Stewart Information Services Corporation Under Investor Investigation

If you are a current long term investor in Stewart Information Services Corporation (NYSE: STC) stock and/or if you have any information relating the investigation including whistleblowers and former employees, you have certain options and you should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this investigation, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Stewart Information Services
Affected Securities: 
NYSE: STC

An investigation on behalf of current long term investors in shares of Stewart Information Services Corp. (NYSE:STC) concerning possible breaches of fiduciary duties related to potential excessive compensation that was awarded to certain senior officers and executives at Stewart Information Services Corporation was announced.

The investigation by a law firm focuses on whether the directors and officers of Stewart Information Services Corp. harmed the company by breaching their fiduciary duties to shareholders. In particular the investigation on behalf of current long term investors in Stewart Information Services (NYSE:STC) focuses on possible shareholder claims that certain of Stewart Information Services’ senior officers and executive were unjustly enriched through their receipt of unwarranted, excessive or unearned compensation in past years.

Stewart Information Services CEOs’ pay rose from about $712,000 in 2007 to $1.26million in 2010, respectively from $689,000 in 07 to $1.232million in 2010, and its CFO’s compensation increased from roughly $127,000 in 2008 to $589,000 in 2010.

However, Stewart Information Services’ shareholders recently expressed their disdain for executive pay packages by voting “no” on Stewart Information Services' say on pay provision. Stewart Information Services Corporation received only 47.8% support for its pay practices at its April 29 annual meeting, according to a company filing.

The investigation concerns possible claims that the prior compensation awarded at Stewart Information Services Corporation is improper based upon its current operating condition.

Stewart Information Services’ 12months Total Revenue declined from $2.1billion in 2007 to $1.67billion in 2010. In 2008 Stewart Information Services Corp. reported a substantial Net Loss of $247.46million.

Stewart Information Services Corporation shares NYSE:STC fell from as high as over $40 per share in 07 to recently under $10 per share.

The investigation seeks to determine whether certain senior officers and executives at Stewart Information Services Corporation were awarded salaries, bonuses, stock options and other forms of long-term, ‘incentive’ or retirement compensation that were excessive or unwarranted based on the Stewart Information Services’ performance as compared to what senior officers and executives at comparable companies were making and/or results that were fraudulent, misleading or not long-lasting.

Finally the investigation focuses also on possible shareholder claims that would allow NYSE:STC stockholders to more efficiently influence or control future compensation decisions at Stewart Information Services Corporation.