Proxy season 2007: more smoke than fire; The 2007 proxy season saw a slew of challenges from activist shareholders, private equity funds, public pension funds and others. Many high-profile proxy contests did not materialize, as companies compromised to keep resolutions from being voted on.(GOVERNANCE)

Financial Executive, July, 2007 by Brewer, H. Bryan

Results of the 2007 proxy season are indicative of the changing landscape and drive for transparency and corporate accountability.

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Activist shareholders, private equity funds, public pension funds and others have continued challenging companies at the feverish pitch that was apparent during last year's proxy season. Shareholders have had a difficult time discerning the total compensation for executives, and that continued to drive many investor proposals this year. Shareholder proposals also continued to reflect disdain for excessive compensation at U.S. companies.

Activist shareholders continued to play an important role in the proxy process, but the expected number of contentious high-profile proxy contests did not...