Summary
This 8-K/A filing from Netflix Inc. (NFLX) provides an update on a previously reported matter from their 2017 Annual Meeting held on June 5, 2017. The company is confirming its intention to hold an annual "say-on-pay" advisory vote for its security holders. This means that shareholders will have the opportunity to vote, in a non-binding advisory capacity, on the compensation of the company's named executive officers each year.
Key Highlights
- 1Netflix Inc. (NFLX) filed an 8-K/A on October 5, 2017.
- 2The filing addresses a matter from the 2017 Annual Meeting of Stockholders, originally reported on June 9, 2017.
- 3Stockholders voted to hold "say-on-pay" advisory votes on an annual basis.
- 4This vote is non-binding and advisory.
- 5Netflix will include this advisory vote on executive compensation in its proxy statement for each annual meeting until a new vote on frequency is held.
Frequently Asked Questions
A "say-on-pay" vote is a non-binding shareholder vote on the compensation of a company's named executive officers. It gives shareholders an advisory say on the company's executive compensation policies and decisions.
A majority of the voting stockholders indicated a preference to hold the "say-on-pay" advisory vote on an annual basis.
No, the vote is strictly advisory and non-binding. While the company will adhere to the preference for annual votes, the board of directors ultimately retains the authority to determine executive compensation.
Netflix has stated that they will include this advisory vote in their proxy statement for each annual meeting of stockholders until a new advisory vote on the frequency of such votes is held. This means it will appear in future proxy statements and be voted on at subsequent annual meetings.