Corporate Governance

Shearman & Sterling LLP The Rise of the ESG Officer | 16 Company Officer Title 3M Company ConocoPhilips General Motors Co Honeywell International Inc. Starbucks Corp. U.S. Bancorp Union Pacific Corp United Parcel Service Inc. Verizon Communications Inc. Wells Fargo & Co. Executive Vice President, Chief Technology Officer and Environmental Responsibility Executive Vice President, Chief Technology Officer and Environmental Responsibility Executive Vice President, Global Manufacturing and Sustainability Chief Sustainability Officer, Chief Inclusion and Diversity Officer and General Counsel of ESG Executive Vice President, Public Affairs and Social Impact Senior Executive Vice President and Chief Diversity Officer Executive Vice President — Sustainability and Strategy of UPC and the Railroad Executive Vice President; Chief Corporate Affairs, Communications and Sustainability Officer Senior Vice President, Governance & Chief ESG Officer Senior Executive Vice President and Head of Diverse Segments, Representation and Inclusion of management or leveraging existing reporting structures to tackle the "E," "S" and "G" separately. To address stakeholder and regulatory demands, companies must analyze whether their managers and workforce are properly equipped to address the gamut of ESG matters, from air pollution to diversity, equity and inclusion, and have the optimal infrastructure to optimize information sharing and visibility. WHAT ARE COMPANIES DOING? In order to understand how companies are addressing this ever-changing need, we surveyed the Top 100 Companies to see whether there has been an increase in ESG-related officer appointments in the C-Suite. Item 10 disclosure of Form 10-K and proxy disclosures filed by the Top 100 Companies in 2022 reflected that ten of the Top 100 Companies include an individual with a specific ESG-related purview in their executive officer ranks. This does not include the many general counsels and chief legal officers found in the executive officer ranks that are tasked with covering governance matters (the "G" in ESG), as that role has been in place as a long-standing matter.

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