Gunns
(ASX:GNS) has a new chairman this morning after months of pressure finally put an end to John Gay’s reign at the company’s helm yesterday.
Mr Gay announced his immediate retirement from the wood-chipper's board and subsidiary companies.
He’s replacement is Chris Newman, formerly director of Gunns, Austereo, Worldwide Entertainment and Webjet.
Mr Gay joined Gunns in 1973 and has held the position of chairman since 2002.
His departure follows pressure from management and investors after seven years of failing to finalise the $2.2 billion pulp mill proposal for Tasmania’s Tamar Valley, which has been the centre of a political and local community storm for some time.
Mr Gay’s resignation also follows sustained declines in the company's share price.
The Gunns’ board and management has publically thanked Mr Gay for his dedication and contribution to the company throughout his career.
Gunns recorded a $56 million net profit in the financial year to June 30 2009 – the result was down on the two years before.
