New rulebook huge boost for Dairygold
The decisions taken at annual and general meetings of the society held at Cork Racecourse Mallow are a huge boost for the dairy giant as it restructures itself to meet future challenges. Dairygold described the support at the meetings, which lasted nearly four hours, as overwhelming in a turnout of 2,575 shareholders.
It said a proposal for a vote of no confidence in the board was sidelined when shareholders instead voted confidence in the directors with only eight members objecting. The vote in favour of adopting a new rulebook for the Society was "virtually unanimous".
Dairygold chairman John Walsh said the outcome confirmed a very strong mandate for the co-op to drive forward its programme to deliver on its future potential. Chief executive Jerry Henchy told shareholders it was time to send a message to its competitors, suppliers, customers and every other stakeholder in the business that Dairygold stands united and will not waver in its course.
"Let's move forward together, with our sights set firmly on the future. Let's show the world that Dairygold is set to become one of the most successful dairy businesses in Europe," he said.
"There is evidence of a new and growing confidence in our capacity to succeed in dealing with the internal and external challenges, which confronts us," he added.
Donal Cashman, president of ICOS, the co-op's umbrella body, welcomed the outcome, particularly, an initiative in the rules to ensure the fuller participation of younger farmers as members and shareholders.
Shareholders known as the Option B Group had called for the rejection of the proposed rule changes and had also submitted a motion of no confidence in the co-op's 10-man board of directors, which included a call to have them removed from office.
Sean Keating, a spokesman for the group, criticised the procedures adopted at the meetings.
He said shareholders were not granted a secret ballot and there was insufficient time allocated to discuss the proposed rule changes properly. Mr Keating said shareholders were not given any opportunity to ask for the legal opinion on why they were not allowed to bring amendments to the proposed rules.
Neither were they given basic shareholder rights to move a motion of no confidence in the board.
Instead, it was turned into a vote of confidence, he said. Last night, Deputy Ned O'Keeffe, a member of the co-op's general committee, described the procedures at the meetings as "most undemocratic".
But a spokesman for Dairygold said the democratic wishes of the shareholders was loudly reflected in the conduct and outcome of the meetings.
