Foley Partner Steven Vazquez was quoted in an article that appeared in the October 2011 issue of Boardroom INSIDER titled “Q&A: How Can We Make CEO/Board Evaluation Better?” Vazquez provides updates from a seminar he led on CEO and board evaluation issues as part of Foley’s National Director’s Institute Checkpoint Web Conference series. Discussing Say-On-Pay votes, Vazquez states that low marks on a CEO evaluation combined with a pay increase could be detrimental to a company if a disgruntled investor sues and uses the evaluations to shed light on embarrassing board work. He adds that evaluations are potentially an effective tool for directors to share ideas on board management, noting that the evaluation process is often an underused tool for weighing the company’s strategy, talent and compensation structures against outside benchmarks.
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