Disney Considers Creating Post of Presiding Director
(Wall Street Journal) -- Continuing an effort to shore up its corporate-governance policies, Walt Disney Co. is likely to create a “presiding director” position on its board. Disney’s board could act as soon as Tuesday, when it is next scheduled to meet. Disney would join a growing list of US companies, including General Electric Co. and Interpublic Group of Cos., that recently have created such a position. The idea of such a post has gained currency this year as corporate boards have been under pressure to be more independent and accountable at the companies they oversee. The primary responsibility of a presiding director is to lead board sessions that are held without management present. New governance rules proposed by the New York Stock Exchange require that non-management directors hold regular executive sessions without management. The pending rules encourage, but don’t require, the appointment of a presiding director. A presiding director also can serve as a liaison between management and the board. The precise duties of Disney’s presiding director haven’t been worked out, but people familiar with the board say the formal responsibilities will likely be fairly limited.
(Wall Street Journal) -- Continuing an effort to shore up its corporate-governance policies, Walt Disney Co. is likely to create a “presiding director” position on its board. Disney’s board could act as soon as Tuesday, when it is next scheduled to meet. Disney would join a growing list of US companies, including General Electric Co. and Interpublic Group of Cos., that recently have created such a position. The idea of such a post has gained currency this year as corporate boards have been under pressure to be more independent and accountable at the companies they oversee. The primary responsibility of a presiding director is to lead board sessions that are held without management present. New governance rules proposed by the New York Stock Exchange require that non-management directors hold regular executive sessions without management. The pending rules encourage, but don’t require, the appointment of a presiding director. A presiding director also can serve as a liaison between management and the board. The precise duties of Disney’s presiding director haven’t been worked out, but people familiar with the board say the formal responsibilities will likely be fairly limited.