21/11/2011 - 11:24

Heat on Heron over executive pay

21/11/2011 - 11:24


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Heat on Heron over executive pay
INTO THE FIRE: New Heron Resources managing director Jonathan Shellabear took over the helm of the company in June.

Heron Resources has become the fourth prominent Western Australian company to draw the ire of its shareholders with regard to its remuneration report.

At Heron’s annual meeting held on Wednesday last week, 60 per cent (24.9 million votes) of those who voted on the company’s remuneration report opposed it.

Just over 16 million votes (40 per cent) were received in favour of the report.

But shareholders chose not to vote in droves, with more than 80 million abstain votes received.

Heron Resources chairman Craig Readhead adjourned Wednesday’s meeting until Friday, which led to an updated poll result.

At Friday’s meeting, Heron was able to find another 14 million shareholder votes to support its position, taking it to 30.4 million votes, or 55 per cent of the vote, opposed to 24.9 million shareholders (45 per cent) who voted no to the report.

Again, more than 81 million votes were recorded as abstained.

According to Heron’s remuneration report contained in its end-of-financial year results, managing director Jonathan Shellabear is in line for a base salary of $475,000, with potential annual bonuses of up to 50 per cent of that for “outstanding performance”.

Over FY2011, founding managing director Ian Buchhorn took home more than $1.6 million in cash and options, while former managing director Matthew Longworth, who stepped down in April, received more than $1.2 million in cash and options.

The vote at Heron follows shareholders at car dealer network AHG, construction and contracting group Emeco and transportable housing firm Fleetwood Corporation doling out remuneration strikes last week.

Heron’s stock last traded at 18.5 cents.




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