The Scotsman: Shell faces twin-pronged attack
NICK BEVENS
BUSINESS EDITOR
28 June 2004
OIL giant Royal Dutch/Shell holds simultaneous annual general meetings in London and The Hague today, facing what could be a massive investor defeat on two key motions which ask shareholders to absolve directors from responsibility for the company’s recent troubles.
Shareholder mood will be further darkened by Friday’s news that former chairman Sir Philip Watts, who quit in the wake of the oil and gas reserve estimates scandal earlier this year, has just been given a pay-off worth just over £1 million. Shell is 60 per cent owned by Royal Dutch Petroleum, with the rest held by Shell Transport. About 25 per cent of Royal Dutch stock is owned by US-based investors, and in The Hague they are understood to be following the recommendation of Institutional Shareholder Services (ISS), the influential proxy voting service, which has called for a vote against “discharging” directors – led by Jeroen van der Veer, Shell’s president – from their legal liabilities.