OVERLAND PARK, Kan.-Following claims of financial impropriety that led to the ouster of a pair of former executives, Sprint Corp. released a set of corporate governance enhancements that build on a previously announced set. The telecommunications provider said the enhancements would make it a leader in corporate governance best practices.
The latest set of enhancements include the adoption of equity ownership guidelines for Sprint executives and outside directors, a limit on senior executive severance packages unless shareholder approval is obtained, opting out of the Kansas Control Share Acquisition Act in an attempt to bolster long-term shareholder value, the adoption of charters for committees of the board, and the appointment of Boeing Co.’s Chief Financial Officer Michael Sears to Sprint’s audit and capital stock committees.
Sprint also announced that its audit committee selected KPMG L.L.P. as its independent auditor for fiscal year 2004. Current auditor Ernst & Young, which has been Sprint’s auditor for 37 years and was linked to setting up suspect tax shelters for Sprint executives, will complete the 2003 audit.
