South Canty pays out Maier early

Sandy Maier. Photo / Simon Baker

Corporate turnaround man Sandy Maier is no longer working for South Canterbury Finance and has been paid a confidential settlement to finish his contract early.

Maier signed up as chief executive of the ailing finance company for one year in December.

But the company was placed in receivership on August 31 after it failed to get a corporate restructure deal off the ground.

Receiver McGrathNicol's Kerryn Downey yesterday confirmed Maier was on "gardening leave" and would officially finish with the company at the end of the month.

"Technically he is still under contract, however, he went on gardening leave four or five weeks ago."

Downey said Maier had wanted to pursue his other directorships after focusing so much time on South Canterbury Finance.

"He is a turnaround guy, not really a receiver. October 31 is the end of his contract."

The Herald understands Maier had been made an offer to stay on but it was withdrawn after concerns were raised over who he was talking to about the company.

Downey said there had been a settlement payment but he could not talk about how much because it was confidential. Maier did not wish to comment.

Downey said Maier would not be replaced, although the appointment of a new chief executive had been considered.

"Really the issue is once there has been a disposal of a sizeable piece of the business there is not much of a job for a CEO. We have concluded it really is impractical under the circumstances."

Downey said it also had a competent senior management team, put in place by Maier, which could handle the running of the company.

Meanwhile, Downey yesterday named Deutsche Bank's New Zealand branch as the sales adviser for South Canterbury Finance's core finance business or what has been termed its "good bank" assets.

The business includes SCF's branch network and subsidiaries FACE Finance and Southbury Insurance.

Downey said Deutsche Bank would be in contact with those who had expressed an interest in acquiring the business in the next few weeks but a formal sales process was unlikely to start until late in the first quarter next year.

"There is a fairly lengthy preparation of sales process to go through."

SANDY MAIER
* Born in New York in 1951.
* Married to Sherry Maier, has two children and two stepchildren.
* Dual NZ/US citizenship.
* Bachelor of Arts in Spanish literature, magna cum laude with honours, Yale University. Doctor of Jurisprudence, Harvard Law School.
* Director of companies including Mighty River Power, McConnell Group and Ngai Tahu Holdings.
* Chairman of companies including Geon Group, Radius Properties and Oyster Bay Marlborough Vineyards.