The AGM was very interesting. It was the first AGM I have been to where they had big Islander blokes squeezed into suits, guarding the door. Bouncers at an AGM. Wow.
That said, it was all orderly and predictable except for the bit about dropping the resolutions to award Anderson and Sadler a stack of options. They said they already had the numbers to approve this award but decided not to proceed because it would not look good. Too bloody right it wouldn't.
As regards re-electing McLellan, 16 million voted in favour of this and 18 million against, plus abstainers and undirected, so naturally he got up. Wonderful system we have. Reminds of the 2000 elections in the USA.
Ray Malone said he put $6½m into AMA so you can work out what he's worth today - bugger all. I would be pissed off too if I were Mr Gloss. Don Easter, who is in the running to get up with Ray to the new Board, has a Westpac background so presumably AMA's bankers, in evaluating the new survival strategy (for that is what it is, according to the company), will be mindful of the possibility that they could get one of their own onto a new Board in the shape of Don Easter. It would also be an option to cherry-pick the old Board and retain the services of any directors who seemed OK and able to work with the new team.
As regards company feedback, I had short shrift in the lead-up to the meeting. I rang up several times and was told that no-one but Rob Allan would speak to shareholders, but I never had a call back and no-one would tell me anything.
As for the utter disgrace of not paying a div, we get an announcement of a div locked in by early September but on the very morning of the day the div is supposed to be paid, 11 weeks later, they say they are not going to do it. How crap is that? The stock still says "trading ex dividend" on my screen. How does that happen? They pull the div on the day it is supposed to be paid and the stock has been trading ex divvy for weeks.
These blokes have ruined the company and it is hard to see anyone getting anything out of it, at least in the short term. Last Friday $732 worth of stock was traded. Mr Gloss obviously does not want to see AMA flushed down the dunny because then he will lose his $6½ million. You can't let them get away with what they have presided over and say it's alright. No way.
Change the game plan and change the hands on the tiller at the same time. If Westpac will go with that, good stuff, I say.
AMA Price at posting:
3.9¢ Sentiment: Buy Disclosure: Held
