Glass Lewis explained its policy position on poison pills and how the policy will be applied in the context of COVID-19. Specifically, Glass Lewis will support poison pills that are limited to one year or less and supported by a sound rationale for adoption of the pill because of COVID-19. If the pill doesn't meet those conditions, Glass Lewis will recommend against the re-election of all directors who served at the time of the pill’s adoption. The post notes that companies that also disclose a commitment to seek shareholder approval for any pill renewal will provide greater comfort to shareholders; however, this isn't a condition to securing Glass Lewis's support in the COVID-19 context.
See "V&E Attorneys: ISS and Glass Lewis Weigh in as Poison Pill Adoptions Surge During COVID-19 Pandemic" (CorpGov) and our recent report: "Glass Lewis Will Consider Pandemic in its Proxy Advice: Here's How." This post first appeared in the weekly Society Alert!