are seen to have expert firm-specific knowledge and are perceived to be innovative and insightful with regard to directing firm strategy.
Another problem in having inside directors
, which is often glossed over, is the fact that some managers are serving on the board and their peers are not.
PrivateBancorp also said that its chief operating officer, John B Williams, and Richard Jensen, who is chairman and CEO of the PrivateBancorp, St Louis subsidiary, have stepped down from their roles as inside directors
at the parent company.
Adding White to PepsiCo's board increases the group to 15 members: 12 independent directors and 3 inside directors
- Steve Reinemund, Indra Nooyi, PepsiCo President & CFO, and Mike White.
Similarly, having some inside directors
who know the business can help inform the outside directors by reducing the filtering of knowledge through the CEO.
Many mutuals, however, think that inside directors
are an important resource on a board, Dykstra said.
Limits of liability, which are available up to $25 million, are not shared with inside directors
and officers or the corporate entity.
Charges were filed against 29 public companies, 19 CEOs, 19 CFOs, 16 inside directors
and 1 outside director.
include employees, retired employees, or members of their immediate families.
At the request of the attorney general's office, Operation Blessing has adopted new procedures to prevent misuse of its resources, including a ban on transactions with inside directors
or their businesses.
There will be equal representation on the board which will comprise eight inside directors
and six independent directors.
But two sour notes marred this upbeat news: The rate of increase of female directors has declined, and only 11 of the 1,216 inside directors
at Fortune 500 companies are women, five of whom are related to the chief executive or the controlling family.