Thursday, April 10, 2008

Bored Of Directors

Once again I receive a proxy from a company I have a vested interest in. As a stockholder, through my broker who has invested my IRA in stuff, I get to vote on some high quality issues.

Below is the actual ballot. To find the details, you have to read pages and pages of documentation. But mainly you can tell just by scanning below that ConocoPhillips is against any sort of accountability or prudence (environmental, political, fiscal, whatever) short of hiring the accountants themselves.

Here's the annual proxy:

CONOCOPHILLIPS Annual Meeting

Vote Your Shares

Meeting Date: 05/14/2008 for holders as of 03/17/2008

CUSIP: 208xxx-xxx

Your Control Number: 154xxx

If you plan to attend the meeting Click here.


Proxy Ballot:
Directors' Recommendations:
Choose this if you would like to vote your shares following directors' recommendations.
See below or refer to the proxy statement for the detailed recommendations. Please read them carefully.


1A. ELECTION OF DIRECTOR: HAROLD W. MCGRAW III
Directors Recommend: FOR

For Against Abstain


1B. ELECTION OF DIRECTOR: JAMES J. MULVA
Directors Recommend: FOR

For Against Abstain


1C. ELECTION OF DIRECTOR: BOBBY S. SHACKOULS
Directors Recommend: FOR

For Against Abstain


02. TO AMEND AMENDED AND RESTATED BY-LAWS AND RESTATED CERTIFICATE OF INCORPORATION TO PROVIDE FOR THE ANNUAL ELECTION OF DIRECTORS
Directors Recommend: FOR

For Against Abstain


03. TO RATIFY APPOINTMENT OF ERNST & YOUNG LLP AS CONOCOPHILLIPS INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM FOR 2008
Directors Recommend: FOR

For Against Abstain


04. QUALIFICATIONS FOR DIRECTOR NOMINEES
Directors Recommend: AGAINST

For Against Abstain


05. REPORT ON RECOGNITION OF INDIGENOUS RIGHTS
Directors Recommend: AGAINST

For Against Abstain


06. ADVISORY VOTE ON EXECUTIVE COMPENSATION
Directors Recommend: AGAINST

For Against Abstain


07. POLITICAL CONTRIBUTIONS
Directors Recommend: AGAINST

For Against Abstain


08. GREENHOUSE GAS REDUCTION
Directors Recommend: AGAINST

For Against Abstain


09. COMMUNITY ACCOUNTABILITY
Directors Recommend: AGAINST

For Against Abstain


10. DRILLING IN SENSITIVE/PROTECTED AREAS
Directors Recommend: AGAINST

For Against Abstain


11. ENVIRONMENTAL IMPACT
Directors Recommend: AGAINST

For Against Abstain


12. GLOBAL WARMING
Directors Recommend: AGAINST

For Against Abstain



Legal Proxy:


Choose this only if you plan to attend and vote your shares at the meeting.


IMPORTANT: By choosing this option, we are precluded from voting your shares on your behalf. A Legal Proxy covering your securities will be issued to you. Your Legal Proxy must be presented at the meeting for your shares to be represented. Do not make any other marks on this ballot.



DO NOT use this option if you hold shares directly with the issuer, rather than through a bank or broker.

Click to see: "Letter to our clients regarding voting authority"

Friday, April 04, 2008

Maple Sap to Syrup: Forty to One


Forty to one. That's the golden ratio for maple syrup. Invented long ago by Native Americans, they found that if you tap a sugar maple tree and collect the sap you can boil it down to a wonderful syrup unknown anywhere else on earth but North America. OK, I haven't looked that one up, but I know the Native Americans didn't have barley or rice syrup and doubt they could have anticipated the construction of refineries to make corn syrup. But I digress.

As we all know in late winter and early spring trees in cold places start to come back to life. This is what Spring is all about. Deciduous trees have created sugars in their leaves through photosynthesis and circulate in a water solution called sap through non-living cells which are tubes of hollow non-living cells. Sap is generally stored down low in their roots and used all over the tree as anti-freeze. As the trees sense the arrival of Spring in the form of warm days and cold nights and changes in sunlight that sap starts to flow up. The tree is getting ready to create leaves which some of us use for shade in the coming months. The Native Americans found that if you bore a small hole down low on the trunk of any adult tree, you could collect gallons of sap every day. If the tree was big, you could make two holes. If you collect all that sap and put it in a pot over a fire and let it boil, you would get something sweet and wonderful. You would get a time machine, so when you put some on your tongue you were instantly brought back to a place where you were a year ago, eating a warm comforting breakfast with people you love. Think about it, long ago this was probably something seasonal where you made the syrup and had it over just a few months. You literally could use the tree (both wood and sap) to make food and energy just as your winter reserves were running out.

Lately I've been looking at those buckets attached to local maple trees at the side of the road with envy. Maybe we have those trees here on the property? Near Lily's school a small tanker truck collects the sap from the trees which line the main street, I see them every day or two. In an answer to my prayers, I was given a gift of five gallons of maple sap. I got this through an offer on Freecycle. Those of you used to Freecycle, which is just an email list offering free stuff will find that here in the Pioneer Valley, there will be odd things like maple sap, country things like roosters (free animals are actually against the rules), common things like bags of stuffed animals and old couches, and oddball things like "a bag of mints" (that offer is sitting there right now in my email inbox). Did I digress again?

I picked up the maple sap in three large pots. It was left on a stoop across town in one of those big orange picnic jugs. I filled my pots and put them in the back of the car and drove home verrry slowwly. I could hear them sloshing around at stops. As soon as I got home I put one pot on the stove to boil. Usually sugaring, as this is called, is done on a wood fire either outside or inside a sugar shack. Around here you can visit the sugar shacks and watch the sap boiling and smell the sweet steam and buy yourself a nice breakfast. Steam pours out of special trap-door vents in the roof of a sugar shack, so you can see when they are sugaring from afar.

The pure sap really had no flavor or color. It seemed like water from a pond, as if there was something in there that I had yet to find or notice. I soon had my two gallon pot boiling on the gas stove in the kitchen here. (I always start to get tired at the end of a blog entry like this - if I got paid, I'd definitely give the end more attention.) After about two hours half the sap was gone, but aside from a little foam, the contents looked the same. I added more from another pot and let it continue. Boiling something like this creates steam, so I made sure to keep the fan over the stove turned on. The sap creates a faintly sweet odor which reminds me of Halloween. I couldn't stick around the house the whole time - you know, a watched pot and all - so I turned it off and started it up the next day. Sap can go bad, so it's best to boil it quickly or refrigerate it. After about four hours of boiling I had lost 2/3 of the volume, but as the title of this entry suggests I had a way to go. Maple sap must boil down to 1/40th the volume to make syrup. My five gallons would eventually make one pint. On the third day I boiled some more. I was quite excited when I had only the stuff in one pot now. It hardly tasted sweet by this time and not very maple-y. It wasn't even brown. But when I stirred it, it had a little give. Something was in there now. A few hours later I had something that seemed like watered down maple syrup. Nothing you'd notice if it was on pancakes. But another hour later I had about a quart of something I thought was maple syrup. It was hot and brown and maple-y. I put this in the fridge, but by the next day I realized that the cold stuff needed to boil some more.

The math said it should be a pint, but I had a quart - and some fear of burning the stuff after maybe seven hours of boiling. I put my quart into a small pot and boiled it some more, tasting it occasionally. Of course a little while later it boiled over and whatever spilled burned and created a mess. Not much was lost, but what was left in the pot - here I feel like the guy who discovered Teflon - was very good maple syrup. It was concentrated maple sap boiled down forty-to-one. One pint. I had it this morning on French Toast. It was great.

Monday, March 31, 2008

Amphibian Friendly

I just received this notice from my town:

8:00 PM Public Hearing on proposed subdivision revisions to require all subdivision curbs be granite, roads be amphibian/reptile-friendly, and require open culverts above streams, amend permit applications, and change fees. These changes will add some cost to roads and housing, primarily in outlying areas where most homes are done in subdivisions with large street frontages. The changes will make projects more attractive, provide clear environmental benefits, and reduce maintenance costs.
What caught my eye was proposal to make all new "roads be amphibian/reptile-friendly". Not that the roads should allow the likes of Dick Cheney (an acknowledged reptile) to use them or any Democratic congressman (definite more spineless amphibian material). It's more that wildlife of any small squishy sort can cross the road at its own pace. Like the old joke:

Q: Why did the spotted salamanders cross the road?
A: Because the thoughtless humans destroyed most of their habitat and divided it with roads and developments, and they have no other way to get to places in order to find mates or food or shelter.
The real answer is to make sure that turtles and frogs and the like can go under the road through animal friendly conduits or tunnels and hopefully also make it hard for them to cross the road except at the cross-walks so-to-speak.

The Pioneer Valley is famous for the Amherst Salamander Crossing which helps the amphibians spawn and has long ago spawned a local band of the same name.

Sunday, March 30, 2008

Low Finance

It finally happened!

Leobardo Camacho, the mexican shoe vendor, has repaid the money I loaned him!

Thanks to Kiva I was able to give him a micro-loan using microfinance. Kiva facilitates this. I provide the captal. A local lender provides the actual loan which Leobardo pays over a year or so plus interest. I don't get interest myself, but I do get the warm fuzzy feeling and I also get my lowly $50 back. He actually borrowed $1200, so I was just one of several lenders who were pooled together by Kiva. Also, I used PayPal money to do all this, and since PayPal is a scam of sorts, I figured I would actually put the money I got from that junk I sold on EBay to good use.

Earlier this year Kiva was oversubscribed. They had too many people willing to loan money. Hopefully they have caught up with demand. If you'd like a Kiva "invite", so you too can join, just ask me and I'll send you one.

Thursday, March 27, 2008

GENERAL ELECTRIC Shareholders Meeting

OK, I feel really really guilty.

I own stock in GENERAL ELECTRIC. Or at least I have a broker who has arranged for this. But it's all abstract. Like the stock itself. It's in my IRA - I think. My IRA is something I wont be touching for at least 20 years, probably more. And who knows if I will even own part of GENERAL ELECTRIC by then. And I buy GE lightbulbs and appliances and occasionally watch GE programs, since they own 80% of NBC. I watch so little TV nowadays that all I remember is that they air SNL which I did watch when I had nothing better to do on a SN. So I get to call it GE, since we're on such good terms. In 2006, GE made $163 billion making them the largest media company regardless of how much media they actually own.

I've been meaning to do this for a while. Write about my proxy statement, that is. I get them emailed to me occasionally, and sometimes they contain gibberish and sometimes they reflect the times. Sometimes they contain virtually nothing.

GE has a reputation for being evil, so their proxy contains good blog fodder. The complete proxy statement is below. It's a form, so you just check some boxes and if you own 300 shares and there are (really) about 10 billion shares outstanding, then I get 3.0 × 10-10 of the votes which is a very small say in things of such import.

So let's take a quick look at the proxy statement below.

First off you get to vote for the board of directors. These are the people who are supposed to oversee that things are on the up-and-up. Many of them have names straight out of Harry Potter, like ANN M. FUDGE and JAMES I. CASH, JR. Some of them are famous powerful people who have long ago sold their souls and got quite a bargain in the process, like Senator SAM NUNN who on this ballot doesn't use his title. He gives the company an air of legitimacy as if the company that invented the monthly electric bill would even need that. But mostly, Nunn gives the company access. Also, many of these board members on on the boards of other companies as is true for those companies in turn. It is a nice perk for these guys who get to meet a few times a year and reap huge benefits. The meetings and the benefits are a matter of public record for the public companies.

GE is the target of many many shareholder initiatives. Some involve accountability, some involve the fact that this huge company which makes weapons and owns Chris Matthews. In the ballot below you see that the Board doesn't want to make annual reports on their share of Global Warming and doesn't want any more accountability than they are legally required. You have to read another document to find the details, but you get the idea. And who would blame them. Corporations need to make profit for shareholders or not exist. It's their prime directive.


GENERAL ELECTRIC COMPANY Annual Meeting

Vote Your Shares

Meeting Date: 04/23/2008 for holders as of 02/25/2008

CUSIP: 3xxxxxxx-xxx

Your Control Number: 31xxxxxxxxxxxx

If you plan to attend the meeting Click here.

As your vote is very important, we recommend that all voting instructions be received at least one business day prior to the voting cut-off time stated in the information circular. Scroll down for proxy instructions and voting.

To vote via telephone call 1-800-603-2119


Proxy Ballot:
Directors' Recommendations:
Choose this if you would like to vote your shares following directors' recommendations.
See below or refer to the proxy statement for the detailed recommendations. Please read them carefully.


A1. ELECTION OF DIRECTOR: JAMES I. CASH, JR.
Directors Recommend: FOR

For Against Abstain


A2. ELECTION OF DIRECTOR: SIR WILLIAM M. CASTELL
Directors Recommend: FOR

For Against Abstain


A3. ELECTION OF DIRECTOR: ANN M. FUDGE
Directors Recommend: FOR

For Against Abstain


A4. ELECTION OF DIRECTOR: CLAUDIO X. GONZALEZ
Directors Recommend: FOR

For Against Abstain


A5. ELECTION OF DIRECTOR: SUSAN HOCKFIELD
Directors Recommend: FOR

For Against Abstain


A6. ELECTION OF DIRECTOR: JEFFREY R. IMMELT
Directors Recommend: FOR

For Against Abstain


A7. ELECTION OF DIRECTOR: ANDREA JUNG
Directors Recommend: FOR

For Against Abstain


A8. ELECTION OF DIRECTOR: ALAN G. (A.G.) LAFLEY
Directors Recommend: FOR

For Against Abstain


A9. ELECTION OF DIRECTOR: ROBERT W. LANE
Directors Recommend: FOR

For Against Abstain


A10. ELECTION OF DIRECTOR: RALPH S. LARSEN
Directors Recommend: FOR

For Against Abstain


A11. ELECTION OF DIRECTOR: ROCHELLE B. LAZARUS
Directors Recommend: FOR

For Against Abstain


A12. ELECTION OF DIRECTOR: JAMES J. MULVA
Directors Recommend: FOR

For Against Abstain


A13. ELECTION OF DIRECTOR: SAM NUNN
Directors Recommend: FOR

For Against Abstain


A14. ELECTION OF DIRECTOR: ROGER S. PENSKE
Directors Recommend: FOR

For Against Abstain


A15. ELECTION OF DIRECTOR: ROBERT J. SWIERINGA
Directors Recommend: FOR

For Against Abstain


A16. ELECTION OF DIRECTOR: DOUGLAS A. WARNER III
Directors Recommend: FOR

For Against Abstain


B. RATIFICATION OF KPMG
Directors Recommend: FOR

For Against Abstain


01. CUMULATIVE VOTING
Directors Recommend: AGAINST

For Against Abstain


02. SEPARATE THE ROLES OF CEO AND CHAIRMAN
Directors Recommend: AGAINST

For Against Abstain


03. RECOUP UNEARNED MANAGEMENT BONUSES
Directors Recommend: AGAINST

For Against Abstain


04. CURB OVER-EXTENDED DIRECTORS
Directors Recommend: AGAINST

For Against Abstain


05. REPORT ON CHARITABLE CONTRIBUTIONS
Directors Recommend: AGAINST

For Against Abstain


06. GLOBAL WARMING REPORT
Directors Recommend: AGAINST

For Against Abstain


07. ADVISORY VOTE ON EXECUTIVE COMPENSATION
Directors Recommend: AGAINST

For Against Abstain



Legal Proxy:


Choose this only if you plan to attend and vote your shares at the meeting.


IMPORTANT: By choosing this option, we are precluded from voting your shares on your behalf. A Legal Proxy covering your securities will be issued to you. Your Legal Proxy must be presented at the meeting for your shares to be represented. Do not make any other marks on this ballot.



DO NOT use this option if you hold shares directly with the issuer, rather than through a bank or broker.