The SEC's Internet availability of Proxy Materials rule is known as Notice & Access. It provides the option for corporations to publish proxy materials on a publicly-available website and then mail shareholders a notice of where they can access these materials. Participation in Notice & Access is entirely voluntary at this stage.
With the introduction of Notice & Access in December of 2006, the SEC advanced its goal to reduce expenses incurred by corporations in the production and mailing of their Annual Meeting materials.
With the push in recent years towards electronic delivery of Proxy material, as well as house-holding processes, there has been a significant decrease in the number of printed pieces that are being mailed to shareholders.
Prior to July 1, 2007, electronic delivery recipients were required to "opt-in" for electronic delivery service. Under the Notice & Access rule, they will now be asked to "opt-in" to receive printed matter. This new rule carries a number of cost and scheduling implications.
DG3 would like to help companies understand these implications. From a timing perspective, your Distribution Agents will require that you have material on their floors anywhere from 43 -45 days removed from the Annual Meeting. This is due to the fact that the initial Notice mailing must be "completed" 40 days before the AGM.
This will require the Issuer to sign off on bluelines anywhere from 46 - 49 days before the Annual Meeting. It will also require an accelerated schedule in the filing of the Definitive 14A as well as posting the material to the website.
With all this change, we hope that we can be of service to you should you require our assistance in determining a Notice & Access strategy that is right for you. Please be sure to make contact with us at any time.