ShareOwners.org, August 20, 2009 press release

Legislation Seen As First Concrete Step to Overall Financial Clean-up; Return of High Pay, 'Bonus Fever' on Wall Street and at Banks Shows Strong Action by Lawmakers Needed

WASHINGTON, Aug. 20 /PRNewswire-USNewswire/ -- A sophisticated Web-based campaign is being mounted by ShareOwners.org (http://www.ShareOwners.org) and like-minded organizations with the hope of sending 50,000 emails to the U.S. Senate in order to encourage action on "say on pay" legislation passed on July 31, 2009 by the U.S. House of Representatives.

Individuals wishing to contact their Senators to support curbs on excessive CEO pay and bonuses may do so by going to the ShareOwners.org homepage at http://www.ShareOwners.org. A wide array of membership organizations and institutions will be encouraged to use the Web-based platform at ShareOwners.org to allow their members to speak out on the issue.

ShareOwners.org Executive Director Maureen Thompson said: "The U.S. House of Representatives took the first historic step in late July to restore the shattered trust of Americans in our financial markets. Now, it's time for the U.S. Senate to act. ShareOwners.org supports a comprehensive agenda for financial reform. We know that the fight for reform does not begin and end with reining in CEO pay abuses on Wall Street. But we recognize that the reform process has to start somewhere . . . and that 'say on pay' legislation is a fight that we can win if investors work together. It is imperative that the U.S. Senate act now in the interests of shareowners in order to pave the way for additional remedies to follow, including such key steps as giving shareowners a real voice in the election of directors and strengthening legal remedies for defrauded investors."

The customizable email text at ShareOwners.org reads, in part, as follows:

"As one of your constituents, I am asking you to join with other Senators in September by moving immediately to rein in ongoing CEO pay abuses on Wall Street.

I am one of those 83 percent of Americans who ShareOwners.org found supports 'say on pay' legislation in order to help rebuild the shattered confidence in America's financial marketplace.

It is apparent from the return of bonus fever that once again is gripping Wall Street that too many American corporations are ready to shrug off the lessons that should be learned from the current financial crisis and economic downturn. Now that the U.S. House has acted, the Senate must follow suit to ensure that shareowners - the individuals and institutions that own America's publicly traded companies - can speak up on executive compensation through say on pay resolutions . . .

H.R. 3269 took the first important step in addressing the failures exposed by the financial crisis, it is consistent with enhancing long-term shareowner value, and it deserves the support of all the U.S. Senate."

A ShareOwners.org national survey released on June 25, 2009 found that more than four out of five U.S. investors (83 percent) agree that "shareholders should be permitted to be actively involved in CEO pay and other important issues that may bear on the long-term value of a company to their retirement portfolio or other fund." The scientific survey also found that more than three out of four American investors (79 percent) want to "see strong action taken to correct the problems that exist today" in the financial markets, including over a third (34 percent) who are "angry" about the debacle on Wall Street and the related failure of regulatory oversight.

Full survey findings are available online at http://www.shareowners.org/page/get-the-news.

SHAREOWNERS.ORG AGENDA

The four-part ShareOwners.org agenda is spelled out in detail on the Web and may be summarized as follows:

Stronger regulation of the markets through a beefing up the Securities and Exchange Commission (SEC), ensuring that it has the resources and authority to increase supervision and enforcement of financial professionals, hedge funds, and mutual funds, and also forfeiture of compensation and bonuses earned by management in a deceptive fashion, strengthening state-level shareowner rights, and protecting whistleblowers and confidential sources who expose financial fraud and other corporate misconduct.
Increased accountability of boards and corporate executives by allowing shareowners to vote on the pay of CEOs and other top executives, empowering shareowners to more easily nominate directors for election on corporate boards, requiring majority election of all members of corporate boards at American companies, splitting the roles of chairman of the board and CEO at major companies, stopping the practice of brokers casting votes for shareowners in board elections, and allowing shareowners to call special meetings.
Improved financial transparency, including a crackdown on corporate disclosure abuses used to manipulate stock prices, strengthening corporate disclosures so that shareowners can better understand long-term risks, and protecting U.S. shareowners by promoting new international accounting standards.
Enhanced protection of the legal rights of defrauded shareowners, which means preserving the right of investors to go to court to get justice, ensuring that those who play a role in committing frauds bear their share of the cost for cleaning up the mess, and allowing state courts to help protect investor rights.

ABOUT SHAREOWNERS.ORG

Launched in June 2009, ShareOwners.org (http://www.ShareOwners.org) is a nonprofit and nonpartisan organization that will educate and organize U.S. investors to support both short- and long-term financial market reforms. ShareOwners.org's broad four-part agenda focuses on the need for stronger regulation (including a beefed-up SEC), increased accountability of boards/CEOs, improved financial transparency and protection of the legal rights of investors.