An investigation by "Globes" found that ISS Proxy Advisory Services has an added interest in Israel Chemicals, which hired ISS subsidiary ISS Corporate Services (ICS) to draw up its executive compensation plan.
An investigation by "Globes" has found that ISS Proxy Advisory Services has an added interest in Israel Chemicals Ltd. (TASE: ICL), which hired ISS subsidiary ISS Corporate Services (ICS) to draw up the company's executive compensation plan. This is the same plan that ISS recommends approving, even though it has not disclosed the role that ICS had in drawing it up. Israel Chemicals' executive compensation plan includes a basis salary (before options and bonuses) of $1.24 million for CEO Stefan Borgas in 2013 and a basic salary of $749,000 for other company officers.
Israel Chemicals said in response, "For months, Israel Chemicals has been writing its executive compensation plan to meet the standards that guarantee the interests of its shareholders and Amendment 20. As part of this preparation, Israel Chemicals sought the help of a large number of advisers from among the world's leading consultancies. The decisions by ISS and Glass Lewis to recommend approving the plan were not influenced by the names of Israel Chemicals' advisers, but by the quality of the plan, its content, and comparison with similar companies in the world."
Published by Globes [online], Israel business news - www.globes-online.com - on September 1, 2013
© Copyright of Globes Publisher Itonut (1983) Ltd. 2013
Shiri Habib-Valdhorn and Efrat Peretz