|Man Without Qualities|
Friday, March 28, 2003
No Weill III: MWQ Gets Results
In the prior post linked above, I noted:
[W]hile it is perfectly reasonable that [Citigroup Inc. Chairman Sanford] Weill should have a seat on the NYSE board in some other capacity, that Mr. Weill could even potentially be considered as a "public representative" on the basis of the silly argument proffered above also shows how inconsistent and hypocritical the NYSE has been in it's "independence" evaluations. Mr. Weill was to become a member of the NYSE own board. But compare the make-weight arguments used to support Mr. Weill's nomination with the complaint of Warren Buffett over the new tripwire NYSE rules defining "independent directors" of listed companies such as Berkshire-Hathaway ...
Perhaps somebody at the Securities and Exchange Commission reads this blog - or maybe the point was obvious. But in any event, the Wall Street Journal reports:
The Securities and Exchange Commission has asked U.S. exchanges to study their own corporate governance and report on findings by May 15. SEC Chairman William Donaldson said he wants markets to be "examples of good governance" for investors and companies. "If you're going to set standards for other people, you've got to set standards for yourself," Mr. Donaldson said Wednesday. .... Mr. Donaldson said the move wasn't prompted by the New York Stock Exchange, which came under fire for nominating Citigroup Inc. Chairman Sanford Weill to serve on the NYSE board. .... At a time when exchanges are insisting on tougher standards for listed companies, he said it's only logical for them to study their own governance practices. "Just as every board is looking internally to its structure, it's only logical that the exchanges should be looking at theirs," said Mr. Donaldson .
Ah, the language of diplomacy!
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