P&G faces problem to CEO Moeller as chairman from environmentalists, traders By Reuters

By Jessica DiNapoli

NEW YORK (Reuters) -Tide detergent maker Procter & Gamble (NYSE:) Co faces a problem to its Chief Govt Jon Moeller as its chairman of the board from environmental teams at its annual shareholder assembly on Tuesday, with some traders planning to vote in opposition to him in that function.

Environmental non-profits together with Pals of the Earth and Pure Sources Protection Council (NRDC) urged shareholders to vote in opposition to Moeller as chairman and oppose two different board administrators as a result of they are saying P&G has taken “inadequate motion” to cope with the dangers associated to deforestation in its provide chain.

The teams have lengthy focused P&G for its reliance on virgin wooden pulp to make paper merchandise similar to Charmin and Bounty.

The teams request changing Moeller with an unbiased chair.

The New York State Widespread Retirement Fund, New York Metropolis pension funds and socially accountable funding agency Trillium Asset Administration plan to vote in opposition to Moeller and the 2 board administrators, Angela Braly and Patricia Woertz, based on representatives of the shareholders and voting bulletins. Braly chairs the governance and public accountability committee and Woertz is a member of that committee.

Trillium’s chief advocacy officer, Jonas Kron, mentioned in an e-mail that traders have excessive expectations of P&G and its board after passing a shareholder decision in 2020 calling for it to concern a report on the way it might improve efforts to finish deforestation.

“The board’s actions to this point concerning deforestation have been inadequate,” he mentioned.

Norway’s sovereign wealth fund additionally plans to vote in opposition to Moeller, based on a voting discover on its web site. In its voting tips, the fund says it doesn’t assist a CEO additionally serving as board chair. A spokesperson declined to remark additional.

Institutional Shareholder Companies Inc and Glass Lewis, companies that make widely-followed suggestions on voting for traders, mentioned shareholders ought to assist Moeller and the 2 administrators.

ISS mentioned traders ought to take warning when supporting Moeller and the administrators due to “ongoing considerations” concerning deforestation.

NRDC final 12 months additionally requested traders to vote in opposition to Braly. She acquired fewer votes than different administrators however all acquired greater than 90% assist.

P&G this summer time mentioned in an replace that it’ll intention to finish shopping for pulp, a key ingredient in its top-selling Charmin bathroom paper, from sure forests in Canada and can develop a plan to scale back purchases of the uncooked materials from different swaths of woodland.