8-KShareholder Matters

UNITED PARCEL SERVICE INC 8-K Report, Shareholder Vote Results (May 12, 2014)

Filed May 12, 2014For Securities:UPS

Summary

This 8-K filing reports on the outcomes of United Parcel Service, Inc.'s (UPS) annual shareowner meeting held on May 8, 2014. The primary focus of this report is the voting results on key corporate governance matters, including the election of directors, executive compensation, and the ratification of the company's independent auditor. Investors will note that all 13 director nominees were successfully elected, reflecting strong shareowner support. The advisory "Say on Pay" proposal, which addresses executive compensation, also passed. Furthermore, the appointment of Deloitte & Touche LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2014, was ratified by a significant majority. However, two shareowner proposals, one concerning lobbying disclosure and another seeking to reduce the voting power of Class A stock, did not receive majority approval.

Key Highlights

  • 1All 13 director nominees were elected with substantial 'For' votes, indicating shareowner confidence in the current board leadership.
  • 2The advisory "Say on Pay" resolution, approving executive compensation, passed with a significant majority, suggesting shareowner acceptance of the company's compensation practices.
  • 3Deloitte & Touche LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2014, with overwhelming support.
  • 4A shareowner proposal seeking greater transparency in lobbying disclosure was rejected by a substantial margin.
  • 5Another shareowner proposal aimed at reducing the voting power of Class A stock to one vote per share also failed to gain shareowner approval.
  • 6The voting results demonstrate a clear preference for maintaining the status quo regarding board composition and executive compensation.
  • 7A significant number of broker non-votes (114,983,777) were recorded across all director elections and proposals, which is common in annual meetings where shares are held in "street name".

Frequently Asked Questions

Yes, all 13 director nominees for the term expiring in 2015 were elected. Each director received considerably more "For" votes than "Against" votes, indicating strong shareowner approval.

The advisory vote to approve executive compensation, commonly known as "Say on Pay," passed. This indicates that a majority of the voting shareowners supported the company's executive compensation policies.

Yes, the appointment of Deloitte & Touche LLP as UPS's independent registered public accounting firm for the year ending December 31, 2014, was ratified by the shareowners with a very strong majority of 'For' votes.

No, both shareowner proposals that were voted on did not pass. The proposal regarding lobbying disclosure and the proposal to reduce the voting power of Class A stock each received a majority of 'Against' votes.