Walmart is adjusting its board of directors, in moves the retailer said are designed to strengthen the board for the future, while maintaining its independence, diverse backgrounds of directors and breadth of experience.
The changes include ordinary-course retirements of four board members and a reduction in the size of the board to maximize its effectiveness in supporting the company’s strategy, Walmart said. Current board members Aida Alvarez, Roger Corbett, former Walmart president and CEO Mike Duke and Jim Walton will not stand for re-election at the company’s annual meeting.
The company also announced that as part of the board’s succession planning, the board has nominated Steuart Walton, Jim Walton’s son, for election to the board. Walton’s retirement and the nomination of Steuart Walton mark a leadership transition to the next generation of Walton family representation. Steuart Walton is the CEO of Game Composites, Ltd., a company he founded in 2013 that designs and builds small composite aircraft. He previously worked for the London office of Allen & Overy, and also worked for Walmart International, focusing on mergers and acquisitions.
These changes will reduce the number of directors serving on the board from 15 to 12 directors. With the proposed changes, the Walmart board will maintain its current independent majority at 67%.
“The contributions of each of our four retiring board members cannot be overstated, and we wish them all continued success in the future,” said Greg Penner, Walmart chairman of the board of directors. “With these retirements, we view this as a time to make our board more nimble, while maintaining its independence and further aligning on Walmart’s strategic priorities. Our board has the right skills and expertise to support the company’s strategy. We continue to believe that the value, quality and diversity of our directors are some of Walmart’s greatest strategic assets.”
The changes will take effect following the company’s annual shareholders’ meeting on June 3, 2016.