CalPERS and CalSTRS would be required to divest from companies with ties to the energy and defense sectors in Iran if Gov. Arnold Schwarzenegger signs legislation the California state Senate passed on Thursday, said Chip Englander, chief of staff for Assemblyman Joel Anderson, who wrote the bill. The bill requires the $247.7 billion California Public Employees Retirement System and the $169 billion California State Teachers Retirement System, both in Sacramento, to divest stocks totaling about $2 billion and $1.4 billion, respectively.
Mr. Schwarzenegger has until Oct. 14 to sign the bill. A call to the governors office was not returned before press time.