I spent the heart of the pandemic teaching myself how to make videos and made several dozen about what is – and what isn’t – considered a perquisite for proxy reporting purposes. As noted in this video, the question of “for purposes of the proxy statement filed with the SEC, is personal security a perk?” has a mixed answer. A lot of companies rightfully believe it has a legitimate business purpose. The SEC believes otherwise. The SEC thinks it’s a perk.
After last week’s tragic event, many companies likely will be re-evaluating whether they need executive security – and some may decide they believe it has a legitimate business purpose.
Here’s the disclosure that Lockheed Martin has about security for its CEO and other officers from its 2024 proxy:
And here’s the disclosure that Meta Platforms has about security for its CEO and other officers from its 2024 proxy:
