Financial Times: Shell corporate governance dubbed ‘weak to moderate’ in S&P ratings
“Meanwhile, the outlook on Shell’s credit rating remains negative”
By Ivar Simensen
Published: July 23 2004 5:00 | Last Updated: July 23 2004 5:00
Royal Dutch/Shell’s corporate governance profile is described as “moderate to weak” by Standard & Poor’s in the credit rating agency’s first separate report on transparency and governance at leading western corporations.
S&P added that measures taken by Shell to improve its corporate governance were viewed “positively”, although the effectiveness of these remained to be seen.
The many corporate failures at large western companies in recent years have led S&P to start publishing separate reports on governance issues for companies individually.
Nick Bradley, director of governance services at S&P, said: “Corporate governance failures [were] the primary reason or an important contributor to many of these failures.”
Companies will be rated from “very weak” and “weak” via “moderate” to “strong” and “very strong”.
In the first of these reports, it concluded that “the Shell group’s corporate governance profile is moderate to weak on a global comparison”.
Meanwhile, the outlook on Shell’s credit rating remains negative and the agency said this month that the rating could be lowered “should the group fail to effectively correct its weaknesses in corporate governance and internal controls and to raise proved-reserve bookings significantly above full replacement during the next two years”.
The Anglo-Dutch energy group was downgraded to AA- from the top AAA rating by S&P in April after the company admitted that it had overstated its proved oil and gas reserves by more than 20 per cent.
The admissions led to the departure of several senior executives and an internal review of the company’s governance policies, which is expected to be published in November.
Mr Bradley said the next report on a UK company would be published in the next few days. The agency expects to issue between 100 and 150 reports by the end of next year.
The initial focus would be on US and western European companies but it declined to name any of them.
This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.
Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
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A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
