|PENSKE AUTOMOTIVE GROUP, INC. filed this Form DEF 14A on 03/16/2017|
Table of Contents
relationship with us. In addition to applying these guidelines, the Board of Directors considers relevant facts and circumstances in making the determination of independence, and not merely
from the standpoint of the director, but also from that of persons or organizations with which the director has an affiliation. The Board considers the transactions, relationships and arrangements
between the Company and affiliates of the director, including those described under "Related Party Transactions" and elsewhere in the proxy statement, in its independence determination. The Board also
considers ownership of our or our affiliates' securities by the directors and their affiliates, ownership by our management team of any securities of affiliates of directors, and any direct or
indirect investments in affiliates of Charlesbank Capital Partners, an affiliate of Michael Eisenson, or Transportation Resource Partners, an affiliate of Penske Corporation.
our guidelines, which are more stringent than the New York Stock Exchange guidelines, a director will not be independent if:
director is employed by us, or an immediate family member is one of our executive officers.*
director receives more than $60,000 of direct compensation from us, other than director fees and deferred compensation for prior service (provided such
compensation is not contingent in any way on continued service).*
director is affiliated with or employed by one of our independent auditing firms, or an immediate family member is affiliated with or employed in a professional
capacity by one of our independent auditing firms.
executive officer of ours serves on the compensation committee of the board of directors of a company that employs the director or an immediate family member as an
director is an executive officer or employee, or if an immediate family member is an executive officer, of another company that does business with us and the
sales by that company to us or purchases by that company from us, in any single fiscal year during the evaluation period, are more than the greater of two percent of the annual revenues of that
company or $1 million.
director serves as an officer, director or trustee of a charitable organization, and our charitable contributions to the organization are more than the greater of
$250,000 or one percent of that organization's total annual charitable receipts during its last completed fiscal year.
as an Interim Chairman, Interim CEO or other executive officer on an interim basis, and related compensation, shall not disqualify a director from being
considered independent following that employment.
Risk Management. We have designed and implemented processes to manage risk in our operations. The Board of Director's role in risk management is primarily one of
Management is responsible for the implementation and execution of our risk management initiatives. Our Board of Directors executes its oversight role directly and also through its various committees
as set forth below.
- reviews management's assessment of the key risks facing our Company, including the key controls we rely on to mitigate those risks
monitors certain key risks at each of its regularly scheduled meetings, such as liquidity risk, risk relating to compliance with credit
covenants, and related party transaction risk
Nominating and Corporate Governance Committee
- oversees compliance with legal and regulatory requirements
- reviews risks relating to our governance structure