Australian Shareholders Association Call For Billabong Founder To Be 'Dumped'
Surfwear retailer Billabong has appointed former fashion exec Ian Pollard as chair elect to "guide a turnaround," according to Colin Kruger of the SYDNEY MORNING HERALD. Billabong, however, may still "find itself short of board members" following its shareholder meeting this month, with investor advocates "recommending that at least two directors be dumped." The Australian Shareholders Association has recommended that Billabong Founder Gordon Merchant and Non-Exec Dir Colette Paul be "dumped for their role in rejecting a $3.30-a-share offer" from private equity group TPG. The ASA said in a report on its website: "Not to sell or refusal to negotiate cost both him and all shareholders very dearly. In his position as a Director, he should have known the perilous financial position the company was in and acted accordingly. His failure to do so no longer gives him the right to continue as a Director" (SMH, 10/9).