SOCIALLY RESPONSIBLE INVESTING APACHE CORPORATION (APA) CLIFFS NATURAL RESOURCES (CLF) FIRST CASH...

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SOCIALLY RESPONSIBLE INVESTING APACHE CORPORA TION (APA) CLIF FS NATURAL RESOUR CES (CLF) FIRST CASH FINANCIAL SERVICES (FCFS )

Transcript of SOCIALLY RESPONSIBLE INVESTING APACHE CORPORATION (APA) CLIFFS NATURAL RESOURCES (CLF) FIRST CASH...

Page 1: SOCIALLY RESPONSIBLE INVESTING APACHE CORPORATION (APA) CLIFFS NATURAL RESOURCES (CLF) FIRST CASH FINANCIAL SERVICES (FCFS )

SOCIALL

Y RESPO

NSIBLE

INVESTI

NG

APAC

HE C

OR

PORAT I O

N (

APA

)

CL I F

F S NAT U

RAL R

E S OU

RCE S (

CL F )

F I RS T C

AS H

FI N

AN

CI A

L SE RV

I CE S

( FC

F S )

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RUBRIC (CONDENSED)

Community Charity

Diversity Equal OpportunityBoard of Directors- 1/3 of the directors are a minority or women

Employee Relations Employee Involvement- Communication/Benefits/Safety

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RUBRIC CONTINUED…

Environment Pollution Control/Recycling/Proper Management

Product Quality/Fairness/Non-Monopolistic/Law-Abiding

OtherLaw-Abiding (Taxes)/Management Fair Wage

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RUBRIC CONTINUED…

Exclusionary Screens Tobacco Alcohol Nuclear Energy Gambling Military Abortion Contraceptives Sweat shop Obesity

Percentage of involvement if possible to determine will be taken in to account

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GRADING SCALE FROM RUBRIC

We used a grading scale from 1-51 being very poor3 being neutral5 being excellent

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Apache Corporation- 4Background One of US biggest oil companies Involved with 6 different countries Included on Ave Maria Mutual Fund

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CHARITYApache Corporation Environmental Matching employee donations Employee volunteering Corporate Grants 3/5 for Charity

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Diversity- 1 Board of Directors only one women and

one cultural difference

Chansoo Joung

Patricia Albjerg Graham

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Diversity- 1 Top management only 4 women out 33

positions from CEO to staff officers. In careers section of their website they

claim that their workforce is diverse.

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Employee Relations- 5 “Safety is not a negotiable and will not

be compromised.” –Apache They offer a wide variety benefits from

health care and insurance to time off and retirement plans.

Have chance to earn compensation for hard work and performance.

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Environment- 4 Being an oil company and having to drill

would seem negative They make strong efforts to reduce

impact of greenhouse gases Search for alternative resources and

replacement of harmful equipment

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Product- 3 There products include and resource

that can be produced from oil As you probably know they are an oil

drilling company

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Exclusionary Screens- 5 Apache doesn’t have operations in any

of the motioned categories If they do its small and unrecognizable There still are a oil company that drills

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OV E RA L L C O M PA N Y RA N K I N G : 4

FIRST CASH FINANCIAL SERVICES, INC.

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COMPANY INFO

• Founded in 1988 • Principal office in Arlington, TX• Operations in U.S. and Mexico

• Financial Services Company:• Short-term loans through pawning• Check cashing• Credit Services

• Found in:• Russell 2000 Index• S&P Small Cap 600 Index• LKCM Aquinas Small Cap Fund

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CHARITYFIRST CASH FINANCIAL SERVICES

• Community Development

• Support the poor

• Equal opportunity

• 2/5 for Charity

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DIVERSITY

• Board of Directors• ~1/4 Diverse

• Equal Opportunity Employer• Overall Ranking: 4

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EMPLOYEE RELATIONS

• Strengths:• Employees involved in workplace• Employee discounts and benefit packages

• Concerns:• Possible unsafe working environment• No defined pension plan except for 401(K)

• Overall Ranking: 2

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ENVIRONMENT

• Not directly involved with pollution• Possible problems with recycling • Especially outside of U.S.

• Overall Ranking: 3 (Neutral)

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PRODUCT

• Product is priority• Help economically disadvantaged• Not a monopoly• Overall Ranking: 5

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OTHER

• Executive Compensation has lots of elements• 2009 Compensation for CEO was 1.7 million total

• Overall Ranking: 5

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EXCLUSIONARY SCREENS

• Haven’t found any direct involvement in any:• Tobacco• Alcohol• Nuclear Energy• Gambling• Military• Abortion• Contraceptives• Sweat Shops• Obesity

• Overall Ranking: 5

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CLIFF NATURAL RESOURCES

CLF

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Background

164 years company -1847 Cleveland, Ohio Specializes in the mining of iron ore and

the mining of coal Does business in US, Canada, Australia,

and Brazil On the NYSE- S&P 500 (standard and

poor) 4,000 employees

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CHARITYCliffs Natural Resources

Education Gift matching Helping the less fortunate Helping cultural institutions 4/5 for Charity

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Diversity

CFO is a woman 3/12 board members are women 11/12 are independent members not

related with co. (CEO) Others are CEO of other co, prof at Yale,

or retired

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Employee Relations

Co does a pay mix program where there are 3 ways to pay the top employees

Base salary, annual incentives, and long-term incentives

Good 401K plan for all employees 100% match hours CEO=5.5M other 4 important members

are around 2M

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Environment

Going beyond compliance Anticipating and addressing potential

impacts before they occur Personal accountability Operating to preserve the

environment for future generations.

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Product

Even though they are a mining company that contributes to greenhouse gases they go beyond compliance

CLF’s produces fair products in a non-monopolistic market place

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proxy

Vote on CEO pay By doubling amount of stock available Frequency of CEO pay Voting on BoD Vote on accounting firm

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Cliffs Natural Resources. Annual Report, 2010 Web. 11/20/2011

Cliffs Natural Resources. Sustainability report, 2010 Web. 11/20/11

 Wood, Kerry. “Observation Trail and Recreation site” "Journal

of Park & Recreation Administration. Article. 2006. 11/20/11"Cliffs Outlines Base Case For Ontario Chromite Project."

Engineering & Mining Journal (00958948) 212.2 (2011): 4-5. Academic Search Complete. Web. 20 Nov. 2011.

 “Vision.” Apachecorp.com. Apache, 2011. Web. 15 Nov. 2011.

http://www.apachecorp.com/Resources/Upload/Sustainability/vision/index.html

Bibliography

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“Oil Stock Investors Hit a Gusher, Can it Last?” ChicagoTribune.com. Chicago Tribune Business, 2006. Web. 17 Nov. 2011. <http://www.chicagotribune.com/business/sns-yourmoney-0416watch,0,6324988.story>

Orr, Douglas. "First Cash Financial Services, Inc. - Form DEF 14A." Edgar Online. Edgar Online, 30 Apr 2010. Web. 30 Nov 2011. <http://idc.api.edgar-online.com/efx_dll/edgarpro.dll?FetchFilingConvPDF1?SessionID=OEzCHxlAeZc_YIS&ID=7215938>.

First Cash Financial Services, Inc.. First Cash Financial Services, Inc. , 2007. Web. 16 Nov 2011. <www.firstcash.com>.

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Orr, R. Douglas. "2010 Form 10-K." First Cash. N.p., 25 Feb 2011. Web. 19 Nov 2011. <https://materials.proxyvote.com/Approved/31942D/20110425/10K_87570/HTML2/default.htm>.

Gastaldo, Evann. "In 2010, Average CEO pay was...." Newser - Read Less Know More. Newser, LLC. , 10 Apr 2011. Web. 01 Dec 2011. <http://www.newser.com/story/116050/executive-pay-in-2010-average-ceo-compensation-was-96m.html>.

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