New Rules: SEC Approves Enhanced Compensation & Governance Disclosures for 2010 Proxy Season

(December 17, 2009, Weil Briefings)

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On Wednesday, December 16, 2009, the SEC adopted final rules that will broaden the scope of required disclosure on executive compensation and other corporate governance matters and require 8-K current reporting of shareholder voting results. The rules enhance disclosure regarding the qualifications of current and new directors for board membership, board leadership practices and the board's role in risk oversight, as well as disclosure regarding compensation policies and practices related to risk management, equity awards to executives and fees paid to compensation consultants, among other governance matters. The attached Weil Briefing summarizes the new requirements and comments on steps for companies to take to meet them.