Apple Shareholders Reject Proxy-access Proposal Despite Pension Fund Support

Apple Inc. shareholders defeated a shareholder proposal for proxy access, despite support of major public pension funds. The proposal received 32.6% of the vote in favour. The proposal called for Apple to adopt proxy access, enabling an unlimited number of eligible shareholders to form a group to nominate up to 25% of the directors, or two directors, whichever is greater, to Apple’s eight-member board. To be eligible, a shareholder or a group must own in total 3% of Apple shares continuously for three years. Apple opposed the proposal, according to its proxy statement. Apple’s bylaw limits a group to 20 shareholders and the shareholder nominations to up to 20% of the board.