2018 Guide to Effective Proxies

2.2 Board/CEO letter | 45 6 TH EDITION | GUIDE TO EFFECTIVE PROXIES VERIZON COMMUNICATIONS INC. VOLT INFORMATION SCIENCES VOYA FINANCIAL, INC. W. R. BERKLEY To our Shareholders Asdirectors,westrivetogovernVerizonwiththeutmostintegrity.WebelievethatVerizon’s commitmenttothehigheststandardsofcorporategovernancedrivessuccessandbuilds sustainable,long-termvalueforshareholders.Wefocusourattentiononoverseeingthe Company’sbusinessstrategies,riskmanagement,boardcompositionandsuccessionplanning. Wewouldliketotakethisopportunitytoprovideyouwithanupdateonourprogressin2017. Strategy oversight OurBoardisvigilantintheoversightofVerizon’slong-termstrategy.AteachBoardmeetingand duringourannualstrategyretreat,weengageVerizon’sseniorleadersinrobustdiscussionsabout theCompany’sstrategicgoals.Itiswithourcorporatestrategyandbusinessprioritiesinmindthat the HumanResourcesCommittee determinestheappropriatecompensationstructuresandlevels forourseniorleaderstoincentivizethemtoachievethesegoals.ToensureVerizonhasthe financialabilitytoexecuteonourstrategicplan,the FinanceCommittee monitorsVerizon’scapital needsandfinancingplans.Inaddition,inordergainabroaderperspectiveontheenvironmentin whichVerizoncompetes,ourdirectorsparticipateinnumerousactivitiesoutsidetheboardroom, includingregulareducationsessionsontopicscentraltotheindustry. Risk oversight WeviewBoardoversightofVerizon’sriskprofile–initsstrategicactivity,businessoperationsand deploymentofcapital–asfundamentaltothewell-beingofourCompany.Ourdirectorsensure thatVerizon’sriskmanagementpoliciesandproceduresareconsistentwiththeCompany’s strategyandriskappetite,thatthesepoliciesandproceduresareeffectiveandfunctioningas directed,andthatmanagementisfosteringacultureofrisk-awaredecisionmakingthroughoutthe organization.Verizonhasarobust,formalizedbusinessriskmanagementreportingprocessthatis overseenbythe AuditCommittee anddesignedtoprovidevisibilitytotheBoardoncriticalrisks andriskmitigationstrategies.OurBoardalsoregularlyreceivesbriefingsoncybersecurity, privacy,product-relatedrisksand“lessonslearned”fromcompletedmergersandacquisitions. Board composition and refreshment Webelievethatgoodgovernancestartswithanindependent,engagedanddiverseBoard.Women compriseone-thirdofourcurrentBoard,andforthelast12years,awomanhasservedasour independentleaddirector.NearlyhalfofourdirectorsareHispanicorAfricanAmerican.Verizon’s 1133AvenueoftheAmericas,15 th Floor NewYork,NY10036 Tel:212-704-2400 February23,2018 “Iampleasedwearebeginningfiscalyear2018asamorestreamlinedandefficient company,and Ibelievewewill continuetobuildonthefoundationalstrengthsofourcorestaffingbusinessto achieveourlongtermgoalofsustainedprofitablegrowth.” Dearvaluedshareholder, AsIreflectonour2017fiscalyear,IamproudtohaveconcludedmysecondfullyearasChiefExecutive OfficerwithVoltemergingstrongerandbetterpositionedforgrowththanithasbeeninyears.Westrongly believethatourinitiativestorepositionthebusinessforprofitablegrowtharebeginningtotakehold. Wearesteadfastinourcontinuedcommitmenttostrengtheningourbalancesheet,streamliningourbusiness andimprovingourcoststructureandmargins,whileatthesametimeachievingtoplinegrowth.Wecompleted asuccessfulcampaignin2017todivestnon-coreassets,includingthesalesofourqualityassurancebusiness andourinformationtechnologyinfrastructuresupportbusiness.Thesetransactionssubstantiallyimprovedour overallliquiditypositionandhaveenabledustobecomeafocused,pure-playstaffingcompany,whichIbelieve hasbetterpositionedusforfuturesuccess.Andimportantly,wecontinuedtoaddtoourbookofbusiness, winningseveralsignificantnewcustomerengagementsandexpandingexistingcustomerengagements throughouttheyear.Further,welaunchedandimplementedanewcompany-widetechnologyupgradethatis expectedtoimproveourtimetomarketandcompetitivenessinrecruitingdelivery,aswellasallowusto improveoperationalefficiencyand,togetherwithotherimprovementsinefficiencies,willresultinsignificant futurecost-savings.Thepastyearalsofeaturedincreasedsuccessinourcost-containmentefforts, which enabledustodeliverlowerselling,administrativeandotheroperatingcosts.Ashasbeenthecasethroughout Volt’shistory,ourcommitmenttoourcustomersandhighqualityofserviceenduresandwebelievethis dedicationwilltranslateintothegrowthofourbusinessforthebenefitofourshareholders. Voltnowhasthebenefitofatalented,skilledseniormanagementteam,whichisfocuson,andincentivizedto, createandprotectshareholdervalue.Inaddition,ourdedicatedandpassionateemployeeshaveworked tirelesslytosupportthechangeswehaveinstituted,bigandsmall,throughouttheorganization.Our collaborativespirit,loyaltyandteamworkwereinstrumentaltoachievingimportantbusinessgoalsthispast yearand,together,weremaincommittedtoandareinspiredbyourpurpose—topartnerwithourclientsto provideinnovativeworkforcesolutionswithwhatwebelieveisanextremelystrongtalentpool. Onbehalfoftheentireexecutiveteam,knowthatourfocusandresolveistodriveshareholdervalue,firstand foremost. Whilemanagementrecognizesthatwestillhavealotofworkaheadofus,wearesteadfastly dedicatedtodeliveringonourcommitmenttoyou,ourvaluedshareholder.TheBoardofDirectorsjoinsmein extendingtoyouawarminvitationtoattendourAnnualMeetingofShareholders.Yourvoteisveryimportantto us,soweencourageyoutopromptlyvoteyoursharesbysubmittingyourproxy.Welookforwardtocontinuing ourdialoguewithshareholdersandsincerelythankyouforyourinvestmentinthisgreatcompany. MichaelD.Dean President,ChiefExecutiveOfficerandDirector W.R.BerkleyCorporation 475SteamboatRoad Greenwich,Connecticut06830 Tel:(203)629-3000•Fax:(203)769-4098 Toourfellowshareholders: Forover50years,wehavemanagedourCompanywithafocusoncreatinglong-termvalueforour shareholders.Everyactionwetakeandeverypartofourstrategy,includingourmanagementcompensation andboardstructure,isdesignedtogeneratethehighestlong-termrisk-adjustedreturn. 2017wasayearmarkedbyrecordcatastrophelossesandsignificantearningsvolatilityinourindustry.Wewere theretohelpourclientspickupthepiecesintheaftermathofthesedisastersandstilldelivereda10.9%return onbeginningequitytoourshareholders. ThecultureofourCompanyemphasizesthateverythingwedoandeverypersonwhoparticipatesisimportant toourenterprise,andthatdoingtherightthingisthecornerstoneofoursuccess.Ourvaluesandprinciplesare notprintedonfancyplaqueshungonthewallsofouroffices,butaredemonstratedeverydayateachofour operatingunitsinthewayweconductourbusiness,engagewithourteammembersandgivebacktoour communities.Thesevaluesarecriticaltomanagingvolatilityanddeliveringsuperiorlong-termresults. 2017wasalsonoteworthyasourcommitmenttoensuringthecompetitivenessofU.S.insurancegroupsinour homecountrywasrewarded.TheTaxCutandJobsActeffectivelyeliminatedanunfairadvantageintheTax CodeforoffshoregroupswritingbusinessthroughaU.S.subsidiary.Inaddition,thereductioninthecorporate taxratehaspositiveimplicationsfortheeconomyandtheglobalcompetitivenessofourbusiness. Overthelastfewyears,wehavespentasignificantamountoftimetalkingtoourlargestshareholdersabout theuniquenatureofourbusiness—particularlyitslong-termcharacteristics.Wehavebettercommunicated throughengagementandthroughourproxyhowourexecutivecompensationsystemistiedtothekey elementsthatcreateeconomicvalueinapropertycasualtyinsurancecompany.Itisperformancebasedand emphasizeslong-termrisk-adjustedreturnsandvaluecreationtogiveourpeopleavestedinterestinthelong- termsuccessoftheenterprise. Wehavealsoenhancedthediscussionregardingourboardstructureandgovernancepractices.Thisisacomplex businessthatrequiresknowledgeandexpertisefortheBoardandCompensationCommitteetodifferentiate performanceoverthelongrun.Makingthesejudgmentsrequiresexpertiseprovidedbydirectorswithdiverse experienceandskills,andwecontinuetosearchforBoardmemberswhocanbringvalueandadvice. Inaddition,investorshavebecomeincreasinglyfocusedoncorporateresponsibilityasadriverofsuccessinrecent years,andwehaveaccordinglydonemoretohighlightourprinciplesandpractices.Wehavealwaysrecognized thatinordertoachievelong-termsuccess,wehaveanobligationtosocietyandthesustainabilityoftheworld aroundus.Whetheremployingindividualswithdiversebackgroundsanddemographicsthatreflectthegeographic andculturaldiversitywithinourbusiness,givingbacktothecommunitiesinwhichweliveandwork,ormanaging ourownimpactontheenvironmentandworkingcloselywithourinsuredstomanagetheirs,corporate responsibilityhasbeenembeddedinourculturefromthebeginning. WeandourmanagementteamcontinuetobetheCompany’slargestshareholders.Thedirectlineof communicationwithournon-managementshareholdershasneverbeenstronger,andwelookforwardto continuingthedialoguewithyou,ourfellowowners.Wealsoremainoptimisticthatwecancontinuetocreate valuebydeliveringoutstandingrisk-adjustedreturnsinthefuture. Sincerely, WilliamR.Berkley W.RobertBerkley,Jr. ExecutiveChairman PresidentandChiefExecutiveOfficer “Alwaysdoright.Thiswillgratifysomepeopleandastonishtherest.” —MarkTwain April12,2018 DearFellowStockholders: YouarecordiallyinvitedtoattendtheannualmeetingofstockholdersofVoyaFinancial,Inc.(the“Company”), onWednesday,May30,2018,at11:00a.m.,EasternDaylightTime.Theannualmeetingofstockholderswillbeheldasa virtualmeetingonly,accessibleatthefollowingwebsiteaddress:www.virtualshareholdermeeting.com/VOYA2018.The enclosednoticeofannualmeetingandproxystatementdescribetheitemsofbusinessthatwewillconductatthemeetingand alsoprovideyouwithimportantinformationaboutourCompany,includingourpracticesintheareasofcorporategovernance andexecutivecompensation.Istronglyencourageyoutoreadthesematerialsandthentovoteyourshares. OurBoardisactivelyengagedinstrategicplanning 2017wasatransformationalyearforVoyaasweannouncedinDecemberthesigningofanagreementtosell substantiallyallofourClosedBlockVariableAnnuitysegmentandourindividualfixedandfixedindexedannuitybusiness toaconsortiumofinvestors.Thistransactionwillsignificantlyreduceourmarketandinsuranceriskandeliminatethe CBVAtailriskandvolatility.ItwillfurtherpositionVoyatobeasimplercompanyandenableustofocusonourhigher- growth,higher-return,capital-lightRetirement,InvestmentManagementandEmployeeBenefitsbusinesses. Asstewardsofthecompany,oneoftheBoard’skeyrolesisoverseeingstrategy,andadecisiontoconducta transactionlikethiswastheproductofaniterativeBoarddiscussion.TheBoardspentasignificantamountoftimeduringits regularBoardmeetingsaswellasspeciallycalledBoardmeetingsdiscussingtherisksandopportunitiespresentedbythis transaction,andprovidingguidancetomanagementthatledtothesuccessfulsigningofthetransaction. WeareveryfortunatetohaveaBoardthatishighlyengagedintoday’srapidlychangingenvironment.In additiontoboardmeetings,ourdirectorsregularlyparticipateinpre-andpost-meetingdiscussionsaswellasadhoc meetingstodiscussemergingissues.ToprovideshareholdersmoreinsightintoourBoard’soperations,weaddedthisyear disclosureonthenumberofourBoardandcommitteemeetings,thediscussionsandcommunicationsoutsideofboard meetingsandsitevisitsthataredesignedtodeepentheunderstandingandimpactofourBoard.Thisnewdisclosurestartson p.11ofthisproxystatement. OurBoardiscomprisedofdiverseandindependentdirectorswithskillsandexperiencestosupportourstrategyand positionusforlong-termsuccess InJuly2017,weannouncedourthenleaddirector,FrederickS.Hubbell,resignedfromourBoardduetothe demandsfromhiscandidacyforGovernorofIowa.WearegratefultoFredforhisvaluablecontributionstoourBoard.In connectionwithFred’sresignation,theBoardappointedDavidZwienerasthenewleaddirector.Davebringswithhimdeep industryexperienceaswellasextensiveexperienceasadirectorofotherpubliccompanies. Webelieveourdirectorsbringawell-roundedvarietyofdiversity,skills,qualificationsandexperiences,and representaneffectivemixofdeepcompanyknowledgeandfreshperspectives.Fourofourninedirectorsarewomenand threeoftheCommitteesarechairedbywomen.TohelpshareholdersgainbetterunderstandingofourBoard’scomposition,we addednewdisclosurethisyearstartingonp.2onthedirectors’skills,experiencesandbackgroundaswellasourNominating andGovernanceCommittee’sfocusondiversitywhenrecruitingnewdirectorsandrecommendingdirectorsforre-nomination. Continuedfocusonshareholderengagement In2017,wecontinuedtofocusonengagingwithourshareholders.Weexpandedourshareholderoutreachin 2017toinvestorsholding77%ofouroutstandingcommonstockversus61%in2016.Thefullscopeofinvestorperspectives thatwegatherthroughthisprocessisreportedtotheBoardandintegratedintotheBoard’sdecision-makingprocesses.We believethetwo-waydialoguewithourstockholdersthroughtheseengagementeffortsbuildinformedrelationshipsthat promotetransparencyandaccountability,bydeepeningourBoard’sunderstandingofstockholderconcerns,andproviding stockholderswithinsightintoourBoard’sprocesses. OnbehalfoftheBoardandthemanagementteam,Iwouldliketothankyouforyourcontinuinginvestment andsupportofVoyaFinancial. Verytrulyyours, RodneyO.Martin,Jr. ChairmanandChiefExecutiveOfficer