In recent years, the entire fabric of governance, of course, the United States has changed dramatically. In the course of what has become known colloquially as SOX (Sarbanes-Oxley Act 2002), American corporations operate under strict guidelines of government than at any previous time, especially in regard to the structure of boards of directors and financial control of the corporation. Now, many years management "hot button" issue is not considered SOX concerns about growing executive compensation. Until 2006, the adoption of a new compensation disclosure guidelines of the Securities and Exchange Commission (SEC), it has been almost 15 years since the federal attention has been devoted to the compensation guidelines or rules. Starting with 2007 chips, American corporations must now include compensation disclosure and analysis (CD & A) section. The purpose behind the CD and is to provide investors with access to clear explanations of executive compensation and the philosophy underlying the compensation. As often happens, it is a good intention, accompanied by several unintended risks that may mitigate the effectiveness of CD & A. "Hide
by Dan R. Dalton, Catherine M. Dalton Source: Business Horizons 8 pages. Publication Date: March 1, 2008. Prod. #: BH266-PDF-ENG
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