GameStop (NYSE:GME) announced last week that it would hold its annual meeting of stockholders on June 15 in a virtual format. At the meeting, the votes for five proposals will be revealed. GME stock shareholders of record as of the close of business on April 21 will be eligible to cast votes.
Along with the announcement, CEO Matt Furlong also released a statement on GameStop’s long-term goals:
“Looking ahead, GameStop is aggressively focused on achieving profitability while still pursuing pragmatic long-term growth. We intend to execute on these goals and improve our efficiency by focusing on multiple opportunities.”
With profitability as a main goal, GameStop is looking to cut costs across its operations. In Ireland, the retailer has “already initiated exits and partial wind-downs.” The company is also looking to receive more favorable terms from vendors and suppliers using its strengthened financial position. Increased partnerships with other gaming and retail companies are in GameStop’s scope, too, as well as increasing market share in higher-margin categories like collectibles and toys.
GME Stock: GameStop to Hold Annual Meeting of Stockholders on June 15
Furlong hopes that the proposals to be voted on will help towards profitability. Furlong said in the release:
“Although there is a lot of hard work and necessary execution in front of us, GameStop is a much healthier business today than it was at the start of our transformation. We plan to build on our momentum while prioritizing value creation and stockholders’ interests.”
Proposal number one seeks to nominate six directors, including Furlong and Ryan Cohen, until the 2024 annual meeting of stockholders. Along with Furlong and Cohen, the remaining four nominees are all already directors.
Next, proposal number two seeks a non-binding advisory vote on named executive officer (NEO) compensation, such as for Furlong and Chief Operating Officer Nir Patel. Proposal number three is closely related to proposal number two and asks shareholders to vote on the frequency of advisory votes for NEO compensation. Shareholders have the option to choose between once every year to once every three years.
After that, proposal number four seeks approval for the ratification of Deloitte & Touche as GameStop’s independent registered public accounting firm. GameStop explained in the release:
“Although the Audit Committee has the sole authority to appoint the independent registered public accounting firm, as a matter of good corporate governance we are submitting our selection of Deloitte for ratification by the stockholders at the annual meeting.”
Finally, proposal number five looks to postpone or adjourn the meeting if any legitimate reason comes to light.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
