Preserving Reuters independence

Customers in all parts of the world depend on Reuters to provide them with reliable and objective news and information.

Reuters therefore has a special need to safeguard its independence and integrity and avoid any bias which may stem from control by any particular individuals or interests. Reuters share structure includes two mechanisms specifically designed to prevent this happening:

No shareholder may own 15% or more shares.

There is a single founders share, in addition to the publicly traded ordinary shares. This may be used to outvote all ordinary shares if other safeguards fail and there is an attempt to seize control of the company. “Control”, for this purpose, means 30% of the shares.

The Reuter Trust principles, which are protected by the founders share, also impose further obligations.

From Sir Frank Rogers, Chairman of the Reuter Trustees

In 1941 amid the upheavals of wartime and following wide-ranging parliamentary and public discussions, the then controlling shareholders of Reuters: The Press Association Limited and The Newspaper Publishers Association Limited, entered into an Agreement of Trust.

The Australian Associated Press and the New Zealand Press Association joined in the Reuter Trust Agreement after the two agencies became shareholders of Reuters in 1947.

In 1984 the Trustees approved the proposals for a corporate reorganisation of the company into Reuters Holdings, clearing the way for its flotation as a public limited company.

The Trustees carry out their responsibilities and obligations by discussion, usually in London, of the general administration of the Trustees.

In addition, I, and my colleagues, regularly visit Reuters establishments to meet with journalists for a discussion on the role of the Trustees. Also, we meet with Reuters managers and senior editorial staff wherever in the world we are visiting, to answer any questions we may be asked about the purposes of the Trustees and the way we operate.

In summary, the Trustees are the custodians of the Reuter Trust Principles.