On June 28, the SEC released amendments to the definition of a “smaller reporting company” that significantly expand the threshold up to which a company can be considered a smaller reporting company. If you weren’t a smaller reporting company before, maybe you are now.
The question of the role of compensation in encouraging risk-taking and cheating on the part of executives is an ongoing debate (for example, see "CEOs with Stock Options Are More Likely to Break Laws," by Dylan Minor, Harvard Business Review, May 26, 2106). But a couple of recent studies that I heard about on a podcast make me wonder if it isn't the amount or type of compensation that is the problem but more so the disclosure of it.
162(m) Trap for Smaller Reporting Companies
We've heard the lawyers, let's hear the administrator's view of proxy statements!
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