There’s still no shortage of media reports on calls by major shareholders in Gunns
(ASX:GNS) for chairman John Gay to quit the wood chip company.
Many institutional shareholders are reportedly tired and angry, and want to continue with a recently announced restructure of Gunns without Mr Gay.
Mr Gay has been at the group for 40 years and has made it clear he will not resign. He’s also denied reports that he’s been given a deadline as early as April to step aside.
Last month, Gunns reported a 98 per cent drop in half-year net profit, mostly because of low woodchip prices.
The Australian Financial Review reports that that calls for Mr Gay’s resignation relate to him taking responsibility for the company’s performance.
Gunns reported a $56 million net profit in 2009, which was down on the two years before.
