Arrium Shareholders United (ASU)

Arrium Shareholders United Group Statements

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Arrium Shareholders United (ASU) is a group formed by shareholders including many former and current employees, suppliers, mums and dads investors following the dramatic development of the company entering into voluntarily administration due to the disputes between the board of directors and the lenders over the GSO recapitalisation proposal.
 
The main objectives of ASG include:

1. Providing a forum for all shareholders to share ideas, latest updates, Arrium related news and to participate to discussions relating to progress of the administration.

2. Lobbying the governments to introduce effective anti-steel dumping policies as well as investing in the company’s future to ensure ongoing viability of the Arrium business.

3. We do not support the use of taxpayer funding to facilitate the sale of Arrium businesses in particular to overseas interests.

4. We believe Arrium is an iconic Australian business which fulfils a very important strategic function in the Australian economy. A strong Arrium is good for all Australians by providing fair competition within the iron ore and steel industry while it remains under the ownership of a broad shareholding base. Giving control of Arrium to a competitor could create a long term detrimental impact on the Australian economy. An effectively managed Arrium with the current vertically integrated business structure will provide long term benefits for all stakeholders.

5. Working constructively and collaboratively with all stakeholders including the governments, creditors and unions to develop a workable plan and management structure including electing a capable board of directors to lead the company to a successful future.

6. We believe the shareholders should play a constructive and important role in the future of the company.

7. We believe the company should never be broken up and sold to private equities, hedge funds and foreign companies as the consequence will be detrimental to the workers and their families due to aggressive cost cutting and “profit first” mentality. A company with significant national interest should be largely owned by the Australian public including the 70,000+ existing shareholders.

8. We challenge the injustice brought against the shareholders in the administration process including lack of transparency, lack of communications and consultation. We believe the company has a viable and sustainable business and it should be handed back to a new board supported by the existing shareholders as soon as possible.