Judd says ARH dumped him as chairman, director of Ports of Auckland

Friday 22nd May 2009

Gary Judd quit as chairman of Ports of Auckland after three years in the role, saying he was ejected by the company’s owner, Auckland Regional Holdings.

Judd said the ARH told him at the start of the month that it wanted his resignation by May 31. When he refused, the holding company removed him as a director, Judd said in a statement today. The port’s deputy chairman John Lindsay will act as chairman until a permanent replacement is found.

The ARH told Judd it “found your approach unhelpful and you have not sufficiently understood the needs of ARH as a shareholder/investor,” according to Judd’s statement.

Judd says the ARH gave him no further explanation and didn’t contact him directly to advise that he was no longer on the board.

The ARH confirmed Judd’s departure in a statement posted on its website. It said ARH chair Judith Bassett and deputy Joce Jesson visited Judd’s office yesterday to deliver the news in person but he was absent. ARH chief operating officer Peter Casey declined to make further comment.

Ports of Auckland is the biggest asset of Auckland Regional Holdings, which answers to the Auckland Regional Council. The local body structures are set to be overhauled by the government’s restructuring plans, which are to create a single Auckland Council overseeing the so-called super city.

Ports of Auckland has long contemplated an alliance with its biggest rival, Port of Tauranga, though the two companies haven’t found a way forward.

Ports of Auckland is consolidating its port operations and trimming staff numbers as the global downturn erodes revenue.

“In the absence of any explanation, I can only speculate that in fulfilling my governance responsibilities I have given the shareholder information and advice it did not wish to receive,” Judd said today.

ARH posted a net loss of $68.8 million in the six months ended Dec. 31, reflecting a writedown in the value of investment property and an unrealized loss on its diversified financial assets of $37.2 million.

Its returns from Ports of Auckland were above budget for the period, according to the ARH first-half report.The port’s net profit fell 16% to NZ$9.3 million before one-time items.

Businesswire.co.nz

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