Four new companies have agreed to adopt disclosure and board oversight of political spending with corporate funds, the Center for Political Accountability (CPA) and Green Century Capital Management, Inc. announced. The agreements bring to 44 the number of U.S. public companies ranked in the S&P100 that embrace this corporate governance standard and continues the momentum seen in the 2009 proxy season.
Companies listed in the S&P100 are the largest and most influential members of the corporate community and are seen as trend setters. The new agreements are with three companies in this index, Entergy, Heinz, Williams Companies, along with the Hartford. Green Century Capital Management Inc. engaged Williams Companies. The latest additions bring the overall number of companies adopting political disclosure to 65. All are in the S&P500, a listing of large cap companies actively traded in the United States.
The companies were first approached about political disclosure last July. At that time, the CPA and its shareholder advocate partners wrote to the 63 S&P100 companies that had not yet adopted CPA’s framework for political disclosure.
Later this month, the CPA and its partners will send a similar letter to an expanded group of companies, including those in the S&P100 that have not yet adopted political disclosure, asking them to do so before the 2010 proxy season opens.
“At this rate, shareholders soon will see a majority of S&P100 companies adopting political disclosure and accountability. Corporations are realizing it is in their interest to embrace transparency,” says Bruce F. Freed, the CPA’s executive director. “Entergy, The Hartford, Heinz and Williams Companies are to be congratulated for implementing best practice in political disclosure.”
The organizations are part of a nationwide effort of close to 30 socially responsible investors that is seeking to bring transparency and accountability to corporate political spending. The initiative was launched by the CPA in late 2003.
D.C.