Shareholders heckle LIME directors
Shareholders at the LIME Annual General Meeting chastised their directors yesterday for a four-year dividend "drought".
The question and answer segment saw much heckling and shouts of "nonsense" as shareholders questioned the wisdom of holding on to their shares.
The audited financial statements for the year ending March 31 show "continued losses" resulting in a recommendation from the directors that no dividends be paid for this period.
The statements further note that the stockholders' deficit is considered a breach of the Jamaica Stock Exchange (JSE) adequacy rules, and as such "uncertainty exists about the company's ability to maintain its listing".
Kalando Wilmoth, regional head of corporate communications, said LIME is making every effort to stave off the delisting through discussions with its parent company, Cable & Wireless Communication, and the JSE. The company is working on solutions to regularise its capital adequacy, he said.
Shareholders sought clarification on the forfeiture of $49 million in unclaimed dividends by the company, which has seen $205 million in unclaimed dividends in the last 12 years.
Sunny Dehiri, LIME's chief financial officer, said that though the company's unprofitability has prevented a payout in recent years, shareholders have also neglected to collect dividends paid and as such the company reserves the right to claim such payments.
The company last paid a dividend in 2008.