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For the Record

January 04, 1985

Parsons Corp., which intends to take itself private by having its Employee Stock Ownership Plan buy 100% of its stock, has clarified the nature of voting rights for the ESOP. Plan participants currently can direct how Parsons shares allocated to their accounts should be voted at stockholder meetings. Once the buy-out takes effect, federal law no longer requires such a pass-through of voting rights in most instances. In the election of directors, federal law permits ESOP shares to be voted as deemed appropriate by the plan's administrators. A Sunday story in The Times indicated, based upon statements by the chief executive of Parsons, that ESOP participants would be able to vote on the board of directors.

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