .
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