Another Shareholder Revolt

Unfortunately, it was unsuccessful, but the attempt by GE shareholders to exert greater control over management was pretty damn close:

Shareholders in General Electric have come close to winning a vote that would have given them more direct control over the the largest US industrial group by market capitalisation against the wishes of its board.

In the latest sign of rising shareholder activism in the US, a proposal at GE’s annual meeting in Detroit on Wednesday to allow shareholders to make decisions about the company “by written consent” won the support of some 47.5 per cent of the votes cast.

This would have meant that shareholders would not have had to call a special meeting to push through corporate change. The motion was backed by Institutional Shareholder Services and Glass Lewis, the corporate governance advisory firms.

There was also a significant vote for appointing an independent chairman of the board, which was backed by 22 per cent of the votes cast, although that was lower than the 35 per cent support the proposal won last year.

I think that shareholders are beginning to understand that management will keep them in the dark, and then f%$# them like a drunk school girl if they don't make changes.

You gotta love the American MBA culture.