Hugh Fletcher and Fletcher Challenge

[Speculator]

Why has there never been a comprehensive investigation by the New Zealand media into what occurred at Fletcher Challenge while Hugh Fletcher was in charge?

I believe the cost to the small NZ shareholder was in the billions. But nothing really has been investigated. Do you think that it has been orchestrated that way by people who control media and business? No one is allegeing fraud of course, just extraordinary incompetence or perhaps bad luck. I don't know. What do others think? Was someone else responsible?

[Lawso]

Spec: Have you read the book on the subject of the Fletcher Challenge turmoil? Written by an insider who recounts in particular the rows between a too-clever-by-half Hugh and his more conservative chairman. Can't find my copy. Must have lent it to someone and not got it back. Damn. But I'm sure you'll find it in a public library or a good bookshop. Forget your conspiracy theory about "people who control media". It doesn't work like that. But incompetence, blind arrogance, egotism, destruction of shareholder wealth - definitely Yes

[willy_wonker]

The funny thing is that Hugh is back on the board of TEN, thanks to RBC/GPG. But why?

[biker]

quote:Originally posted by willy_wonker

The funny thing is that Hugh is back on the board of TEN, thanks to RBC/GPG. But why?


A Board member who will sleep through the board meetings and who the rest of the Board can totally ignore,-more power to Gibbs and Moriarty.

[willy_wonker]

Biker, you mean like putting a 12 yr kid to be a compliance officer of an investment bank. Give him a desk and a jar full of mixed lollies, telling him to be quiet? ... lol

[Range Rover]

Hugh Fletcher is not on the Tenon Limited Board.

The book I think you are talking about is "The Battle of the Titans" by Bruce Wallace.

[zac]

The most overrated businessman in NZ - if it were not for the name he would have disappeared long ago. He had a major hand in the wholesale destruction of shareholder wealth (remember the ill fated Fletcher 'letter stocks').

[Lawso]

Thanks, RR. Can't find my copy so couldn't remember the details. But I thoroughly recommend it to those interested.

[biker]

quote:Originally posted by Range Rover

Hugh Fletcher is not on the Tenon Limited Board.



I think w.w. meant the Rubicon board.That's what I was refering to.

[Halebop]

quote:Originally posted by Speculator

Why has there never been a comprehensive investigation by the New Zealand media into what occurred at Fletcher Challenge while Hugh Fletcher was in charge?

I believe the cost to the small NZ shareholder was in the billions. But nothing really has been investigated. Do you think that it has been orchestrated that way by people who control media and business? No one is allegeing fraud of course, just extraordinary incompetence or perhaps bad luck. I don't know. What do others think? Was someone else responsible?


Luckily losing money is not yet a crime. I think if it were it would present a substantial disincentive to start or run a business?

Hugh Fletcher is a strategist and theorist rather than a hands on manager. Unfortunately, despite his analyitcal ways he still managed to buy a few assets at the top of their cycles. This factor was compounded by the fact that much of the exansion was debt financed, in highly cyclical and capital intensive industries. New Zealand capital markets applauded much of this expansion until good sense and bad timing set in. But Hugh would not be the first CEO to steer a company into similar straits. ...and I'm not sure bad judgement at FCL was restricted to the CEO. Remember the well respected FCL director Kerry Hoggard and his unbelievably ill judged Fletcher share purchase?

We seem a complacent bunch anyway. I've not rushed to lend new support to individuals associated with losers like Euro National, Chase and Equiticorp. But more than a few seem happy to do just that.

[mikescott]

Hugh has paid the ultimate price already - of managing to lose the empire that his family built up from scratch. That is a shame and burden he will carry for the rest of his life. [xx(]
So leave the man to his burden - we are not a nation of lynch mobs and tall poppy head choppers - or are we?[}:)]

[Speculator]

Obtained a copy of Battle of the Titans and read it last night. Gees that book is instructive on NZ business. (I now know what a "hughie" is!).

It was all going pretty well until Jennings and UK Paper. The two straws that broke the camel's back.

The loss to shareholders around $10 bn. A lot of interesting stuff I remember from school days like the lock out at Tasman and that scum Murphy as the lead union guy.

Very interesting indeed. Hugh's Statement of Purpose!!!

[willy_wonker]

quote:Originally posted by biker


quote:Originally posted by Range Rover

Hugh Fletcher is not on the Tenon Limited Board.



I think w.w. meant the Rubicon board.That's what I was refering to.


I mean RBC, which is the same beast.

So, why is Hugh on the RBC board?

[Range Rover]

Hugh Fletcher has been on the Rubicon Board since the Fletcher Challenge separation in 2001. Why not?