Nike investors reject climate disclosure proposal

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🗞️ Driving the news: Nike shareholders rejected a resolution seeking greater disclosure on how the company will meet its 2030 emissions targets
• Norway's sovereign wealth fund, the 11th-largest shareholder, backed the proposal
• The board had recommended rejection, saying management is best positioned to determine appropriate targets and disclosures

🔭 The context: Nike committed in 2019 to cut emissions from its own operations 65% by 2030 and supply chain emissions 30%, both against a 2015 baseline
• It reported supply chain emissions down 11% in fiscal 2024
• The vote comes as shares have fallen roughly 40% this year, with market capitalisation near $56 billion and pressure on sales and market share

🌍 Why it matters for the planet: Supply chain emissions are the material question for apparel, since production spans markets with different energy systems and regulatory standards
• 11% against a 30% target leaves most of the reduction undemonstrated
• Green Century's Giovanna Eichner, who filed the proposal, says the concern is not that Nike has abandoned the goals but that the path to them is unclear

⏭️ What's next: Shareholders approved CEO Elliott Hill's compensation of over $36 million for fiscal 2026, despite opposition from Norway's fund, Glass Lewis and ISS
• The rejection removes immediate pressure for a mandated climate report without resolving whether targets are backed by capital plans and supplier engagement

💬 One quote: "It's not that we think Nike is completely dropping the ball here. It's more that we want to know what's really going on. It's unclear if there's that same level of commitment toward achieving the goals" — Giovanna Eichner, shareholder advocate, Green Century Capital Management.

📈 One stat: Supply chain emissions down 11% from a 2015 baseline, against a 30% reduction target for 2030.

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