NASDAQ Proposes Listing Rules Relating To Compensation Committees

On September 25, 2012, the NASDAQ Stock Market (Nasdaq) proposed amendments to its corporate governance listing rules to implement the requirements of Rule 10C-1 under the Securities Exchange Act of 1934 relating to compensation committee member independence and compensation committee advisers. In addition, the amendments would require listed companies to have standing compensation committees with a written charter. The proposed amendments are subject to U.S. Securities and Exchange Commission (SEC) approval.

Effectiveness. The amendments relating to compensation committee advisers would be effective immediately upon SEC approval. Listed companies would not be required to implement the requirements relating to standing compensation committees and compensation committee member independence until the earlier of (i) their second annual meeting after SEC approval of the amendments or (ii) December 31, 2014. Accordingly, most companies would be required to fully implement