Examples of written AGM questions butchered by questions wrangler
July 30, 2024
Examples of written AGM questions butchered by questions wrangler.
Scentre Group 2022
As this transcript demonstrates, Scentre Group chair butchered most of my questions at the 2022 AGM and you can see the text of what was submitted here. In terms of a couple of specific examples:
Written question submitted: "When disclosing the outcome of voting on all resolutions today, including this proposed grant of performance rights, could you please advise the ASX how many shareholders voted for and against each item, similar to what happens with a scheme of arrangement? This will provide a better gauge of retail shareholder sentiment on all resolutions and was a disclosure initiative adopted by the likes of Metcash, Altium and Dexus after their 2021 AGMs."
Chair Brian Schwarz's summary of question and answer: So
the first question, I'm just reading them as we go. The first question is, in fact, a procedural
question, wanting to know “how many shareholders voted for and against each
item, similar to what happens” elsewhere.
We hear the comment. We do
provide a fair amount of information to the market. We will have a look at it. We only got these questions, in fact,
yesterday, and again, I appreciative that we did get them before the
meeting. But clearly that is something
that we will need to look at. I think
that whilst there are a couple of companies that do it that way, the
overwhelming majority of companies actually do it the way we did, but we will
look at that each issue of additional disclosure.
Written question submitted: Scentre Group shares closed at $3.07 last night giving us a market capitalisation of $16.1 billion, yet we claim to have net assets of $19.2 billion. Could auditor Megan Watson comment on why her approved valuation of the assets is so different to the market's. If we are so confident about our $34 billion book value for our 42 properties, why don't we sell off some assets at book value or above to prove that the market is wrong? Could the chair and CEO join with the auditor in commenting on this ongoing material trading discount to NTA ever since COVID hit and online retail took off.
Chair Brian Schwarz's summary of question and answer: Then
the next question is about the share price “closing at $3.07 last night, the
market cap of $16 billion and net assets of $19.2. We claim to have net assets of $19.2.” I think it's fair to say we do have net
assets of $19.2. “Could auditor Megan
Wilson comment on why her approved valuation of the assets is so different to
the market's?”
I
know that Megan would love to talk about the share price but it's not what
auditors do. And as for the rest, I
think it's just worth pointing out that valuations, all assets are valued each
year and each year they are valued independently, independently of us and
independently of the auditors and the auditors then review those
valuations. They are based on a series
of assumptions, you would have to assume, and your question, I think, leads to
that. But they are conservative
assumptions because the market values reflect, not the market values, the share
market value and I think that the question goes on to say, “shouldn't we sell
some assets to prove the values?” I
think that would not be a good way of running our business, if we bought and sold
assets to prove up values in the balance sheet. Suffice to say there've been a lot of
transactions that have occurred in the last number of years. Some very big assets and that's what they
did. They do prove up values, but it's
but one measure of the value of the company.
Reece 2023
Written question submitted: Could independent chair Tim Poole please comment as to whether he ever intends to serve on this board again in a role other than chair and when we are likely to see his departure from the role so that CEO Peter Wilson can take over as executive chair? The vague timeline today citing "coming years" is most unusual. Can Tim cite another company which has flagged the departure of its independent chair multiple years ahead of it happening?
Answer: The italicised last sentence was censored by questions wrangler Chantelle. Tim Poole said it was deliberately vague because no timeline had been confirmed and they had not talked about whether he would resign once no longer chair. Watch video of exchange via Twitter.
Yancoal, 2024
Written question submitted: Geoff Raby was Australia's ambassador to China. Now he's working for a China-controlled ASX listed coal miner. Given the deteriorating relationship between the Australian and Chinese Governments in recent years, is he comfortable continuing to serve on this board. Has he been pressured by his old colleagues at DFAT to exit?
Answer: question wrangler butchered this one due to the China sensitivities but then the response showered praise on Dr Raby, who wasn't at the AGM because he was in China. Listen to audio of exchange via Twitter, although apologies I didn't capture the actual butchering and they don't have a copy of the webcast on their website.
Bluebet 2024
Written question submitted: Why did Matthew Tripp want to become our non-independent chair as of January 1, 2025, how much will be be paid for this role and why didn't we opt for an independent chair to take us forward? Was it a case of the largest shareholder being entitled to chair the company? Has Mr Tripp ever done the AICD director's course, like 65,000 other Australians?
What was read out by Laura: "Mr Mayne his question is regarding the future chairmanship of the company from January 1st, 2025. He would just like a better understanding of the choice for Matthew Tripp to be a non-independent chair and why the company didn't choose to opt to have an independent chair going forward. Um, I think, further, he has a query regarding, sort of, Mr Tripp's qualifications as a director."
Answer: this one was butchered by question wrangler Laura but Michael Sullivan stressed that he's the executive chairman of Melbourne Storm which is very successful. Listen to audio of exchange via Twitter.
Eagers Automotive 2024
Written question submitted: Could Nick Politis disclose how large his residual privately owned car dealership business is after the two transactions in the ACT and Melbourne totalling around $450m over the past 3 years. Are any more related party transactions proposals in prospect? Also, has Mr Politis pledged any of his 28% stake in Eagers Automotive to financiers of his private automotive operations or have all debts been extinguished by the recent largely cash transactions with our company?
What was read out by James: "In the past 3 years there have been a number of related party transactions with Mr Politis in the ACT and Melbourne totalling around $450 million. Are any more related party transactions under consideration?"
Answer: The question was badly butchered, so much so that Mr Politis didn't say a word and chair Tim Crommelin just said that he adds enormous value and no further related party transactions are planned. Watch video of exchange via Twitter.
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