JPMorgan Seen Waiting on Board Changes After ‘Stay Tuned’ Remark
JPMorgan Chase & Co. (JPM)’s board, whose top director told investors yesterday to “stay tuned” for changes to its risk committee, isn’t likely to add new members immediately, according to two people with knowledge of the board’s thinking.
The board isn’t seeking to replace current members and may take months to make any additions, the people said, asking not to be named because the talks are private. Lead director Lee R. Raymond, 74, wants to strengthen the New York-based firm’s board by adding executives with more experience in finance and accounting after some shareholder groups opposed re-electing as many as six risk- and audit-committee members, the people said.
The 11-member board doesn’t see a need to rush additions to those two panels after shareholders voted yesterday in favor of every member and increased support for Jamie Dimon’s dual roles as chairman and chief executive officer, the people said. Three of the risk committee’s four members received less than 60 percent support from shareholders.
“In terms of the composition of the risk committee, you should stay tuned,” Raymond told investors yesterday at the annual investor meeting in Tampa, Florida, shortly before the preliminary voting results were made public. Kristin Lemkau, a spokeswoman for the bank, declined to comment on the board’s plans.
Ellen V. Futter, the 63-year-old president of the American Museum of Natural History in New York, didn’t attend the shareholder meeting and came in last among directors with 53 percent voting for her re-election. David M. Cote, the 60-year-old CEO of Honeywell International Inc. (HON), received 59 percent support, and James S. Crown, the 59-year-old president of Henry Crown & Co., got 57 percent.
JPMorgan rose 2.8 percent to a 12-year high of $54.50 at 12:41 p.m. in New York. The stock has advanced 24 percent this year.
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