Calpers pressing Eli Lilly on amending bylaws

SAN FRANCISCO, April 1 (Reuters) - Calpers, the biggest U.S. public pension fund, said on Wednesday it would urge fellow investors in Eli Lilly and Co (LLY.N) to again back its resolution calling on the drug company to allow amendments to its bylaws by a simple majority vote of shareowners.

Calpers, the $174 billion California Public Employees' Retirement System, said the resolution received support from 49 percent of Eli Lilly shareowners at the company's annual meeting last year and it will be up for a vote at this year's April 20 annual meeting.

Calpers says passing the nonbinding resolution would help settle an issue that landed Eli Lily on its "focus list" of underperforming companies in 2007 and 2009.

Calpers has nearly $100 million invested in Indianapolis, Indiana-based Eli Lilly.

"Last year's vote is a strong signal from shareowners that the company should change its policy, so we're pressing on with the issue," Joseph Dear, Calpers' chief investment officer, said in a statement.

"Unlike 96 percent of other companies in the S&P 500, Eli Lilly denies shareowners the right to institute bylaw amendments by any vote -- an unacceptable roadblock to good governance," Dear said.

An Eli Lilly representative was not immediately available for comment. (Editing by Carol Bishopric)