Gina Rinehart appeals to Fairfax retail shareholders
08 Aug 2012
The world's richest woman, Australian mining baroness, Gina Rinehart it taking her fight for the struggling media, Fairfax to the company's retail shareholders.
In a letter from John Klepec, chief development officer at Rinehart's Hancock Prospecting, that Fairfax shareholders received yesterday, she claimed she "never sought control of Fairfax Media" despite pushing for seats on its board.
"We have only requested two directors and an experienced independent director which, even if combined, is clearly a minority position on the board," the letter says, according to a report in the Australian Financial Review today.
Rinehart has enjoyed significant success in her moves on Fairfax, with the recent appointment of fast food baron and Rinehart ally Jack Cowin to the company's board.
The letter to Fairfax investors calls for support to force chairman Roger Corbett to agree to performance targets, allow board members a choice on signing the company's charter or independence and to grant Hancock one more board seat.
The letter also calls on Fairfax get "technological savvy" in order to survive in modern media. Hancock, the biggest shareholder in Fairfax has a 14.9 per cent stake in the company
Corbett insists though that Rinehart sign the editorial charter and abide by governance policies that include not suing directors. Her demands have also been rejected by Corbett.