International Coalition of Investors Press for Increased Corporate Accountability at BP

NEW YORK, Jan. 25, 2011 /PRNewswire/ -- U.S., U.K. and other global investors in BP have agreed to work together to hold BP accountable following last year's oil spill in the Gulf of Mexico. As a result, a planned shareholder resolution seeking increased disclosure of the company's efforts to mitigate risk across operations has not been filed. A diverse coalition of investors, led by members of the U.S.-based Interfaith Center on Corporate Responsibility (ICCR) withdrew the resolution in favor of a historic agreement with institutional investors of the Church Investor Group (CIG) in the U.K. The agreement gives BP more time to address investor concerns but holds out the possible return to a resolution in 2012 if progress is not seen.

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The new partnership, led by CCLA, acting as secretariat for the CIG, and Christian Brothers Investment Services, Inc., a prominent member of ICCR, will seek to strengthen shareholder engagement as well as disclosure on critical issues affecting the future of the company. By combining their unique strengths and styles, U.S., U.K. and other investors across Europe are providing BP additional time to demonstrate that they are systematically addressing operational risks in the run up to the first anniversary of Bob Dudley's appointment as CEO in October.

Julie Tanner, Assistant Director of Socially Responsible Investing at Christian Brothers Investment Services said: "We're looking for more open and substantive communications related to risk, increased board oversight and evidence of continued improvement in risk management procedures. If BP fails to disclose adequately on operational risk and safety issues by the fall, there will be an ICCR/CIG-led shareholder resolution in 2012."

Mark Regier, Director of Stewardship Investing at Everence Financial said: "Given BP's string of troubling events in the U.S. over the past several years, we welcome the opportunity to work with shareholders in the U.K. and other parts of world to ensure that important lessons are being shared across the BP system."

Dr. Dominique Biedermann, Executive Director at Ethos Foundation, Switzerland said: "We acknowledge that BP needs and is committed to restore the public trust following the Macondo disaster. To do so, BP should establish a regular and transparent dialogue with all its shareholders and disclose meaningful goals and objectives."

Bill Seddon, CIG Vice Chair and CEO of the Central Finance Board of the Methodist Church, explains: "This historic cross-border collaboration will result in innovative ways for CIG and ICCR members to hold multi-nationals to account."

Investors who had initially agreed to co-file a shareholder resolution for the BP 2011 AGM in April include:

Special Resolution -- A review of risk assessment and emergency response plans

That in order to address our concerns for the long term success of the Company, we as shareholders of the Company direct that independent members of the board conduct a review of the current risk assessment and risk management plans including emergency response plans in place for each of the Company's major projects in North America (the "Review").

The findings of the Review (omitting confidential information and prepared at a reasonable cost) should be reported to investors in the Business Review section of the Company's Annual Report presented to the Annual General Meeting in 2012 (the "Report").

The Report should include in respect of each such project:

(a) An assessment of the principal operational, economic, reputational, environmental and social risks identified by the Company;

(b) The steps taken by the Company to reduce, manage and mitigate such risks and to ensure a safe working environment and limited environmental and social impacts;

(c) The Company's emergency response plans;

(d) The specific steps being taken to ensure adequate board oversight; and

(e) The impact of the potential changes in projected long-term oil demand indicated in the International Energy Agency Outlook 2010.

The Supporting Statement can be viewed at www.cbisonline.com/page.asp?id=1077.

SOURCE Christian Brothers Investment Services, Inc.