Just in time to get ready for those annual meetings of shareholders, accounting firm BDO’s Center for Corporate Governance and Financial Reporting has developed a list of topics that companies should be prepared to address at their annual meetings of shareholders this season. The broad themes include the impact of efforts by the current administration regarding protectionism, taxes and deregulation, as well as corporate accountability and compliance.
Tax reform. BDO expects shareholders to inquire about the impact of the new tax law, particularly the potential for increased business activities in the U.S., as well as the impact of the new law on corporate strategy, capital investment and employee wages.
M&A opportunities. BDO expects the reductions in the corporate tax rate and tax on repatriation of foreign earnings to spur M&A activity, both sell-side opportunities (e.g., dispositions of assets that no longer align with corporate goals) and buy-side opportunities (e.g., acquisitions that could enhance strategic growth, funded perhaps by multinational repatriation). BDO suggests that shareholders may want to know how these investment decisions translate to shareholder…
