Persistence pays off in engaging with Xylem on the water privatization front

EIG made numerous attempts over the past year and a half to communicate with Matthew Latino, Director, Investor Relations, at Xylem (see earlier blog post). EIG’s persistence paid off. In October 2019, Mr Latino apologized for the lack of response to EIG’s enquiries, and provided clarification on the three points raised by EIG:

• How does Xylem support the UN Sustainable Development Goal on clean water and sanitation (SDG6)?
• What is Xylem’s position is on privatization of water?
• Has Xylem been involved in lobbying for deregulation of water supply?

Mr. Latino shared Xylem’s 2018 report, which:

1. contained its 2025 “Signature Goals”, among which is the goal to provide “clean water and sanitation solutions for at least 20 million people living at the base of the global economic pyramid”;
2. showed progress towards its own 2019 sustainability goals, as well as toward the 17 SDGs, especially SDG 6. In fact, Xylem plans to help achieve the SDGs in two main ways: by launching innovative solutions to water issues for the world’s poorest and delivering clean drinking-water systems and disaster response to communities with severe water challenges; and by offering innovative drinking water, and wastewater and stormwater solutions so utilities can provide cost-efficient water and energy to improve community health and safety. 

In terms of privatization of the water supply, Mr. Latino confirmed that Xylem has not been involved in any lobbying for deregulation of privatization of water utilities in the United States . He affirmed that Xylem respects communities’ decisions relating to water governance.

For more details, see our website.

EIG engages with companies in which it is a shareholder by writing letters to upper management on issues of concern. As investors, we feel our voices should be heard.