Tower Australia: performance shares spat

The life insurance company Tower Australia Group Ltd, held its AGM on 11 February 209 and saw significant opposition from shareholders on resolution to approve the grant of 250,000 performance share rights to MD, Jim Minto.  Australian companies are required to seek approval annually for any grants proposed to be made to the executive directors.

The awards to Minto, who was appointed as Managing Director in November 2006, will vest subject to three year straight line progressive growth in the Company’s underlying profit for the period up to 30 September 2010. More than 5.5 million performance share rights were previously granted to Minto in February 2007.

Some 34.5% of shareholders voting against the resolution. Further details of the voting and other recent contentious votes are available on Manifest VoteWatch.

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