Shell faces investor backlash
Oil giant Royal Dutch Shell is today facing a significant rebellion from leading shareholders who are dismayed at the allocation of tens of thousands of bonus shares despite the in question executives missing key performance targets. Interestingly, Standard Life has been the more vocal of leading shareholders over the last 24 hours suggesting the company will vote against the motion at the next shareholders meeting.
It will be interesting to see which other leading shareholders come out in favour of Standard Life and its stand against "excessive bonus shares", which they believe have been allocated after a below average performance by the company. While you have to consider the overall economic situation, there is no doubt that performance targets have been missed in what many are now seeing as "rewards for failure".
The Association of British Insurers, perhaps the most influential shareholder associations in the UK, last week issued an "amber" alert in relation to Shell and the policy of issuing bonus shares to executives. Whether the ownership programme will be stopped by shareholders such as Standard Life, and other leading groups, remains to be seen but the excesses of corporate UK are again making uncomfortable headlines for UK regulators and the UK government.
Share this..
Related stories
German government pays the price for bungled GM Europe takeover
It has been revealed that Vauxhall workers at the Ellesmere Port plant in the UK could escape the cost-cutting exercise within GM Europe which will see significant jobs in the short to medium term. There are also hopes that the Luton plant will at least in the short term avoid any significant job losses with the vast majority of cost savings set to be implemented within the company's German operat...
Read MoreShop around to improve your financial fitness
Forcing yourself to shop around for the best deal on credit cards, mortgages and insurance is the best way to improve your "financial fitness", it has been claimed. According to Nici Audlham-Gardiner, head of mortgages at Abbey, spending time to review your finances and seek out the best providers can make a "big difference" to the size of our outgoings. And just as regular exercise keeps us fit,...
Read MoreWho will benefit when the economic upturn finally comes?
As the UK stock market continues to fluctuate on differing opinions and differing reports about the UK economy there is speculation as to who would benefit the most as and when the recovery does come. Some observers are starting to compare the UK economic situation, and the eventual recovery, with a dot-com style boom which could see wealthy investors pick up significantly undervalued assets befor...
Read MoreSales improve at Marks & Spencer
While Sir Stuart Rose, the chief executive and executive chairman of Marks & Spencer, has been targeted by investors with regards to his overall control of the group today he finally received some good news with details of an increase in recent sales reported. The 13 weeks to 27th June saw a 1.4% increase in like-for-like sales which is a significant increase on the 4.2% reduction in the previous...
Read More