Mission Responsibility Through Investment (MRTI): Faith-Based Investing. PC(USA) Seal
 
 
             
 

Corporate engagement: background, criteria and timeline

Background

As a means of pursuing peace and the common good of Israelis and Palestinians, the 2004 General Assembly adopted a seven-part resolution that affirmed its longstanding opposition to the Israeli occupation and took action to demonstrate the depth of its conviction, instructing Mission Responsibility Through Investment (MRTI) to start a process of "phased selective divestment" consistent with General Assembly policy on responsible investing.

Criteria for selection of companies to engage

In November 2004, MRTI established criteria to guide the process of phased selective divestment. These criteria will guide MRTI as it decides which companies to engage:

  1. Multinational corporations that provide products or services to or for use by the Israeli police or military to support and maintain the occupation;
  2. Multinational corporations that provide products, services or technology of particular strategic importance to the support and maintenance of the occupation;
  3. Multinational corporations that have established facilities or operations on occupied land;
  4. Multinational corporations that provide products or services, including financial services, that contribute to the establishment, expansion or maintenance of Israeli settlements;
  5. Multinational corporations that provide products and services, including financial services, to Israelis or Palestinians who support or facilitate violent acts against innocent civilians;
  6. Multinational corporations that provide products or services, including financial services, that support or facilitate the construction of the separation barrier.
 
             
   
 

Timeline for process

 
             
  June 2004   General Assembly instructed MRTI to initiate a process of phased selective divestment of stock in U.S. corporations doing business in Israel and Palestine.  
         
  November 2004   MRTI developed criteria for assessing the impact of corporate presence in the region, including a classification system for grouping corporations by the nature of their involvement  
         
  Ongoing   MRTI reviews criteria with ecumenical partners to identify the most appropriate companies for immediate engagement.  
         
  August 2005   MRTI identifies a focused list of corporations with which to actively begin corporate engagement.  
         
  August 2005 and ongoing   MRTI will correspond with the leadership of the aforementioned corporations, expressing the concern of the General Assembly and identifying desired changes in the companies' business dealings with respect to Israel and Palestine.  
         
  August 2005 and ongoing   MRTI will seek the involvement of appropriate PC(USA) governing bodies in engaging corporate leaders.  
         
  August 2005 and ongoing   MRTI, in cooperation with the PC(USA)'s ecumenical partners, will monitor the progress of subject corporations.  
         
  September 2005, February 2006, and April 2006   MRTI may request, as appropriate, that the General Assembly Council (GAC) authorize the filing or co-filing of shareholder resolutions with subject corporations.  
         
  September 2005, February 2006, and April 2006   If MRTI is persuaded, after extensive engagement, that a particular corporation remains uncooperative or unresponsive, it will ask the GAC to ask the General Assembly to place the corporation on a divestment/proscription list.  
         
  June 2006
General Assembly
  If it receives such a request, the General Assembly will consider whether to add the corporation to the list. If it does so, it will encourage the PC(USA) Board of Pensions and the PC(USA) Foundation to comply.  
             
             
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  For more information, contact William Somplatsky-Jarman at (888) 728-7228 extension 5809 - send an email. Or write to 100 Witherspoon Street, Louisville, Kentucky 40202.  
     
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