FFC To BNY Mellon, PNC: No Virtual-Only Shareholder Meetings

Friends Fiduciary, for the first time, took the lead advocate role in sending letters to BNY Mellon and PNC expressing concern over virtual-only shareholder meetings. Virtual-only shareholder meetings are widely criticized for limiting shareholder participation, and bylaw amendments by BNY Mellon and PNC signaled their intent to conduct virtual shareholder meetings exclusively. FFC, along with the letters’ signees, have requested that BNY Mellon and PNC continue in-person shareholder meetings and use virtual shareholder meeting technologies only as an adjunct to in-person meetings. Virtual shareholder meeting technologies have the potential to broaden effective ownership by making meetings accessible to shareholders who couldn’t otherwise attend. Many companies have opted to use the “hybrid” model, maintaining in-person meetings while adding a virtual element. As stated in our letter, in person shareholder meetings are important in that “The purpose of a face-to-face shareowner meeting is not exclusively about exchanges between management and shareholders and vice versa; a crucial element is the opportunity for one shareowner to hear the comments of others, unscreened by management. Without the capacity for shareowners to freely access the microphone to address management and each other, one of the most central attributes and aspects of “ownership” would be lost.” To view the letter sent to BNY Mellon, click here To view the letter sent to PNC, click here