Governance News from Manifest - ISSN 1745 - 1132

Despite lobbying for online reporting, FTSE 100 companies are failing to make full use of the opportunities the internet offers for investor relations, a survey by Smiths Partnership, the consultancy, has found.

“Indeed,” commented Smiths Partnership, “some seem to be going out of their way to repel anyone seeking access to their online reports”.

The survey found that only 42% of FTSE 100 companies are providing searchable HTML annual reports – an increase of just 2% over those providing this service in 2005. Nearly half of companies do not facilitate direct navigation to a specific fact in their online reports, and Smiths Partnership suggested it could be quicker to flick through the printed version.

Aviva, the insurance group, was ranked top in the survey’s assessment of online reports, in part because it has the most best practice features, but also because it is “remarkably good” at engaging readers. BP, which came in first place for its 2005 report, has dropped to fifth: although the oil giant has remained consistent in its reporting, it has slipped down the rankings simply by standing still.

June 2007