TheCorporateCounsel.net

Although many of you know our work simply by the names of our “Essential Resources” – e.g. TheCorporateCounsel.net, CompensationStandards.com, Section16.net, DealLawyers.com and our related print newsletters – we’re actually part of a company called “EP Executive Press” that was founded by Jesse Brill over 40 years ago (here’s the last installment of Jesse’s “reminiscences” when the company celebrated its 35th anniversary).

Now, we’re entering another new chapter – with a parent-company rebranding to “CCRcorp.” Our new name stands for “Corporate Counsel Resources” – but I for one will forgive anyone who mixes us up with a certain ’60s rock band, especially since we’ll be “chooglin’ on down to New Orleans” for our “Proxy Disclosure Conference” this September.

You may notice some logo changes following our formal announcement later this week. But rest assured, we’ll be providing the same practical info…and when Broc & John are at the keyboard, it’ll even be entertaining.

Financial Reporting of Climate Issues: On the Rise

Despite this blog in which SASB comes around to website sustainability disclosure, two recent reports indicate that reporting about climate change risks – and opportunities – is moving from standalone reports into SEC filings. First, this big survey from CDP (formerly the “Carbon Disclosure Project”) identifies a number of physical, supply chain, compliance and other risks – as well as cost savings and strategic opportunities – that are financially impacting companies. Here’s an excerpt from this Cooley blog:

The vast majority of the potential financial opportunities were categorized as “likely, very likely or virtually certain.” Of these opportunities, companies reported that $471 billion could be recognizable now, but $1.34 trillion (62%) was expected to materialize in the short- to medium-term. Over $1.2 trillion of these opportunities were identified by companies in the financial services industry, followed by manufacturing ($338 billion), services ($149 billion), fossil fuels ($141 billion) and food, beverage and agriculture ($106 billion).

The Task Force on Climate-related Financial Disclosures also announced the takeaways from its new status report – which looked at disclosures from 1100 large companies in 142 countries. Here’s an excerpt from a Davis Polk blog about the findings (also see this Cooley blog, which emphasizes the report’s suggestions for improvement):

At the time the 2019 status report was written, approximately 800 organizations expressed support for the TCFD framework. This support marks a 50% uptick compared to the number reported in the 2018 version. According to the 2019 status report, the average number of TCFD recommended disclosures per company increased by 29% from 2.8 in 2016 to 3.6 in 2018. Moreover, the percentage of companies that disclosed information that aligns with at least one of the TCFD’s recommendations rose from 70% in 2016 to 78% in 2018.

While companies still disclose more climate-related information that aligns with the recommendations in sustainability reports, the TCFD found that between 2016 and 2018 there was a greater percentage increase in information reported in financial filings or annual reports (by 50%) than the increase in sustainability reports (by 30%).

Tomorrow’s Webcast: “Joint Ventures – Practice Pointers”

Tune in to DealLawyers.com tomorrow for the webcast – “Joint Ventures: Practice Pointers” – to hear Eversheds Sutherland’s Katie Blaszak, Hunton Andrews Kurth’s Roger Griesmeyer, Orrick’s Libby Lefever and Davis Polk’s Brian Wolfe share “lessons learned” that will help you master the art of joint ventures.

– Liz Dunshee