30 Aug 2018

Vector owner calls for chairman to leave immediately

1:06 pm on 30 August 2018

The consumer trust which controls the Auckland-based lines company Vector is moving to force out chairman Michael Stiassny.

No caption

Vector chairman Michael Stiassny Photo: Vector

Entrust owns 75 percent of Vector and earlier this year said it would not support Mr Stiassny's return to the board in elections later this year.

This has prompted Mr Stiassny to say he would stand down at the annual meeting.

Entrust chairman William Cairns said Mr Stiassny has since been acting against the interests of shareholders, pushed out the date of the annual meeting, and been spreading misinformation.

"The delay appears to be related to the trust election which suggests to us that Mr Stiassny may be hoping for a change of trustees thereby leaving open the prospect of re-election as director," Mr Cairns said.

He said Mr Stiassny's public statements about Entrust selling down its stake in Vector were false and distressing.

"Let me be clear: Entrust's shares in Vector are not for sale and we are committed to the ongoing payment of dividends to the community, based on Vector's financial performance."

Mr Stiassny said the board decided to push back the meeting, not him alone. "To suggest otherwise is offensive to my fellow directors and infers poor governance practices"

He said Entrust's call for him to step down early was "bizarre" given he was due to anyway.

Mr Cairns said Mr Stiassny has to go, and wants the special meeting to be held by 5 October.

"His behaviour has changed. Our relationship has irrevocably broken down and all trust is gone. We have lost confidence and it is now time to take action to remove him as chairman."