Chesapeake Energy Corporation (NYSE:CHK) announced preliminary voting results from its Annual Meeting of Shareholders held today at the company’s Oklahoma City headquarters. The voting results are as follows:
Item 1: Election of Directors:
Directors V. Burns Hargis and Richard K. Davidson were re-elected to the Board of Directors. However, since Messrs. Hargis and Davidson received the support of approximately 26% and 27%, respectively, of the votes cast, they have tendered their resignations as required by the Company’s new majority voting bylaw. The Board will review the resignations in due course.
Item 2: Proposal to amend bylaws to implement majority voting in director elections:The proposal received the support of 97% of the votes cast but received only 64% of the shares outstanding, which was less than the two-thirds required for shareholder approval of a bylaw amendment. However, today the Board adopted the majority voting bylaw presented to the shareholders, even though it did not receive the requisite vote for shareholder approval, and made majority voting effective immediately. Item 3: Shareholder advisory vote to approve named executive officer compensation: The proposal did not pass, receiving the support of 20% of the votes cast. Item 4: Proposal to amend long term incentive plan: The proposal passed, receiving the support of 86% of the votes cast. Item 5: Proposal to approve annual incentive plan: The proposal did not pass, receiving the support of 31% of the votes cast. Item 6: Ratification of independent registered public accounting firm: The proposal passed, receiving the support of 93% of the votes cast. Item 7: Shareholder proposal relating to re-incorporation in Delaware: The proposal passed, receiving the support of 53% of the votes cast. Item 8: Shareholder proposal relating to political lobbying expenditures: The proposal did not pass, receiving the support of 36% of the votes cast.