Shareholders Call on P&G* for Lobbying and Political Spending Transparency Regarding Toxics and Climate Change Preparedness
Contact: Alex DeBlois, Green Century Capital Management, email@example.com, 617-482-0800
BOSTON, October 11, 2016 – Today, the Green Century Equity Fund (Green Century) spoke on behalf of its investors at the Procter and Gamble (P&G) Annual General Meeting calling on the multinational consumer goods company to disclose its political affiliations and spending through trade associations on the local, state, and federal level.
Stemming from the United Nations Principles for Responsible Investment (PRI) publication of investor expectations regarding lobbying and public advocacy, Green Century seeks to ensure that P&G’s political spending and advocacy affiliations are not contradictory to its public statements regarding climate change and the use of toxics in its products.
“We commend P&G for its efforts regarding product safety and energy management, but are asking for transparency in terms of political spending and affiliations,” Leslie Samuelrich, President of Green Century Capital Management said. “How P&G’s affiliates address climate change and toxics, to us, is an important indication of board management, governance risk, and how well the company is positioned for success in the long term,” Samuelrich added.
Specifically, Green Century requests that the Board of Directors initiate a review and assessment of organizations of which P&G is a member or otherwise supports financially for lobbying policies and that a summary report of this review is available to stakeholders no later than March 2017.
While P&G has committed to reducing greenhouse gas emissions and power its plant facilities with 100 percent renewable energy, the company remains a member of the U.S. Chamber of Commerce, which sued the Environmental Protection Agency (EPA) over its findings that global warming endangers human health and welfare. Similarly, P&G claims that product safety is paramount, but remains a member of the American Chemistry Council (ACC), which works to obstruct regulations such as the Toxic Substances Control Act and the EPA’s Clean Power Plan.
The misalignment between P&G’s publicly declared corporate values and commitments in conjunction with its funding of these and other similar public advocacy organizations may be an inappropriate use of shareholder dollars. Green Century believes that companies that adopt environmental policies and practices, and encourage innovation and other long-term strategies may benefit the company’s brand, reputation, and financial strength in the future.
To learn more about Green Century’s Sustainable Investment Strategy, advocacy efforts, and how you can make an impact with the power of your investments, please visit the Why Choose Green Century webpage or call 1-800-934-7336.
About Green Century Capital Management
Green Century is a leader in environmentally and socially responsible investing. Through our three-pronged approach, we offer investors the opportunity to make an impact in a way no other mutual fund family can: investing in sustainable companies; our leading shareholder advocacy program; and our unique ownership, where 100 percent of the profits earned managing the Green Century Funds can be used to support the environmental and public health work of our non-profit owners
*As of June 30, 2016, The Procter and Gamble Company comprised 3.02% and 0.00% of the Green Century Equity Fund and Green Century Balanced Fund, respectively. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
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This information has been prepared from sources believed reliable. The views expressed are as of the date of this writing and are those of the Advisor to the Green Century Funds.
The Green Century Funds are distributed by UMB Distribution Services, LLC. 10/16