You know the ESG mob activists want executives to put progressive political priorities ahead of shareholders’ best interests, but when the radicals came to Exxon, executives fought back. Now, they’ve won. The editors of The Wall Street Journal explain Exxon’s defeat of radical climate activists and the politicized public pension funds who support them, writing:
Exxon Mobil shareholders on Wednesday overwhelmingly repudiated a campaign by progressive activists to dislodge CEO Darren Woods and independent director Joseph Hooley from its board. Most investors care about financial returns more than public pension funds apparently do.
Leftist groups and government pension funds campaigned to oust Messrs. Woods and Hooley in retaliation for Exxon’s lawsuit against progressive investors, Follow This and Arjuna Capital. The two outfits harass companies with shareholder resolutions to compel them to reduce CO2 emissions. They introduced a resolution this proxy season for the third time that sought to force Exxon out of the oil-and-gas business. After Exxon fought back in court, Follow This and Arjuna dropped their resolution. But Exxon has continued its litigation to protect itself and other public companies against future harassment. Thus the run at Messrs. Woods and Hooley.
Exxon said its 12 director nominees were re-elected with between 87% and 98% support, roughly on par with last year’s average. Credit to Mr. Woods for not backing down.
Action Line: Investors should be the priority for executives. It’s their fiduciary duty. When you want to talk about what it means to be a fiduciary for investments, I’m here. In the meantime, click here to subscribe to my free monthly Survive & Thrive letter.
