DIRECTORS OF CORPORATIONS – AUSTRALIA

Director Sentiment rebounds from post-pandemic low

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Original article by Roy Morgan
Market Research Update – Page: Online : 17-Apr-25

The latest director sentiment survey from the Australian Institute of Company Directors shows an improvement in both economic and business conditions for the first half of 2025. This AICD survey of 1,127 company directors was conducted by Roy Morgan between 19 February and 6 March. While the Director Sentiment Index (DSI) remains in negative territory for the sixth consecutive survey (-23.9), it has lifted nearly 10 points, the strongest improvement since 2021. Meanwhile, only 25% of directors now believe that a recession is likely within the next 12 months, compared with 46% in the second half of 2024. However, nine out of 10 directors believe that escalating trade tensions under the Trump presidency threaten the economic outlook for both Australia and the world. Global uncertainty is now the top economic challenge facing Australian businesses, surpassing productivity growth and cost of living. Concerns over global protectionism have also increased significantly.

CORPORATES
AUSTRALIAN INSTITUTE OF COMPANY DIRECTORS, ROY MORGAN LIMITED

ASX diversity guidelines face axe as new proposal emerges

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Original article by Perry Williams, Janet Albrechtsen
The Australian – Page: 13 & 19 : 19-Feb-25

Tanarra Capital founder John Wylie says the ASX Corporate Governance Council should abandon a proposal to require directors of listed companies to disclose personal information such as their sexual orientation and religious ­beliefs. He says it is a gross invasion of people’s personal privacy to have to disclose their sexual identity in order to be eligible for a board position. A number of corporate directors have released a joint statement backing Wylie’s stance. Wylie has proposed his own reforms, which include requiring directors of listed companies to stand for re-election annually rather than every three years.

CORPORATES
TANARRA CAPITAL PTY LTD, AUSTRALIAN SECURITIES EXCHANGE. CORPORATE GOVERNANCE COUNCIL

MinRes aware of claims for two years

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Original article by Elouise Fowler, Mark Wembridge, Alex Gluyas
The Australian Financial Review – Page: 13 : 30-Oct-24

Mineral Resources has advised that it had hired external lawyers in June 2022 to investigate the tax evasion allegations against MD Chris Ellison. The company also disclosed that it received more detailed allegations regarding Ellison in June and November 2023; the board also discussed the issue in June 2024. However, MinRes has stated that it did not inform shareholders of the investigation because it did not think it would have a material effect on the company’s share price. MinRes has emphasised that the sales contracts in question were struck prior to its IPO in 2006, and were made by entities that became part of MinRes when the company listed on the sharemarket.

CORPORATES
MINERAL RESOURCES LIMITED – ASX MIN

Rebuilding trust: A strategic imperative for company directors

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Original article by Roy Morgan
Market Research Update – Page: Online : 14-Aug-24

In today’s corporate landscape, trust is not discretionary – it is a critical component of business success. Yet, many Australian company directors and corporate boards struggle with the pervasive issues of distrust and moral blindness. Reversing this requires strategies that go beyond traditional metrics and governance practices. Current metrics like the Net Promoter Score (NPS) focus only on positive sentiment and only on current customers, leaving a significant gap in understanding negative feedback, including broader distrust. To bridge this gap, it is essential to measure negative sentiment. To formulate a ‘Distrust / Moral Blindness’ strategy for company directors and corporate boards in Australia, it is essential to focus on approaches that directly address the root causes of distrust and moral blindness. These include emphasising the importance of Negative Sentiment Measurement, introducing the Net Trust Score (NTS) Framework (which balances positive trust against negative distrust), cultivating a culture of accountability, and developing a Distrust Mitigation Roadmap.

CORPORATES

AICD warns of dangers from AI

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Original article by Glenda Korporaal
The Australian – Page: 18 : 12-Jun-24

The Australia Institute of Company Directors has released a new guidebook on artificial intelligence technology. Amongst other things, it advises company directors to examine the potential benefits and key risks associated with using AI within their organisation, while they should take action to ensure that the data that is being used by their company’s AI applications is ‘fit for purpose’. The AICD’s Mark Rigotti says directors may face significant commercial, reputational and regulatory damage if they lack sufficient oversight regarding the company’ use of AI.

CORPORATES
AUSTRALIAN INSTITUTE OF COMPANY DIRECTORS

Qantas pilots calls for chairman to quit

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Original article by Robyn Ironside
The Australian – Page: 5 : 26-Sep-23

The Australian & International Pilots Association has urged Qantas chairman Richard Goyder to step down in the wake of recent scandals at the airline. AIPA president Tony Lucas says pilots have lost all confidence in Goyder and the Qantas board, and the morale of pilots has never been lower. Lucas adds that it is galling that Goyder is receiving a pay rise of nearly $100,000 when he has overseen the destruction of the Qantas brand and staff are expected to accept a two-year wage freeze. Qantas announced on Monday that it will spend an additional $80m on customer improvements in 2023-24.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, AUSTRALIAN AND INTERNATIONAL PILOTS ASSOCIATION

Secret probe cleared Forrest of wrongdoing

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Original article by Brad Thompson, Peter Ker
The Australian Financial Review – Page: 15 : 17-Jul-23

It has been revealed that the board of Fortescue Metals Group engaged law firm Seyfarth Shaw to conduct a secret review into claims that executive chairman Andrew Forrest was involved in a relationship with an employee of the company. The board has advised that the investigation was instigated as a result of claims being raised in an anonymous letter, and that the investigation found that none of the claims were substantiated. The revelation of the investigation comes after Forrest and his wife Nicola recently disclosed that they have separated.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, SEYFARTH SHAW LLP

Just one in 10 ASX 200 are chaired by a woman

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Original article by Sally Patten
The Australian Financial Review – Page: 21 : 2-Jul-21

Analysis by the Australian Institute of Company Directors shows that women held 33.6 per cent of board seats at companies in the S&P/ASX 200 Index at the end of May. This compares with 30.9 per cent at the same time in 2020. However, the AICD figures also show that just 21 companies in the ASX 200 are chaired by women, compared with 18 in 2020 and 14 in the previous year. Lendlease director Nicola Wakefield Evans says action is needed to boost the number of women who chair blue-chip companies.

CORPORATES
AUSTRALIAN INSTITUTE OF COMPANY DIRECTORS, STANDARD AND POOR’S ASX 200 INDEX, LENDLEASE GROUP – ASX LLC

Directors warn of gradual recovery

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Original article by Damon Kitney, Glenda Korporaal
The Australian – Page: 13 & 17 : 4-Jan-21

The Australian Institute of Company Directors’ final sentiment survey for 2020 revealed that 80 per cent of directors expect an increase in mergers and acquisitions over the coming year. BlueScope Steel, Fortescue and Dexus director Penny Bingham-Hall has told an AICD round table forum that there is a lot of overseas money looking to "find a home" at the moment, while Amcor and ANZ director Graeme Liebelt told the forum that there was a risk that business expectations might get ahead of reality in 2021.

CORPORATES
AUSTRALIAN INSTITUTE OF COMPANY DIRECTORS, BLUESCOPE STEEL LIMITED – ASX BSL, FORTESCUE METALS GROUP LIMITED – ASX FMG, DEXUS – ASX DXS, AMCOR LIMITED – ASX AMC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, COLES GROUP LIMITED – ASX COL, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, SANTOS LIMITED – ASX STO

Crown role makes Coonan unfit to lead financial ombudsman: Labor

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Original article by John Kehoe
The Australian Financial Review – Page: 6 : 2-Nov-20

Opposition financial services spokesman Stephen Jones claims Helen Coonan’s role as chairman of the Australian Financial Complaints Authority is "untenable". Coonan is also the chairman of casino operator Crown Resorts, which is currently the subject of inquiry by the NSW Independent Liquor and Gaming Authority. Jones says Coonan should not be head of a body that determines whether financial entities have been acting with probity while at the same time trying to push off allegations that Crown’s casinos have been used for significant money laundering. Treasurer Josh Frydenberg says establishing the Authority is a "proud achievement" of the federal government, and that Coonan is a "widely respected" former MP.

CORPORATES
AUSTRALIAN FINANCIAL COMPLAINTS AUTHORITY, CROWN RESORTS LIMITED – ASX CWN, NEW SOUTH WALES. INDEPENDENT LIQUOR AND GAMING AUTHORITY