Tuesday, October 10, 2006

"The Board should not be so large as to be unwieldy"

What does this really say, did Higgs just include this to say something, to mention something about a board's size? This says nothing. This is common sense but does stating it in the Combined Code make legal professionals, directors and shareholders take this into further consideration. Inexperienced directors perhaps, but certainly not legal professionals or those responsible for preparing agendas, nominations and resolutions before shareholder meetings.

Again why does he not include a consideration that the number of board members should preferably be odd and not equal or does the chairman of UK companies always have a casting vote? It would seem an easy fix to an otherwise foreseeable problem of a stalemate in the board room.

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