Brambles investors attack dual listing

TROUBLED logistics group Brambles faced shareholder unrest at its annual meeting in Sydney today for failing to deliver since its A$20bn (£8.5bn) dual stock market listing in Britain and Australia two years ago.

The company posted a 39% slump in net profit to A$330m, due mainly to the poor performance of its Chep pallets business in the US and Europe.

Dissenting shareholder Jack Tilburn blamed chairman Don Argus for the company's woes, claiming the dual-listed company structure was a disaster. Argus said the company's dual listing had not triggered Brambles' problems, but in fact had helped to uncover operating issues at the Chep business. He insisted the dual listing was in the best interests of UK and Australian shareholders.

He said: 'Certain commentators have criticised the structure, suggested that it limited shareholder rights and that it stopped any chance of a takeover. Clearly shareholder interests are not compromised by the structure - in fact they are enhanced.'

Argus admitted the group's performance and returns over the past two years were 'simply not good enough', but defended a 55% pay rise for new chief executive David Turner, who replaced Sir CK Chow. He is to get £1.09m in 2004 and £1.13m in the year starting in 2005, linked to performance.

Argus said: 'I'm sure you will pay tribute to Mr Turner when he turns things around.'