SEC Amends Notice And Access Proxy Rules

On February 22, 2010, the Securities and Exchange Commission ("SEC") adopted amendments to the procedures (http://www.sec.gov/rules/final/2010/33-9108.pdf) that it previously had adopted to promote the use of the Internet as a reliable and cost-efficient means of making proxy materials available to shareholders.

The "notice and access" proxy rules adopted in 2007 had required issuers and other soliciting persons to post their proxy materials on the Internet and provide shareholders with a Notice of Internet Availability of Proxy Materials (the "Notice"). Issuers and other soliciting persons were given the option to furnish a full set of printed proxy materials to all shareholders, or to send only the Notice to shareholders. Commentators pointed to significant cost savings for issuers providing Notice-only, but the level of shareholder responses to proxy solicitations fell.