CalSTRS Airs Dissatisfaction With Coca-Cola Board; Will Vote Against CEO Compensation Package

CalSTRS said on Monday that Coca-Cola’s executive compensation is “out of line”, and the pension fund will be voting against the CEO’s compensation package this week at a shareholder meeting, according to a report from Pensions & Investments.

CalSTRS also said it will vote against the appointment of four nominees for the firm’s board of directors, and more. From P&I:

CalSTRS said it will oppose the appointment of four of Coca-Cola Co.’s 15-member board of directors, all members of its compensation committee, and will vote against CEO Muhtar Kent’s $25.2 million compensation.

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CalSTRS spokesman Michael Sicilia confirmed in an interview that the $191.2 billion pension fund plans to vote its 10.7 million shares, worth an estimated $435.9 million, against the board members and the 2014 compensation of Mr. Kent, but declined further comment.

However, in a filing with proxy advisory firm Glass Lewis, CalSTRS states: “The company’s pay-for-performance is out of line.”

The compensation vote is advisory and based on Mr. Kent’s pay package last year.

California State Teachers’ Retirement System, West Sacramento, also voted for a shareholder proposal calling for proxy access.

Full a full database of CalSTRS’ proxy voting record, click here.