ENHANCED DISCLOSURE OF DIRECTOR QUALIFICATIONS
The final regulations direct a filer to provide additional disclosure about the qualifications and other board positions held by its directors and nominees to the board. Among the items needed to be disclosed, on an annual basis, are:
• The particular experience, qualifications, attributes and/or skills that led the board to conclude that the individual would be a good director for the company.
• Any particular qualifications that make an individual a good candidate to serve on a specific committee.
• All directorships at public companies and regulated investment companies for the past five years.
• Any legal proceedings involving directors, nominees, and executive officers within the last ten (10) years -the prior rule was five years - and additional disclosure of administrative proceedings involving mail and wire fraud, violations of federal or state securities, commodities, banking, or insurance laws and any disciplinary sanctions imposed by a stock, commodities, or derivatives exchange.
Additionally, the SEC requires a disclosure as to how the board considers and addresses diversity among board members and whether a diversity policy for board members exists, is implemented, and is monitored. The SEC did not define the term “diversity.”