Nevada § 78B.170 - Annual benefit report: Requirement; contents

§ 78B.170. Annual benefit report: Requirement; contents

1. A benefit corporation shall deliver to each shareholder an annual benefit report

which includes the following: (a) A narrative description of: (1) The process and rationale for selecting the third-party standard used to prepare

the benefit report; (2) The ways in which the benefit corporation pursued general public benefit during

the applicable year and the extent to which that general public benefit was created; (3) The ways in which the benefit corporation pursued any specific public benefit

identified in the articles of incorporation of the benefit corporation pursuant to NRS 78B.140 and the extent to which that specific public benefit was created; and (4) Any circumstances that have hindered the creation by the benefit corporation of

general public benefit or any specific public benefit identified in the articles of

incorporation of the benefit corporation pursuant to NRS 78B.140 . (b) An assessment of the overall social and environmental performance of the benefit

corporation, prepared in accordance with a third-party standard applied consistently

with any application of that standard in prior benefit reports or accompanied by an

explanation of the reasons for any inconsistent application. The assessment is not required to be audited or certified by a third party. (c) The statement required by NRS 78B.180 . (d) A statement of any connection between the entity that established the third-party

standard, or its directors, officers or material owners, and the benefit corporation,

or its directors, officers and material owners, including, without limitation, any

financial or governance relationship that might materially affect the credibility

of the objective assessment of the third-party standard. 2. The annual benefit report required by subsection 1 must be sent annually to each

shareholder within 120 days following the end of the fiscal year of the benefit corporation

or at the same time that the benefit corporation delivers any other annual report

to its shareholders. 3. A benefit corporation shall post all of its annual benefit reports on the public

portion of its Internet website, if any, except that the compensation paid to directors

and any financial or proprietary information included in the annual benefit report

may be omitted from the annual benefit report posted on the Internet website. 4. If a benefit corporation does not have an Internet website, the benefit corporation

must provide a copy of its most recent annual benefit report, without charge, to any

person requesting a copy. The benefit corporation may omit any proprietary or financial information, including,

without limitation, the compensation paid to directors, from the copy of an annual

benefit report that the corporation provides pursuant to this subsection.