While the comment period on the Securities and Exchange Commission’s proposed rules on executive compensation and related party disclosure came to a close this week, it appears the battle over what Corporate America will eventually have to tell the public about what they pay their executives and directors is just ramping up.
The SEC’s 370-page proposing release laid out detailed and extensive changes to existing disclosure rules that included the addition of new disclosure tables, changes to existing ones and the creation of a new reporting section modeled after the required Management’s Discussion and Analysis section. Not surprisingly, it evoked equally lengthy commentary from more than 100 respondents, representing all three main factions—companies, regulators and shareholders—jockeying for a voice in the discussion.
