From the FINANCIAL TIMES:
The California Public Employees’ Retirement System, the largest US public pension fund and an influential campaigner on corporate governance, has taken aim at the dual-class share structure that preserves Rupert Murdoch’s family power at News Corp.
The two-tier structure that gives the Murdoch family almost 40 per cent of the voting rights in a company where it owns about 12 per cent of the equity was “a corruption of the governance system,” said Anne Simpson, senior portfolio manager, of Calpers Global Equity and its corporate governance chief.
“Power should reflect capital at risk. Calpers sees the voting structure in a company as critical. The situation is very serious and we’re considering our options. We don’t intend to be spectators – we’re owners,” Ms Simpson said. “Dual class voting is one way to pervert the alignment of ownership and control.”
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