ArcelorMittal – AGM 13 June 2020
In accordance with the Shareholders Right Directive II (Directive (EU) 2017/828) as implemented by Luxembourg law on 1 August 2019 (the "Shareholders' Rights Law") ArcelorMittal has adopted a remuneration policy applicable for 4 years, in particular, to the members of the Board of Directors and the CEO. Furthermore, the Shareholders Right Directive II also requires an advisory vote on the Remuneration Report.
ITEM VI: The Company seeks shareholder approval of the Remuneration Report. The remuneration structure is not satisfactory and too short term. In addition, as the targets and outcomes for each criterion are not disclosed, is it impossible for shareholders to understand the link between executive pay and performance. Furthermore, the CEO's base salary is higher than the comparison with the MSCI country and sector, as well as the total remuneration. Accordingly, we recommend to OPPOSE.
ITEMS IV and VII : The fees granted to directors are excessive compared to MSCI sector and country and are not linked to real attendance. Hence, we recommend to OPPOSE to both items.
It should be noted that the company refers to the "Ten Principles of Governance of the Luxembourg Stock Exchange" domestic code, even though it is subject to less stringent governance legislation than most companies in the CAC40, French index to which it belongs.
ArcelorMittal is a steel company, based in Luxembourg, with operations in more than 60 countries. Co. is active in all major global steel markets, including automotive, construction, household appliances and packaging, as well as activities in Research & Development and technology, with captive supplies of raw materials and its own distribution network. Co. has an industrial presence in over 20 countries spanning four continents, covering key steel markets, from emerging to mature. Co. offers a complete spectrum of steel products from commodity steel to value-added products, from long products to flat, from standard to specialty products, from carbon steel to stainless steel and alloys.
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