In a statement released via the ASX, Mr Barnes said it was “in the best interests of the company” for him to resign following the complications the company’s shareholding in van Eyk has created.
“Since [van Eyk] entered into voluntary administration and was subsequently placed into liquidation by creditors I have been considering the impact those events have had on the company,” Mr Barnes said.
“I believe, based on our own conclusions and information sourced from [van Eyk] during the voluntary administration, there may be recourse against parties which may lead to the company recovering some or all of the investment in [van Eyk],” he said, but added that “I have decided that as this occurred during my tenure as chairman, it is appropriate I take responsibility for this loss and consequently it is in the best interests of the company for me to resign as a director of the company effective immediately.”
As a result of Mr Barnes’ resignation, AWI’s board has decided – subject to his being elected as a director at the next annual general meeting – to appoint Paul Clitheroe as chairman.
AWI also reported recently that its shareholding in van Eyk, in conjunction with other overheads, diminished the company’s first quarter earnings of the 2014/2015 financial year.
“The current value of van Eyk Research ($7.5m) is expected to be further written down this financial year and this will impact earnings,” a statement said.
