2003 News Releases

2003 News Releases

Overview
News release

CalSTRS Selects New Deputy CEO for Administrative Services

SACRAMENTO – The California State Teachers’ Retirement System has announced the selection of Christine Ford as the Deputy Chief Executive Officer for Administrative Services. Ford, a certified public accountant and former auditor who is currently a deputy director at the California Department of Aging, will begin her new position at the nation’s third-largest public pension fund on January 19, 2004.

News release

Help CalSTRS Break Down the Barriers to the Board Room
CalSTRS has already spoken out in support of corporate reform. Now it’s your turn.

The Securities and Exchange Commission needs to hear from California’s educators – the individual shareholders of the CalSTRS investment portfolio – in regard to rule S7-19-03, which gives shareholders the right to nominate their own candidates to replace unresponsive and irresponsible board members during elections. Simple logic dictates that, faced with the possibility of removal, directors will be forced to pay greater attention to the issues that matter to shareholders.

News release

CalSTRS Terminates Putnam Investments

Sacramento, CA – The California State Teachers’ Retirement System announced today it has terminated its relationship with Putnam Investments.

Putnam has recently come under scrutiny for failing to act when its compliance office reported improper trading activities. Although the infractions did not directly affect the CalSTRS portfolio, CalSTRS Chief Investment Officer Christopher Ailman said at today’s Investment Committee meeting he has concluded there were other fund managers who could better service the account.

News release

CalSTRS Selects Firms for Developing Manager Program

Sacramento, CA – The California State Teachers’ Retirement System has announced the selection of three investment management firms for its newly established External Equities Developing Manager Program: FIS Funds Management, Inc., of Philadelphia, Penn.; Northern Trust Global Advisors, Inc., of San Francisco; and Russell Investment Group of Tacoma, Wash.

 

News release

CalSTRS Urges SEC to Intervene in NYSE Reform Proposal

Sacramento, CA – The California State Teachers’ Retirement System today sent a letter to the Securities and Exchange Commission criticizing the reform proposal for the New York Stock Exchange that was recently approved by NYSE members. The proposal is now facing review by the SEC, which has the power to ultimately ratify or reject it.

 

News release

New Board Member Appointed to California Teachers’ Pension System

SACRAMENTO — Governor Gray Davis has named Silvia Saucedo as a member of the Teachers’ Retirement Board. Saucedo was appointed to the public representative seat on the 12-member governing body for the California State Teachers’ Retirement System.

Saucedo is an attorney for the law firm of Allen, Matkins, Leck, Gamble & Mallory, LLP, in downtown Los Angeles. She specializes in real estate and land use.

News release

Statement from CalSTRS Board on Putnam

Sacramento, CA – Christopher J. Ailman, Chief Investment Officer, California State Teachers’ Retirement System, issued the following statement regarding the discussion held today by the Teachers’ Retirement Board about CalSTRS’ relationship with Putnam Investments:

“The Board expressed its deep concern regarding recent events at Putnam Investments and directed investment staff and the Board’s investment consultant to expeditiously determine whether CalSTRS’ existing relationship with Putnam is in the best interests of the System.”

News release

CalSTRS Announces Retirement Incentive Programs

A new law provides retirement incentives that increase monthly benefits for members of the CalSTRS Defined Benefit (DB) Program retiring from school districts that agree to offer the benefit. These two retirement incentive programs would increase either one or two of the elements used in calculating your CalSTRS service retirement benefit.

The law, Chapter 313, Statutes of 2003 (AB 1207—Corbett), allows an eligible member employed by a participating district to receive either:

News release

CalSTRS Files Suit to Restore Retiree Funding

The California State Teachers’ Retirement System has filed a lawsuit against the state to restore a $500 million contribution cut in Senate Bill 20x. The contribution supports supplemental payments made to approximately 63,000 retired educators and their survivors. These quarterly payments are made when inflation erodes a recipient’s monthly benefit below 80 percent of its original consumer purchasing power.

News release

Statement by CalSTRS Chief Executive Officer Jack Ehnes on the SEC’s Proposed Rule for Granting Shareholders Access to the Proxy

The Securities and Exchange Commission took a major step today in recognizing that shareholders have a fundamental right to have access to the proxy. However, questions remain as to the triggers that are being proposed; we need triggers that are responsive to the corporate crises of the past year, and we must define appropriate threshold s for these triggering events. The final rule should be sensitive to the very issues concerning corporate financial malfeasance that have plagued our markets.

News release

CalSTRS Delivers Recommendations for Governance Change to NYSE

Sacramento, CA – The California State Teachers’ Retirement System has called for a reform of the current governance structure of the New York Stock Exchange in a letter sent to H. Carl McCall and Leon Panetta, the co-chairs of the Special Committee on Governance for the Exchange.

 

Jack Ehnes, CalSTRS chief executive officer and signer of the letter, outlined recommendations for reform in the areas of board independence, committee structure, regulatory responsibilities and transparency. The recommendations include:

News release

CALSTRS INVESTMENT IN CALIFORNIA TOPS $2 BILLION
Program Targets Underserved Urban and Rural Communities, Promotes Economic Growth in State

SACRAMENTO – The California State Teachers’ Retirement System has surpassed the $2 billion mark for investing in the state’s urban and rural communities to help promote economic growth.

As of June 30, CalSTRS investments in these communities totaled $2.08 billion, or more than 2 percent of the system’s approximately $100 billion pension fund. This milestone is the first time CalSTRS has exceeded its goal of putting 2 percent of its investment into California’s emerging communities.

News release

California Teachers’ Pension Fund Earns 3.4 Percent for the Year

SACRAMENTO—In another sign the economy is on the rebound, the California State Teachers’ Retirement System recorded its first positive portfolio return in three years. The nation’s third largest public pension fund posted a 3.4 percent return, with assets totaling $100 billion, for the fiscal year ending June 30.

News release

CalSTRS Calls on Shareholders to Support SEC’s Rules Study (Changes Would Give Shareholders Tool to Influence Corporate Governance)

Sacramento, CA – The California State Teachers’ Retirement System today called on its members and other shareholders to join it in supporting the Securities and Exchange Commission’s upcoming study of proxy rules. The SEC is soliciting public views through June 13.To assist interested parties in e-mailing comments to the SEC, CalSTRS posted a suggested message and submission instructions on its Web site, www.calstrs.ca.gov.

 

News release

CalSTRS Seeks Fund-of-Funds Private Equity Managers for $100 Million New and Next Generation Managers Program

Sacramento, CA – The California State Teachers’ Retirement System today launched a search for one or two fund-of-funds managers to invest in a $100 million portfolio of private equity new and next generation managers. Final filing date for investment offerings is July 7. A copy of the Private Equity Investment Search document is available in the Investments section of the CalSTRS Web site, www.calstrs.ca.gov.