Summary by Futu AI
Amazon.com Inc (AMZN) is facing a shareholder proposal from As You Sow and co-lead filer Green Century Capital Management, Inc. for the upcoming annual meeting on May 22, 2024. The proposal requests Amazon to disclose all material Scope 3 greenhouse gas (GHG) emissions, which are emissions from the company's value chain. Currently, Amazon reports Scope 3 emissions only for its Amazon-branded products, which is a small fraction of its total product sales. This practice has been criticized for not aligning with the GHG Protocol and potentially misleading investors. The proposal argues that full disclosure of Scope 3 emissions is necessary to assess Amazon's climate-related financial risks and its ability to thrive in a low-carbon economy. Amazon's Board of Directors opposes the proposal, claiming their current reporting is sufficient. However, proponents of the proposal highlight that Amazon's incomplete disclosures could expose the company to regulatory, reputational, and climate-related risks, and lag behind peers like Walmart, which reports Scope 3 emissions for all products sold.