May 10 (Reuters) - California Treasurer Fiona Ma, a

board member of the U.S. state's two big pension systems, on

Friday urged both to cast votes against two Exxon

directors because of the energy company's unusual lawsuit

against small investors.

Exxon filed the suit in January seeking to block a

shareholder climate resolution, sidestepping the usual

regulatory process to fend off activist measures. The filers

withdrew the resolution, but Exxon continued the suit seeking

legal costs and other relief.

Activist investors say the suit threatens shareholder

influence. Some are campaigning for votes against two directors

at Exxon's May 29 online-only annual meeting, CEO Darren Woods

and Lead Independent Director Joseph Hooley.

In statements sent by a representative on Friday, Ma said

both the California Public Employees' Retirement System and the

California State Teachers' Retirement System should cast their

votes against both directors over the matter.

"Exxon's actions are a serious threat to shareholder rights

and require a strong response," Ma said. The systems "have a

responsibility lead on issues that threaten to undermine

shareowners," she said.

CalPERS and CalSTRS together own more than 14 million Exxon

shares in Exxon. Their votes are determined by their staffs. So

far neither has said how they will vote, although CalPERS

leaders have urged Exxon to drop the suit.

Asked about Ma's comments, a CalPERS representative said via

email that "CalPERS continues to have discussions about

ExxonMobil's ( XOM ) unprecedented actions, including with our board

members. We will continue to speak out in opposition to the

company's legal action and consider the best steps to take to

ensure our voice is heard."

CalSTRS did not immediately comment.

Exxon has said the resolution filers hope to constrain its

business rather than increase shareholder value, and wants

regulators to review what motions can come to vote.

In a statement Exxon said that "The U.S. system for

shareholder access is the best in the world. To make sure it

stays that way, the rules must be enforced or the abuse by

activists masquerading as shareholders will continue threatening

the system. By telling people to vote against our board, these

groups are making it clear they support continued abuse of the

system."