A suit and tie affair
Bank of America Corporate Center - Charlotte, nc
I just got back from the 2009 annual Bank of America shareholder meeting, which started at 10AM at the Belk Theater, adjacent to the Bank of America Corporate Center. After some confusion as to which line was which (me and several other shareholders ended up standing in line with associates), the theater was full to the brim, and it was standing room only outside of it, watching the meeting live on TV.
Right at the end of the 3 board proposals, I managed to get in on the balcony. What a show it was. The speakers were extremely diversified, ranging from pension fund managers, risk analysts, the head of habitat for humanity and the united way, a retired fish peddler, an incoherently slow woman, a 90+ year old man, and the battle between two older Jewish women: one rich, one not. Needless to say, the reactions were diversified as well. Some were accusatory, some quoted Thomas Jefferson (more on that one in a minute), a modified biblical verse, to praise and adulation for the Chief Exec and Chairman.
Let me begin with some of the harsher remarks. At some point, a representative of probably a Georgian aristocrat (who else sends personal representatives?) spoke, addressing with the words and language of Thomas Jefferson. He equated the banks with aristocratic control, with power being in the hands of but a few. Unfortunately, as much of a fan of Jefferson that I am, these comments were well out of place. As another speaker mentioned, Hamilton or Lincoln would be more relevant. Plus I found the whole think a hypocrisy, given the man sent his own personal representative, and it was written and presented with an air of snobbishness.
Then there was our favorite not so rich Jewish lady. More than one person in that audience was ready to disconnect her mike. She would go on and on, go off topic, ask the same questions repeatable, make arguments with false information, etc. She was wearing a shirt that said “Fire them all!!! Kenneth Lewis & the board of directors!!!” She even brought a small sign that read “FIRE LEWIS!!! FIRE THE BOARD OF DIRECTORS!!!” Every single person in that audience was fed up with her, and she was the only one in the entire event (that I noticed) had even been interrupted.
One of the more aggravating shareholders to speak. I'm all for free speech, but can someone get her some thorazine? Even the Lewis opponents were moaning
To diverge on this lady for a second, I just figured I;d throw in one of Lewis’ responses. She was misreading the proxy statement, accusing Mr. Lewis of lying about his executive compensation. Lewis has a base salary of $1.5 million, plus any bonuses and options he is entitled to. Last year he received $0 compensation beyond his salary. Yet she saw 2008 and $10 million, and went into a fire and brimstone accusation process. Finally after sitting down, THEN coming back up again on the same point, he managed to get her to understand. Then she said he should go ahead and donate it all to charity, but he was too cheap to do that. That’s when he came back “Because of my pledges, I am already donating more than I am made.” +1 for Lewis, -1 for the old lady. The crowd cheered.
Yet others were not so tough on him. Some who wanted him out were still thankful for his years of service to the bank and praised him on the assets and talents he brought to Bank of America, although the believe his time has passed. Then there were a number of supports, including one man who told Mr. Lewis to “look behind you, we are all standing there.” Another gentleman asked him to keep standing there amid all of the criticism and attacks, because we need him to lead us out.
The reoccurring theme amongst supporters were the need to maintain leadership during this storm. As one lady, MRS. Davis, an affluent old Jewish lady who told it like it was (and was extremely funny), reminded us that when a ship faces a hurricane or a tornado, it is not the time to ditch the captain, and right now we are facing BOTH a hurricane and a tornado. A little unusual, but still very effective.
I wish I had managed to make it inside in time to speak about the re-election of the board. I have a number of points that I wanted to convey, points that I will post about a little bit later this evening.
Unfortunately, the votes were not totaled by the time I left. Mr. Lewis asked for the results, but was informed that they were still being tallied up. There were rumors floating about Sloan being ousted, and Lewis stripped of his Chairman titled. As of the latest reports, it appears the board may be safe, but they are recounting the votes for Lewis. Too close to call. It doesn’t surprise me, given the LARGE number of people there, and the mixture of attendees.
Once I hear word, I’ll keep you posted.
Update: Please check out these videos for some takes on the meeting
Protestors call for Lewis to be fired - notice the first lady they speak with, this was the one mentioned earlier, and was truely a pain to listen too. Upset, but rarely had any facts together
BofA delays release of votes on Lewis
Quick apology: this article would have been posted much sooner, but due to technical difficulties beyond my control (batteries died in wireless keyboard), I was unable to finish until now.
