Episode Details

Story of the Week (DR):

3 from Trump: Trump Orders SEC to Review Proxy Adviser Rules in ESG Rebuke AND Trump signs executive order for single national AI regulation standard, limiting power of states AND Trump says Netflix, WBD deal could be 'problem' as son-in-law Kushner backs Paramount bid

Trump directed several federal agencies to tighten regulations on proxy advisers:

The S.E.C. was ordered to review rules and guidelines regarding the industry, including revising or rescinding any related to diversity, equity and inclusion (known as D.E.I.) and environment, social and corporate governance (or E.S.G.).

The F.T.C. and the attorney general were directed to examine state antitrust investigations into the companies to see if there was a “probable link” between those inquiries and potential violations of federal antitrust law.

And the Labor secretary was told to review regulations about the fiduciary duties of proxy advisers and others who advise managers of certain employee retirement accounts.

These firms “wield enormous influence over corporate governance matters,” the executive order reads, adding that they “regularly” use their power to “advance and prioritize radical politically motivated agendas” instead of focusing on shareholder returns.

CEO Moves:

Lululemon Athletica’s C.E.O., Calvin McDonald, will step down as the athleisure clothing maker struggles to turn itself around. MM

His tenure had been criticized by the company’s founder, Chip Wilson.

The athleisure  retailer said that Calvin McDonald will step down as CEO and board member, effective January 31. Lululemon CFO Meghan Frank and chief commercial officer André Maestrini will serve as interim co-CEOs while the company searches for a new leader.

McDonald has served as CEO of Lululemon since 2018, during which time he built the company into a brand powerhouse. But the company has been underperforming for more than a year, with the weakness most apparent in its core North American marke

Time to let a woman run

Interim co-CEO: CFO Meghan Frank

Board chair Marti Morfitt (CEO of River Rock partners, Airborne, and CNS)

Director Alison Loehnis (former president and ad interim CEO of Yoox Net-a-porter group)

Levi Strauss CEO Michelle Gass