Last week, ExxonMobil successfully silenced shareholders when it asked the Securities and Exchange Commission (SEC) to block As You Sow and Arjuna Capital’s “Low Carbon Business Model” resolution. The resolution asks the company to report on how it can adapt its business model to align with a decarbonizing economy by substantially reducing dependence on fossil fuels, including making greater investments in clean energy. With its action, ExxonMobil has withheld material information from shareowners who have a vested interest in the company’s financial future.
“Shareholders deserve the respect and the opportunity to understand whether Exxon is working to develop a path forward in a rapidly changing energy market,” said Danielle Fugere, President of As You Sow. “Silencing shareholders’ important questions only places the company at greater risk. And, without answers to their fundamental questions, shareowners may choose to avoid this growing risk altogether.”
“We’re deeply concerned that ExxonMobil has silenced investor voices at a critical time in the company’s evolution,” said Natasha Lamb, managing partner, Arjuna Capital. “The shareholder resolution process is intended to allow open discussion between owners and their companies, so companies can adapt to risks and opportunities. Instead, Exxon has been given a free pass to continue business as usual in the face of unprecedented climate change.
Arjuna Capital is an investment firm focused on sustainable and impact investing. www.Arjuna-Capital.com.
As You Sow is a nonprofit organization that promotes environmental and social corporate responsibility through shareholder advocacy, coalition building, and innovative legal strategies. See our resolutions here.
CONTACT: Cyrus Nemati, (510) 735-8157