The Association of British Insurers welcomes the recommendations of the HampelCommittee on corporate governance.

Commenting on the report, Richard Regan, ABI's Head of Investment Affairs, said:

"The pragmatic approach adopted by the Hampel Committee to corporate governance issues will, we believe, further encourage companies to explain how they comply with the spirit of the recommendations on corporate governance practice. The Committee's recommendations will, hopefully, bring about a more thoughtful understanding of wider corporate governance issues."

The Association recognises a number of positive recommendations in the report. Theseinclude the twenty working days' notice of an AGM, the recommendations against bundlingof resolutions, the establishment of in-house nominees to ensure shareholders' rights arefully restored to private shareholders, and that proxy votes should be announced in respectof each resolution. The recommendation that shareholders should exercise their votes isalso welcomed, as ABI considers that ownership carries responsibilities.

The ABI voting information services (IVIS), available on the internet, enables all institutionalshareholders subscribing to the service to be aware of any instance where aninconsistency with the Hampel, Cadbury or Greenbury recommendations is perceived, andwhether any matters have been resolved so they can vote accordingly.

Notes

1. Further enquiries to:




Richard Regan +44 020 7216 7670
Michael McKersie + 44 020 7216 7659




2. For radio broadcasts, an ISDN line is available.