Procter & Gambleshareholders at its Oct. 13 annual meeting will be asked to vote ona proposal by a conservative commentator and investor to audit its charitable donations and assess whether they threaten “brand damage.”
The advisory measure is being pitched by the Bahnsen Family Trust, a private trust associated with David Bahnsen, the founder and managing partner of the Bahnsen Group, a Newport Beach, California, private wealth management firm.
A contributor to National Review and frequent guest on CNBC, Bloomberg, Fox News, and Fox Business, Bahnsen in recent years approachedJ.P. Morgan Chase shareholders with asimilar measure regarding concerns about alleged discrimination related to religious and political views.
Investor calls giving to LGBTQ+ groups 'controversial,' reputation 'risk'
Specifically, Bahnsen’s proposalwants
the consumer products giant to provide an annual report listing any donation worth more than $5,000 as well as an assessment of what contributions are “least germane” to the company’s business and which pose “the greatest risk” to its reputation. The investor argues P&G's contributions to LGBTQ+ organizations like the Trevor Project and the Human Rights Campaign are “controversial.”
“Unfortunately, many companies support … nonprofits that influence public policy in ways that restrict free speech and religious liberty,” the investor wrote in its proposal. The investor said some groups were “widely criticized” for “partisan or ideological bias.” He said some groups advocate policies that might also threaten parental rights and encourage “controversial healthcare policies or marketing strategies that have led to significant brand damage.”
P&G is recommending shareholders vote against the proposal, noting the company already provides “robust disclosure” regarding its philanthropic activities via its Citizenship Report and Community Impact website.
The company also added it contributes widely to many causes that it believes help it build “trust and equity” with consumers and “help attract and retain talent.” The company said reporting “a high volume of very small, routine contributions” would be an “undue burden."
Other measures before stockholders of consumer giant
Besides customary measures, such as electing board members and an advisory measure on executive pay, shareholders will also be presented with two other advisory proposals.
- One would lower the threshold for the percentage of voting shares needed to call a special shareholder meeting from 25% to 15%;
- Another would maintain the current eligibility of shareholders to make shareholder proposals even if federal regulators decide to restrict them.
P&G opposes all the shareholder measures.
What is Procter & Gamble?
Based in downtown Cincinnati, P&G employs 104,000 workers worldwide, including 10,000 in Greater Cincinnati.
The company is known for several products in consumers’ kitchen pantries and medicine cabinets, including Tide detergent, Pampers diapers, Gillette razors, Pantene shampoo and Olay moisturizer.
This article originally appeared on Cincinnati Enquirer: P&G investor questions LGBTQ giving as reputational 'risk,' seeks report
