Stakeholder, legitimacy and signaling theory to Encourage company reported the company's activity and accounting information.In addition, some paper company in Riau protests from the local community with regard to industrial waste and environmental pollution (Ikhsan: 2005). Major Indrayon core in North Sumatra terminated operations because of environmental and social issues around the surrounding industrial (Kholis: 2002). Many companies that went bankrupt as a result of the environmental impact in its operations. Phenomenon occurs: Research conducted by Dunlap and Scarce (1991) stated that based on the results of the survey, the public view of business activity and the company as a major contributor to environmental problems that occur at this time.The program "sustainable development" by the government demanded the company as one of the agents of development, to preserve the environment. Performance of the company is not only judged by the amount of profit the company alone, because in fact there are other considerations that social and environmental obligations (Holmes: 1976, Oslund: 1977 in Tilt: 2001). The increasing complexity of business, making greater demands on the company. Investors interested in the company's financial condition that affects the company's ability to pay dividends and avoid bankruptcy (James C. Information can reduce the uncertainties that occur, so that the decision taken is expected to be in accordance with the objectives to be achieved (Fatmawati and Asri, 1999).
Capital market participants need information in making investment decisions.