By PAULA OLIVER
A small group of passionate shareholders raised the tone of Carter Holt Harvey's annual meeting yesterday, when they pleaded for higher dividends to provide them with an incentive to stick with the company.
But chairman Sir Wilson Whineray and chief executive Chris Liddell stressed that the high percentage payouts of previous years would not continue until they were sure the company had turned the corner from its earlier dark days.
"Whilst we have been under pressure from some market analysts to immediately distribute some of the funds from our Chilean sale, this strength is something I believe we should jealously protect," Mr Liddell said.
Carter Holt's first-quarter result, announced last week, showed record net sales of $951 million, up from $733 million last year.
Sir Wilson told shareholders that the company would review its dividend if the first-quarter success continued throughout the year. But for now, it was focused on identifying smart investment opportunities, and consolidating the growth.
Veteran shareholder Max Gunn and fellow speaker Richard Forbes questioned how much protection small shareholders had if International Paper, which owns 51 per cent of Carter Holt, decided to lift its stake to 90 per cent.
"I ask you not only to talk the talk, but walk the walk with dividends," Mr Forbes said. "You want us to hang on, but you give us nothing as an incentive."
Mr Liddell later met protesting Tokoroa sawmill workers outside the Ellerslie Convention Centre, after their grievances had been aired during the shareholders' meeting.
A group of about 30 mill workers held placards and distributed flyers outside the venue, and spokesman Robert Popata said they enjoyed considerable support from shareholders.
The dispute over redundancies at Tokoroa began more than two months ago, and has reached the Employment Court.
Mr Popata said the group received positive feedback from Mr Liddell, and he hoped progress could be made at a meeting next week.
Share the wealth, shareholders tell CHH
AdvertisementAdvertise with NZME.