Exxon Mobil Corp is again under scrutiny from environmentally focused investors who argue that the company is not meeting its climate-related commitments.
Criticism of the fossil fuel giant, a major contributor to global warming, has become an annual occurrence at Exxon’s shareholders’ meetings.
This year’s meeting, scheduled for May 29, is especially significant due to Exxon’s legal action against two climate-focused groups: Arjuna Capital LLC and Follow This, a nonprofit based in Amsterdam.
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Exxon said in a statement that efforts by investors to reject its board must be stopped. “By telling people to vote against our board, these groups are making it clear they support continued abuse of the system.”
The California Public Employees’ Retirement System (CalPERS), the largest US public pension fund holding about a 0.2% stake in Exxon, is reportedly considering voting against the reelection of Chief Executive Officer Darren Woods to the company’s board, as reported by the Financial Times last week.
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Additionally, the nonprofit Majority Action, a shareholder-activist group, urges investors to oppose the election of Exxon directors, including Woods and lead independent director Joseph Hooley, for what they perceive as “attacking shareholder democracy and failing to address climate risk.”
Exxon remains the largest US oil and gas producer and the top carbon dioxide emitter among investor-owned companies.
According to Carbon Tracker, a research organization, the Texas-based company has the least ambitious emissions-reduction targets among the world’s major oil companies.