Monday, February 9, 2009

The Lowes Plan

Lowes has recently announced their plan to "clawback." According to Parija Kavilanz a senior writer for CNN.money, Lowes "board [of directors] can seek to take back compensation based on merit if it determines that an executive engaged in fraud or intentional misconduct that caused or substantially caused a significant restatement of the company's financial results."

This is a great way for Lowe's to protect themselves from over compensating as we have recently seen so often. Hopefully this is a proactive stance that the board has elected to take rather than a retroactive warning to any past executives.

No comments:

Post a Comment