Asciano shareholders sizzle at boss bonus after US$926.4 million loss

THE Asciano Group registered a first quarter 2010-11 net loss before tax of A$948.9 million (US$926.4 million) on the back of a 1.3 per cent slide in container lifts compared with the same period last year.

Unhappy shareholders delivered a "stinging rebuke" to the company over a A$900,000 bonus to be paid to the chief executive, reported the Sydney Morning Herald, with more than 40 per cent voting to reject the remuneration package, the highest 'No vote 'Asciano has had in three years, beating 2008's 32 per cent and last year's 10 per cent.

Speaking at the company's annual meeting in Melbourne, CEO Mark Rowsthorn admitted results were "mixed" but cited strong growth from base customers being offset by the loss of a key customer.

"We expect volumes for the second quarter (of 2010/11) to reflect the normal seasonal uplift," said Mr Rowsthorn, according to Lloyd's List.

Investors also expressed anger at the meeting because the company, spun out of Toll in 2007, had not paid a dividend while paying Mr Rowsthorn A$3.8 million last year.

Not happy, Australian Shareholders Association spokesman Robert O'Brien told the meeting: "Shareholders have got nothing in the way of dividends and they see the CEO getting more than $300,000 a month. In future, let's try and balance it out more."

Source: SchedNet