Faurecia - AGM 26 June 2020
ITEM 6: The Company proposes to renew the mandate of Michel de Rosen, Chairman
of the Board. While he has no conflict of interest and ECGS appreciates the separation
of functions put in place by the company, he is Chairman of 3 listed companies, which is
obviously excessive. We therefore do not support its renewal (resolution 6).
ITEM 13: The main weakness of Patrick Koller's compensation is the possibility of
vesting performance shares in the event of underperformance. In addition, the structure
of his 2019 compensation is unsatisfactory and the amounts are generous for a
company of Faurecia's size (but in line with the sector). In view of these factors, we do
not support the compensation awarded to Mr Koller this year. We therefore recommend
opposition to resolution 13.
ITEM 16: Regarding his 2020 compensation policy, if the CEO has waived the increases
in fixed and long-term compensation that were initially planned, which is positive in
view of the context, the implementation of a new supplementary pension plan giving
rise to the allocation of excessive amounts is not acceptable. Since the PACTE Law,
only the approval of the compensation policy (i.e., of resolution 16) constitutes validation
and effective implementation of this post-employment benefit. As this post-
employment benefit does not comply with any point of our voting policy and is not
acceptable, we recommend opposition to resolution 16.
Faurecia is an automobile equipment supplier based in France. Co.'s activities can be divided into four business units: Automotive Seating (design of vehicle seats, manufacture of seating frames and adjustment mechanisms, and assembly of complete seating units); Emissions Control Technologies (design and manufacture of exhaust systems); Interior Systems (design and manufacture of instrument panels, door panels and modules, and acoustic components); and Automotive Exteriors (design and manufacture of front ends and safety modules). Some of Co.'s customers are PSA Peugeot Citroen, VW Group, Renault-Nissan, Ford Group, BMW and GM Group.
Founded in 1995, Proxinvest is an independent proxy firm supporting the engagement and proxy analysis processes of investors. Proxinvest mission is to analyse corporate governance practices and resolutions proposed at general meetings of listed firms.
Proxinvest main services are :
- Proxy reports
- Definition and monitoring of client customized voting guidelines
- Corporate Governance Data and Rating
- Thematic research
- Engagement support
Proxinvest has been a pioneer and champion of good corporate governance and has grown into a recognised expert in the field.
Proxinvest is independently-owned and only works for investors : Proxinvest does not provide consulting services to the companies it covers, mitigating related risks to its clients and ensuring the independence of our analysis. As a result Proxinvest is able to take a robust, independent, engaged and unconflicted view of the companies in which our clients invest.
As Managing Partner of Expert Corprate Governance Service Ltd (ECGS), Proxinvest has built a large network of corporate governance experts to support clients in corporate governance analysis worldwide.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.