Firms with a negative ISS recommendation see significant reduction in shareholder support for their proposals and are likely to face pressure to increase support in upcoming meetings. We find that firms facing voting pressure are significantly more likely to disclose positive content in discretionary sections of Form 8-K that result in higher abnormal stock returns in the months prior to the shareholder meeting. The 8-Ks with good news in discretionary sections, filed prior to the shareholder meeting, are associated with higher support for management proposals in upcoming meetings. Finally, this selective filing of 8-Ks with good news is higher when investors are distracted and lower for family firms. The results point to understudied effect of ISS voting recommendation on firm's selective disclosure.

ISS 建议为负面的公司看到股东对其提案的支持显着减少，并且可能面临在即将举行的会议上增加支持的压力。我们发现，面临投票压力的公司更有可能在 8-K 表格的可自由支配部分披露正面内容，从而在股东大会之前的几个月内导致更高的异常股票回报。在股东大会之前提交的可自由支配部分带有好消息的 8-K 与在即将举行的会议中对管理层提案的更高支持有关。最后，当投资者分心时，这种选择性地提交带有好消息的 8-Ks 会更高，而对于家族企业则更低。结果表明 ISS 投票建议对公司选择性披露的影响尚未得到充分研究。