Paramount Global Faces ISS Opposition to Four Directors' Re-election

Institutional Shareholder Services (ISS) has advised shareholders of Paramount Global to vote against the re-election of four directors, including the chairperson, at the upcoming annual meeting. This recommendation is based on a report released by ISS on June 23, which highlighted concerns over the company's "problematic capital structure" as a primary reason for opposing their re-election. The firm specifically advised against the re-election of the chairperson, as well as three other members of the governance committee: Barbara Byrne, Linda Griego, and Susan Schuman.

ISS also raised concerns about Paramount's executive compensation plans, noting that individual performance has a significant impact on the distribution of annual bonuses. Consequently, the firm recommended voting against three of the directors serving on the company's compensation committee.

Paramount is currently in the process of finalizing an 84 billion dollar merger with Skydance Media, a deal that is still pending regulatory approval. Earlier this month, the company nominated three new directors to its board, and ISS has recommended voting in favor of these nominees.

The annual meeting of Paramount Global is scheduled for July 2. This development comes at a critical time for the media company, as it navigates through significant corporate changes and seeks to address shareholder concerns. The recommendations by ISS underscore the importance of governance and compensation practices in maintaining shareholder trust and confidence in the company's leadership.

The ISS report serves as a reminder to companies that effective governance and transparent compensation practices are essential for sustaining long-term shareholder value. As Paramount Global prepares for its annual meeting, the recommendations by ISS will likely influence shareholder voting decisions and shape the future direction of the company's board composition and strategic initiatives.