Tourism company Skyline Enterprises made a profit of 56 56 million last fiscal year, despite the collapse of the tourism industry.
Tourism leader Skyline Enterprises is under increasing pressure to repay the 7. 7.9 million wage subsidy after recording a healthy profit of 56 56 million in the last fiscal year.
The company, which has an international portfolio of gondola and gambling businesses, has so far declined.
Shareholders Keith Glamor and John Hill Horst have presented a motion for shareholders at the next annual general meeting to pay the money.
Hill Horst said he was “extremely embarrassed” that this had never happened before.
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Joe Mackenzie-McLane / Things.
Hundreds of people visited the Skyline Gondola in Queenstown on the first day of the lockdown on Saturday (video published May 2020).
“We are at an age where we have assets, and the value of our home and other investments has increased significantly over the last year.
“This is in stark contrast to those who have lost their jobs, and young people in general, who are struggling with high housing prices and housing costs.”
He said 7. 7.9 million could pay for 280 hip replacements or 178 teachers.
If the move is accepted by shareholders, it will not be binding, but will put pressure on the board of directors to change its position.
“As shareholders, we are aware of our rights,” the couple wrote in a letter to shareholders.
Chief executive Jeff MacDonald has repeatedly said in the media. The company does not intend to return the wage subsidy..
However, in a written response from Glamor and Hill Horst, McDonald said no final decision had been made.
He said the money allowed the company to keep people employed, and was now adding jobs.
“Covid 19 has to go now, and with that comes uncertainty …
Skyline owns and operates Gondolas at Queen Town and Rotorua, Christchurch Casino, property and visitor accommodation in Queen Town and operates overseas in Singapore, Canada and South Korea.
It reorganized and fired 541 staff in New Zealand last year after being affected by Cove 19.
He said there were many struggling businesses in the Queen Stone Lakes District that still needed government support.
“Wealthy shareholders should not be the last to benefit from workers’ wage subsidies.”
Hill Horst said the company maintained profits, spent 52 52 million on large capital projects and had no long-term debt on the balance sheet, despite operating revenue being halved due to the Covid 19 restrictions.
He said current assets exceeded current liabilities by 48 million.
His call was supported by Dunedin-based shareholder Katherine Hurd, who said it was the right thing to do.
Mark Rose, chief executive of Reese’s Hotel, said he was convinced the company had not already reimbursed the wage subsidy, especially when board chairwoman John Hunt Tourism was on New Zealand’s board and director Richard Thomas was the chairman of Destination Queen Stone.
“They know how bad things are,” he said.
His own company did not make a profit after being affected by Cove 19, and shareholders are now funding the company’s operations.
“They didn’t do anything illegal … but, that’s not right,” he said.
Quintown-based Grant Hensmann, the son of Skyline founder Hilton Hensmann and one of the largest shareholders on the board of directors, declined to comment.
“I have a lot of personal thoughts on that. I’m not going to share them with you.”
Director Richard Thomas, Whose family is the second largest shareholder., Did not respond to a request for comment.
In response to Hill Horst, John Hunt responded with words like McDonald’s. He could not be reached for comment.
McDonald’s Earlier, it was reported that the company was considering re-applying for a wage subsidy during the August lockdown. But it is not clear if this has happened.
He did not return a call on Friday.