Summary
Cencora, Inc. (formerly AmerisourceBergen Corporation) filed an 8-K on January 22, 2016, to report significant changes to its corporate governance documents. The Board of Directors amended and restated the company's bylaws to allow for the removal of directors with or without cause, removing a previous restriction that required removal only for cause. This change aims to align with evolving corporate governance practices and potentially enhance board accountability. Furthermore, the Board recommended a proposal to amend the company's certificate of incorporation to achieve the same effect: allowing stockholders to remove directors with or without cause. This amendment is slated for stockholder approval at or before the 2017 annual meeting. The company also stated it will not enforce the existing "only for cause" director removal provision in its certificate of incorporation, reflecting a current legal interpretation in Delaware, even while awaiting formal stockholder approval.
Key Highlights
- 1AmerisourceBergen Corporation amended its bylaws to permit the removal of directors with or without cause.
- 2The company plans to seek stockholder approval to amend its certificate of incorporation for the same purpose.
- 3The proposed charter amendment is targeted for approval by the 2017 annual meeting.
- 4The company will not enforce the current "only for cause" director removal provision in its certificate of incorporation.
- 5These changes are being made in light of a recent Delaware Chancery Court ruling.
- 6The filing includes the Amended and Restated Bylaws as Exhibit 3.1.