2018 Guide to Effective Proxies

6 TH EDITION | GUIDE TO EFFECTIVE PROXIES 192 INVESCO LTD MARATHON PETROLEUM CORPORATION MASTERCARD, INC. MCKESSON CORPORATION 19 TheAuditCommittee routinely receives reports from the control functions of finance, legal, compliance and internal audit. TheGlobalHead of InternalAudit reports to theChairperson of theAuditCommittee. TheAuditCommittee oversees the internal audit function’s planning and resource allocation in amanner designed to ensure testing of controls and other internal audit activities are appropriately prioritized in a risk-basedmanner. TheAuditCommittee also seeks to assure that appropriate risk-based inputs frommanagement and internal audit are communicated to the company’s independent public auditors. Investment and corporate stewardship - environmental, social and governance responsibility As a global investmentmanagement organization, Invesco is committed to adopting and implementing responsible investment principles in amanner that is consistent with our fiduciary responsibilities to clients. Invesco recognizes the importance of considering environmental, social and governance (“ESG”) issues as part of a robust investment process.Additionally, Invesco’s corporate stewardship programs focus on human capital development and our responsibility to help sustain a healthy, clean environment for future generations.We are committed to fostering greater transparency and continuous improvementwith regard to responsible investment and corporate stewardshipwithin our business.Below are some of the actions Invesco is taking tomeet these commitments. • In June2013, Invesco became a signatory to theUnitedNationsPrinciples forResponsible Investment (“PRI”),which is the leading global responsible investment network of investmentmanagers. Invesco’smost recent annual rating fromPRI onStrategy andGovernance is an “A+”, representing a score of95% or higher. In all eight categories tracked byPRI, Invescomatched or outperformed its peer group, reflecting our commitment and success in this area. Invesco’s PRI transparency report is publicly available atwww.unpri.org. Invesco is also a signatory to theUKStewardshipCode and JapanStewardshipCode,which, like PRI, promote active engagement in corporate governance.Additional information about Invesco’s commitment toPrinciples forResponsible Investment is available under theAboutUs tab on the company’swebsite. • Invesco believes the voting of proxies should bemanagedwith the same care as all other elements of the investment process. The proxy voting process at Invesco,which is driven by investment professionals, focuses onmaximizing long-term value for our clients, protecting clients’ rights and promoting governance structures and practices that reinforce the accountability of corporate management and boards of directors to shareholders. Invesco’s Investment Stewardship andProxyVotingAnnualReport is also available under theAboutUs tab on the company’swebsite. •The InvescoCorporateResponsibilityCommittee (“CRC”),which includes executivemanagement sponsorship and representation, oversees and drives the company’s global corporate and investment stewardship programs and policy. The committee,working in coordinationwith globalworkstreams, drives the strategy, oversight and governance of our internal programs and demonstrates Invesco’s broad executive leadership commitment to responsible investment. The CRC provides direction to Invesco’s investment and corporate stewardship leaders on core ESG topics, participation in industry advocacy and policy efforts and participation in charitable and community organizations to enhance our impact in sustainable global efforts. •Our company is a constituent of the FTSE4Good IndexSeries,which seeks to help investors identify organizationswith good track records of corporate social responsibility. • Invesco has alsomade significant progress in reducing our impact on the environment at a number of our global locations.OurAtlanta,Dublin, Frankfurt, Henley,Houston,Hyderabad, London,NewYork,Prince Edward Island and Toronto locations,which comprise approximately80% of Invesco’s employees around theworld, are ISO14001 registered – a certification that Invesco has the framework in place to effectivelymanage its environmental responsibilities. • Invesco has received certification in the Leadership in Energy and Environmental Design (LEED) program.OurHyderabad office achieved the highest platinum standard,while ourNewYork office achieved the gold standard and ourAtlanta PROXY-BRO-1 03-18.indd 19 3/20/18 4:13PM Total of 03 pages in section GOVERNANCE HIGHLIGHTS N e w Shareholder R ight to Call a Spe c ial Meeting On J anuary2 7 ,2018,the B oardadoptedanamendmenttoourAmendedand R estated B yla w s( w hi c h w ere f ertoasour B yla w s)e x tendingtoshareholderso w ningintheaggregate25per c ento f MPC ’ soutstanding c ommonsto ck and c omplying w ith otherre q uirementsset f orthinour B yla w stherighttore q uestthattheCompany c allaspe c ialmeetingo f shareholders.The B oard b elie v esthe25per c ento w nershipthresholdstri k estheappropriate b alan c e b et w eenallo w ingshareholdersto v oteon importantmattersthatmayarise b et w eenannualmeetingsandprote c tingagainsttheris k thatasingleshareholderorsmall groupo f shareholders c ould c allaspe c ialmeetingthatser v esonlyanarro w agenda.MPC ’ s25per c ento w nershipthresholdis a c ommonthresholdamonglargepu b li cc ompanieso ff eringshareholdersthisrightandhelpsprote c tshareholderrights w ithout thee x penseandris k asso c iated w ithalo w erspe c ialmeetingthreshold. R esponsi v eness to Ma j ority - Supported Shareholder Proposal Atour201 7 AnnualMeetingo f Shareholders,MPCpla c edonthe b allotanon b inding,shareholder - sponsoredproposal re q uestingthatthe B oardta k ethestepsne c essarytoeliminateea c hshareholder v otingre q uirementinour R estatedCerti f i c ate o fI n c orporationandour B yla w sthat c alls f oragreaterthansimplema j ority v ote.Thisproposalre c ei v edthesupporto f a ma j orityo f the v otes c astatthemeeting.The B oardhasa ck no w ledgedthesupport f ortheproposalase x pressed b your shareholdersandhaspla c edonthe b allot f ortheAnnualMeetingt w o b indingproposalstoaddresssuperma j oritypro v isions w ithinourCerti f i c ate.The B oardhasalso c ommittedtoma k e c on f ormingamendmentstoour B yla w s,asappli c a b le,shouldthe Certi f i c ateamendmentsre c ei v ethere q uisite v ote f orpassage. Pu b lished I naugural R eport : Perspectives on Climate-Related Scenarios: Risks and Opportunities I nO c to b er201 7 ,MPCpu b lishedthe PerspectivesonClimate-RelatedScenarios:RisksandOpportunities reportmodeledon thedis c losuresre c ommended b ytheFinan c ialSta b ility B oard ’ sTas k For c eonClimate - relatedFinan c ialDis c losures(orTCFD) andpro v idingadetailedloo k atour B oard ’ sris k managemento v ersight, c limate - relateds c enarioanalyses,assetoptimi z ation andport f oliomanagement.As c on v eyedinthereport,MPCis w ellpositionedtoremainasu cc ess f ul c ompanyintothe f uture, e v enunderthe c ar b on -c onstrained f uturemodeledinthe I nternationalEnergyAgen c y ’ shypotheti c al450S c enario.MPChas in v ested b illionso f dollarsinenergye ff i c ien c y,emissionsredu c tions,di v ersi f yingour b usinessandhardeningour f a c ilities againste x treme w eathere v ents.Ourre f ineriesareamongthemostenergye ff i c ientin N orthAmeri c a.Our f a c ilitiesha v eearned moreo f the U .S.EPA ’ sE N E RGY STA R a w ardsre c ogni z ingre f ineriesthanallotherre f ining c ompanies c om b ined,and w ealso applythis f o c usonenergye ff i c ien c ytoourtransporttru ck sandourinlandmarine f leet,as w ellastoourresear c he ff orts. page2 / MarathonPetroleumCorporationPro x yStatement Total of 02 pages in section ITEM1.ELECTIONOFDIRECTORS Corporate Social Responsibility Our approach to corporate social responsibility is rooted in our commitment to better health – for our employees, our communitiesandbeyond.Wecreatebetterhealthforpatients,andwemirror thatcommitmentbyadvancingthehealthofour employees,ourcommunitiesandtheplanetweallshare. McKesson’sFocusonHumanCapital Wearecommittedtodevelopingandinvestinginourmostimportantasset–ourpeople.Weknow that the well-being of our employees is an essential component of a healthy company, and we continually strive to promote a culture in which all employees feel supported and valued. Our culture is grounded in our shared ICARE (integrity, customer-first, accountability, respect and excellence)andILEAD(inspire,leverage,execute,advanceanddevelop)principles.Thesevalues guide all that we do, and help advance our company across every dimension, creating maximum valueforourcustomersandmakingMcKessonagreatplacetowork. We seek opportunities to create excitement among our employees about their careers. We invest heavily in employee growth and development through rewarding job assignments, one-on-one developmentwithmanagersandopportunitiesforcontinuedlearning. FY2018Education&DevelopmentHighlights • McKesson’seducationalassistanceprogramprovided$3.13milliontoemployeespursuinghighereducation; • McKesson employees in the U.S. and Canada completed 211,458 hours of management, professional development, technicalandotheremployeetraining; • Our Medical-Surgical business created a three-year strategic plan focused on developing leaders within McKesson ratherthanrelyingonexternaltalent;and • McKesson expanded its investment in developing rising C-suite talent, focusing on assessment, coaching and experiencemanagement. McKesson’sCommitmenttoDiversityandEqualPay BecausewebelievethatourpeopledriveourCompany’ssuccess,McKessontakesveryseriouslyitscommitmenttotheprinciplesof equalopportunity,payequity,diversityandinclusion.Aswefocusondeliveringbetterhealthinatransformativehealthcarelandscape, weknowitwilltakethebestandbrightesttokeepusaheadofthecurve.Ourdiversityandinclusionstrategyisaboutbuildingastrong pipeline of future leaders, whose diverse backgrounds and view-points infuse innovation, agility and creativity into our mission of delivering better health for the future. Our Board of Directors and management team have a long track record of advancing these important principles throughout the organization, which includes the creation of a diversity and inclusion organization (“D&I Organization”)morethantenyearsago,followedshortlythereafterbytheappointmentofourfirstChiefDiversityOfficer. Our Board of Directors routinely receives reports from management on McKesson’s diversity and inclusion efforts. Our U.S. practicesandpoliciesaredisclosedonourwebsiteandhelpMcKessonensureourworkforceisreflectiveofourcommunities, valuesandculturaldifferences,andleveragestheviewsandexperiencesofeachothertocreatethebestpossiblesolutions. 2006 Board of Directors approves firstdiversity strategy 2008 McKesson approves firstChief Diversity Officer 2007 DiversityScorecard launches and ties to bonus-eligible compensation 2010 EmployeeResource Groups formalizedand standardized atan enterprise level 2014 D&IOrganization developsBlueprint strategy to improve representation of groups experiencing slower growth tomarket parity–People of Color,Military andDisability. DiversityScorecard tiesmarket parity to bonus-eligible compensation 2011 WomenonBoard WinningCompany (7th year ina row in 2018) 2013 Chairman’sDiversity Councilestablished to formulateenterprise strategy 2015 Blueprint launchesacross U.S.with positive improvement in first year Instrumental in developingand launchingFons TrompenaarsCulturalFluency training forpeople leaders Diversity& InclusionTimeline 20 -2018ProxyStatement Total of 02 pages in section 2018MastercardProxy| CorporateGovernance 7 Sustainability Efforts Aswemoveforward,Mastercardwillcontinuetolooktodeepenitssustainabilityeffortsinfourkeyareas: INCLUSIVEGROWTH Creatingamoreinclusiveworldthroughour products,programsandpartnerships INSPIREDWORKFORCE Ourindustryexpertiseisenhancedbydiverse insightsfromourglobalworkforce,whichisatthecoreofourdiversityand inclusionstrategy ETHICAL&RESPONSIBLESTANDARDS Actingresponsiblyandwith integrityguidedbythehigheststandardsofethicalbehavior ENVIRONMENTALSTEWARDSHIP Responsiblymanagingour environmentalfootprintandcreatingenvironmentallyconscioussolutions Important Dates for Our 2019 Annual Meeting EarliestDatetoSubmitDirectorNominationsforInclusioninOurProxyStatement(ProxyAccess) November28,2018 LastDatetoSubmitDirectorNominationsforInclusioninOurProxyStatement(ProxyAccess) December28,2018 LastDatetoSubmitStockholderProposalsforInclusioninOurProxyStatementunderSECRule 14a-8 December28,2018 EarliestDatetoSubmitDirectorNominationsorOtherBusinesstoBePresentedatOurAnnualMeeting February26,2019 LastDatetoSubmitDirectorNominationsorOtherBusinesstoBePresentedatOurAnnualMeeting March28,2019 Total of 03 pages in section