Blockbuster adopts 'say on pay' policy

DALLAS Blockbuster has adopted a policy that will give shareholders a non-binding advisory vote on executive compensation beginning in 2009. The "say on pay" provision gives shareholders the ability to advise the board on whether they believe top executive annual compensation should be ratified.

"Our board is very pleased to take this important step, which reinforces our commitment to implementing strong corporate governance practices and improving transparency with our shareholders," said chairman and ceo Jim Keyes. "Holding this advisory vote on executive compensation on an annual basis will not only improve dialogue with our shareholder base, it will also provide our board with valuable feedback on our compensation policies, which currently link both bonus and equity compensation to Blockbuster's financial and operating performance."