At least one Saskatchewan Wheat Pool shareholder thinks those who hold Class B shares should have a say in what assets the company keeps or sells.
During last week’s annual shareholders meeting, a written question submitted to president Marvin Wiens asked why Class B shareholders haven’t had that opportunity.
The authors of written shareholder questions are not revealed at these meetings.
The preamble to the question said Class B shareholders have the right to vote on amalgamation or the sale, lease or exchange of pool property “other than in the ordinary course of business.”
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“I suggest that the continuous announcement of asset sales is not the ordinary course of business,” said the question, read by Wiens.
The questioner went on to say Sask Pool is realizing only 60 cents of each dollar invested on the asset sales, and the sales are significantly eroding shareholder equity.
“Why wasn’t a vote of the Class B shareholders held to approve the refinancing terms, given the sizeable asset sales that have been required?”
Wiens said the company has repeatedly stated it is going to focus on its core business of handling grain and marketing agricultural products to return to profitability.
“The sale of assets in that process to reduce debt is not an issue that does need a Class B vote,” he said.
