TEPCO’s Proxy Statement

We have uploaded TEPCO's proxy statement to the Japanese Data Library. Please see BDTI's Japanese Discussion Forum entry if you are interested to view and download it.

As we wrote there, the proxy materials contain the usual (comes every year)shareholder proposal asking TEPCO to amend the Articles so that it will stop building new nuclear power plants, and slowly exit from the nuclear power generation business. Management's response is of course to oppose the proposal, on the grounds that the Company Law provides that topics that relate to management of the company are not a valid subject for shareholder proposals.

More interesting is the fact that out of 17 new directors being proposed only one is an outside director, the former Vice Governor of Tokyo Mr. Aoshima. Observers are commenting thatmany shareholders may have preferred to see a number of outsiders who are experts innuclear power or risk management- even one or two foreigners – on the list of director candidates, given that one of themost important duties ofboard is to oversee the design andimplementation of risk management systems.

The Board Director Training Institute (BDTI) is a "public interest" nonprofit in Japan dedicated to training about directorship, corporate governance, and related management techniques. It is certified by the Japanese government to conduct these activities as a regulated nonprofit. Read a summary about BDTI here, and see a menu of its services for both corporations and investors here.

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