Member Info for southcoastbather

Interesting .....

https://www.retailgazette.co.uk/blog/2021/05/boohoo-co-founder-carol-kane-faces-shareholder-revolt/

// Advisory group says a Boohoo board incentive scheme could lead to “excessive payouts”

// Glass Lewis is advising shareholders to block the re-appointment of co-founder Carol Kane

Influential shareholder advisory group Glass Lewis urged City investors to block the reappointment of Kane to Boohoo’s board, citing concerns about high pay and her “direct role” in the “inadequate governance practices” regarding the Leicester factories that make the online retailer’s clothes.

Earlier this month, Boohoo increased the base salary of Kane and her co-founder – and current chairman – Mahmud Kamani by 3.5 per cent to £450,000 in the financial year to February 28.

Both are also each eligible for a £50 million bonus if Boohoo’s market capitalisation hits £7.5 billion by June 2023. It is currently at £4 billion.

An additional £50 million worth of bonuses would be paid out between 15 key directors if Boohoo’s market valuation hits its target.

However, Glass Lewis advised shareholders to vote against Boohoo’s remuneration report.

Hahaha Magnum.... oh "Dad" is definitely reading this board also..... Screen shots of posts on here are being sent about...

Yea rylee we can all see Dans video clips....

Do us a favour and pop a little note on Mahmuds desk... SHAREHOLDERS WANT TO SEE THE NUMBERS...

when you spend 480 million of cash (180 of it going back to your family trust) and drive the company into 150 million of dept you had better have a credible plan... an you had better let shareholders know what it is!!

had there been a mention of how they will stem the losses and shrinking revenue of the main brands??

debenhams last year did 400 million gmv for a profit of 5 million quid.... even if they grew debenhams to 8 billion gmv it would only make 100 million profit - that is not highly profitable as dan stated in his video

boohoo group was making 100 million profit on 1 billion revenue before they ****ed it all up!

debenhams cannot save this company - thats a fact.

Its getting more obvious by the day that the problem is Kamani.... (if it wasn't already obvious)

Mike is doing the right thing and agreeing to what he should be according to the law and market rules.

If kamani really wanted to show his interest in satisfying shareholders concerns, he would have appointed a completely new executive director to the board - A proper well know city guy.

Or appointed an independent chairman from the city - not just bumped up his buddy from the remuneration committee that agrees to any bonus they ask.

(How has the remuneration committee not been broken up after the fiasco earlier this year)

The current numbers are clearly rubbish, because if they weren't then the company would release them and say "look its going in the right direction"

The thing tickles me is come the 21s January, if both Mikes are voted against and Kamani is voted to stay in post..... They will unload the dogpoo results a week or so after and go into complete radio silence and it will be as if the last 2 months of choices never happened...all the posters on here will be bleating about no company updates

Then within 2 years Mike will really pick up pieces for peanuts... Not stupid cheap though as he will need to outbid the kamanis in the administrators sale of the assets..

Voting forms have just landed to vote on kamani...

They have backed him....

They have met with him and said they were impressed by him....

People thinking that the Mikes are going to get board seats and overrule the chairman and ceo are just mental - they literally don't even know how it works.

Jogger - whats my agenda??

People need to vote what they believe is the best thing for them.

What ever your view is it doesn't make the facts i have posted untrue.

If there are no brand or properties sold then this company will run out of cash in less than 2 years.

Jogger there was just no risk management

3 years ago this company had a cash balance of 480 million quid

280 that was built up from profits and 200 from a placing to raise funds for acquisitions. (the placing proceeds were specifically stated not to be for the purpose of buying the remainder of plt)

What was their first acquisition? The remainder of plt.

Then they went on a spending spree buying loss making brands that have just added to losses here - those brands are still making losses today.

Whats todays cash balance? Minus 150 million.

So thats 650 million quid gone.

Debacle - all jokes aside..... That made lol.

They seem to be giving the market everything.... Everything except current numbers.. ??

Surely the first thing to give to get shareholders onside would be the numbers.... If they're good that is...

Both Carols and Dans buys have stalled the ability of a trading update before the January vote for the removal of Mahmud... Technically the earliest they could give a trading update is 4 weeks from today and most people will have voted by then.

Oh and the company are 100 percent monitoring this forum so let them know your feelings in here!!

Tiger - there is a remuneration committee that decides on the bonuses, the chairman of boohoo is also on the remuneration committee.

At the egm earlier this year I asked what basis the bonus was being award on... Ie what targets had been achieved.... I can tell you now I have never heard so much waffle in my life.... His response was utter tripe

The problem with staffing is it's out of control...

In 2020 the company did £1.2 billion revenue with 2600 staff at a cost of £84 million

Last year the company did £1.4 billion revenue with 5079 staff at a cost of 163 million

This year we will do 1.2 billion revenue

The business is literally double staffed, but so say needs less staff due to automation...

 Alistair McGeorge, a director and the Deputy Chairman of boohoo, is on the board and

in fact the Chairman of Revolution Beauty (a company of which boohoo is the largest

shareholder, with c.27%). boohoo and Revolution Beauty appear to compete in the

beauty products space.

On what real basis has the boohoo Board objected to Mr. Ashley’s and Mr.

Lennon’s appointments, when at the same time, it has appointed one of its own

directors be the chair of a competitor in which it is the largest shareholder? This

is blatant hypocrisy.

The current board are selling nothing mr profit!

They are going full steam ahead with the market place idea and forgetting that boohoo and plt brands were and still are the main source of income here....

Debenhams last year 400 million revenue for 5 million profit

Both plt and boohoo were able to produce 40 million profit on 400 million revenue when the business was "right sized"

Year 20

1.2 billion revenue

2600 staff

Cost £84 million

----------

Year 21

Revenue 1.7 billion

Staff 3000

Cost £106 million

----------

Year 22

Revenue 2 billion

Staff 5300

Cost 174 million

----------

Year 23

Revenue 1.7 billion

Staff 6190

Cost £176 million

----------

Year 24

Revenue 1.4 billion

Staff 5079

Cost £163 million

----------

Year 25

Revenue likely 1.2 billion

Staff cost for this year likely to come in at plus £150 million...

Seems like we are carrying around 2000 extra staff.... What happened to automation?

Year 20

1.2 billion revenue

2600 staff

Cost £84 million

Year 21

Revenue 1.7 billion

Staff 3000

Cost £106 million

Year 22

Revenue 2 billion

Staff 5300

Cost 174 million

Year 23

Revenue 1.7 billion

Staff 6190

Cost £176 million

Year 24

Revenue 1.4 billion

Staff 5079

Cost £163 million

Year 25

Revenue likely 1.2 billion

Staff cost for this year likely to come in at plus £150 million...

Seems like we are carrying around 2000 extra staff.... What happened to automation?

Email to glass Lewis 🤷

Dear Sirs 

I write with reference to your recent coverage on Boohoo group regarding the upcoming EGM vote. 

I note your stance is to vote against all resolutions. 

I wonder if you can confirm a few things for me?

1 - Are you financially gaining from giving this recommendation? I.e are Boohoo paying you for this service. 

2 - Have you seen the "credible business plan" that the company continues to speak about? I note myself that this plan has been mentioned in approximately 7 Rns's yet no shareholder has had the pleasure of seeing the plan. 

3 - Have any of your advisers spoken to Mike Ashley or Mike Lennon? 

4 - Did any of your advisers attend the conference call that was held with Mike Ashley and Mike Lennon? 

5 - If the answer to either questions 2, 3 and 4 is no I wonder how you have come to your recommendation?

6 - Do you have an in depth knowledge of the Boohoo group over the last 5 years? 

7 - Where was your advice to either the company or shareholders when the management team of Boohoo were trying to take undeserved bonuses earlier this year? 

In case you are unaware of the events in question 7 - the company had lost 18 percent of its revenues and made losses of £160,000,000. The year before the revenue loss was a similar percentage and losses were £80,000,000 - and of course management took bonuses for that as well. 

8 - Can you clarify that investors  following your recommendations will be compensated by yourselves if they make further losses as a result? 

Up until your recent recommendation I can honestly say I have never heard of your involvement with Boohoo, it seems very strange you are involving yourselves at such a late date. 

Oh look!!

Another rns talking about a credible plan but not giving any details of the said credible plan....

Do you think with all this desperation from the company, that of they had a plan it would be outlined by now?

Also if they were sitting on improved number do you think they would be ramming them down out throats?

Also what was the glass lewis stance on the bonus scheme earlier this year? Were they here to protect investors?

When boohoo took over the board at revb did they have to agree to everything they are asking Mike to agree to here? Ummm no.

I remember all the posters that are now saying to vote against the Mikes, they were crying on here daily about boohoo ignoring their emails for 2 years, then moaning about them cancelling trading updates etc etc etc.....

You wait and see what happens if this board remains unchanged - if the mikes don't get a seat and then Mahmud keeps his seat on the board the company will go straight into radio silence, and none of you will have the balls to turn up at the agm and confront them face to face either

Think about this scenario....

Mikes lose the vote...

Mahmud wins his vote...

The company then post losses of 150 - 180 million...

Does mike push for another egm or does he sit back and wait to buy assets on the cheap from the administrator??? (now that will be the studio retail situation won't it)

Ok here's a valid question

If the strategic plan is so good amd Dan is absolute mustard...

Why has Dan finley, Stephen Morana or Tim Morris not bought a single share? Or any others directors?

Carols 80 grand buy is not worth her pocket change.

Bf you are so focused on Mike that you cant see the worsening numbers here, nothing here overall has improved on a group level.

We have the upcoming events that will be very interesting - we have the vote for the Mikes then we have the votes for Mahmud in January

My question is this - will we get an xmas/q3 trading update before the Mahmud vote?

We have had emails, letters, phone calls, rns's, strategic plan, dans video presentation, iss recommendations, even had a flyer on my door matt today telling me all about the communications I can get as a shareholder,

It seems they have thrown the kitchen sink at us yeh? Everything except improved numbers!

If numbers were improving on a group level they would be desperate to tell us and bolster our confidence to vote against the Mikes???

Surely good numbers will be presented to us before the Mahmud vote??