This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/business/live/2016/sep/07/sports-direct-annual-general-meeting-showdown-mike-ashley-business-live
The article has changed 21 times. There is an RSS feed of changes available.
| Version 9 | Version 10 |
|---|---|
| Sports Direct factory tour after stormy AGM – live updates | |
| (35 minutes later) | |
| 1.46pm BST | |
| 13:46 | |
| Simon Goodley | |
| Mike Ashley has stuffed his £50 notes away, and started discussing the issue of how staff were paid below the minimum wage. | |
| He says he only discovered the problems with searches last December, after the Guardian exposed them. | |
| Ashley hasn’t forgotten that report, saying: | |
| “He’s not my favourite person, the Guardian man. Where is he?” | |
| Still here. For now..... | |
| 1.40pm BST | |
| 13:40 | |
| Ashley stuns journalists with roll of £50s | |
| Oh dear lord, Mike Ashley has just been searched by Sports Direct’s security staff - and produced a chunky wad of £50 notes from his pockets. | |
| Mike Ashley demonstrates search procedure at #SportsDirect warehouse. In his pocket? A huge wad of £50 notes. pic.twitter.com/kz5jBQKY8K | |
| When asked if he really just placed “a lot of cash” in the security tray, Ashley grinned: | |
| Yes, I’ve just been to the casino.....No, don’t please write that. | |
| Buzzfeed’s Simon Neville helpfully captured it on video: | |
| Mike Ashley gets searched... Yes. That is a massive wad of £50 notes he just took out his pocket pic.twitter.com/zV78Qdfmec | |
| Updated | |
| at 1.42pm BST | |
| 1.21pm BST | 1.21pm BST |
| 13:21 | 13:21 |
| My colleague Simon Goodley has managed to send a photo from the scrum around Mike Ashley: | My colleague Simon Goodley has managed to send a photo from the scrum around Mike Ashley: |
| Ashley seems to have cheered up a bit, following his attack at Unite during the AGM. But will it last?.... | Ashley seems to have cheered up a bit, following his attack at Unite during the AGM. But will it last?.... |
| 1.14pm BST | 1.14pm BST |
| 13:14 | 13:14 |
| Mike Ashley is posing for photos and chatting to journalists as the tour gets underway. | Mike Ashley is posing for photos and chatting to journalists as the tour gets underway. |
| He says that he (like very other worker) used to be searched when he left the site. | He says that he (like very other worker) used to be searched when he left the site. |
| Now the process has been revised, so that some workers are chosen randomly, he explains. | Now the process has been revised, so that some workers are chosen randomly, he explains. |
| The process has also been streamlined, so that workers don’t spend unpaid time being searched, dragging down their wages to below minimum levels [not a worry for billionaire Mike Ashley, of course]. | The process has also been streamlined, so that workers don’t spend unpaid time being searched, dragging down their wages to below minimum levels [not a worry for billionaire Mike Ashley, of course]. |
| As repeated earlier, it's definitely not just about one man, ok? pic.twitter.com/ylckJnAeA2 | As repeated earlier, it's definitely not just about one man, ok? pic.twitter.com/ylckJnAeA2 |
| 1.02pm BST | 1.02pm BST |
| 13:02 | 13:02 |
| Sports Direct’s investors have now finished voting on today’s resolutions, so we’ll have the results in a few hours. | Sports Direct’s investors have now finished voting on today’s resolutions, so we’ll have the results in a few hours. |
| The entire room have now donned fluorescent jackets and headed out for a tour of the Shirebrook site. | The entire room have now donned fluorescent jackets and headed out for a tour of the Shirebrook site. |
| Whole agm now heading off on a tour of Shirebrook .. Not seen the like if this before pic.twitter.com/UFb9HgkOnL | Whole agm now heading off on a tour of Shirebrook .. Not seen the like if this before pic.twitter.com/UFb9HgkOnL |
| Ashley tour is on. Tells us there's always problems with companies of this size. pic.twitter.com/VXqovUxTeS | Ashley tour is on. Tells us there's always problems with companies of this size. pic.twitter.com/VXqovUxTeS |
| 1.00pm BST | 1.00pm BST |
| 13:00 | 13:00 |
| Snap summary: Mike Ashley angered by Direct questions at AGM | Snap summary: Mike Ashley angered by Direct questions at AGM |
| Nine months after the Guardian went undercover at Sports Direct, the company is now facing the full consequences of operating a “Dickensian” warehouse in 21st century Britain. | Nine months after the Guardian went undercover at Sports Direct, the company is now facing the full consequences of operating a “Dickensian” warehouse in 21st century Britain. |
| And owner Mike Ashley didn’t appear to enjoy the experience at all, after his vision of creating a Selfridges-style retailer had an early encounter with reality. | And owner Mike Ashley didn’t appear to enjoy the experience at all, after his vision of creating a Selfridges-style retailer had an early encounter with reality. |
| To recap.. | To recap.. |
| Ashley has lashed out at the Unite union for criticising his offer of permanent contracts to casual retail staff. He accused it of “showboating”, and alleged that Unite had contributed to the problems at Shirebrook. | Ashley has lashed out at the Unite union for criticising his offer of permanent contracts to casual retail staff. He accused it of “showboating”, and alleged that Unite had contributed to the problems at Shirebrook. |
| Ashley declared: | Ashley declared: |
| This is probably your fault we are in this mess because we can’t talk to you. I made a commitment to make a difference, I am trying, don’t pull me down. | This is probably your fault we are in this mess because we can’t talk to you. I made a commitment to make a difference, I am trying, don’t pull me down. |
| I accept I have made some errors and I accept I can learn something. Please don’t do the whole showboating thing, it will make me turn away and it’s the people who work in Sports Direct who suffer.” | I accept I have made some errors and I accept I can learn something. Please don’t do the whole showboating thing, it will make me turn away and it’s the people who work in Sports Direct who suffer.” |
| Yesterday Sports Direct committed to “A developing dialogue with Unite to obtain their feedback.” Ashley’s performance threatens to undermine that commitment. | Yesterday Sports Direct committed to “A developing dialogue with Unite to obtain their feedback.” Ashley’s performance threatens to undermine that commitment. |
| Unite’s Steve Turner also lashed the company over its use of agencies, who supply 4,000 workers to the company. They have helped to damage your company name, he told the board. | Unite’s Steve Turner also lashed the company over its use of agencies, who supply 4,000 workers to the company. They have helped to damage your company name, he told the board. |
| Underfire chairman Keith Hellawell has promised to step down in 2017, if he doesn’t enjoy the support of shareholders at next year’s AGM. We learned this morning that he offered to resign over the weekend, but was told to stay on. | Underfire chairman Keith Hellawell has promised to step down in 2017, if he doesn’t enjoy the support of shareholders at next year’s AGM. We learned this morning that he offered to resign over the weekend, but was told to stay on. |
| Hellawell also admitted that Sports Direct’s working practices had fallen far below acceptable standards. He told today’s AGM that: | Hellawell also admitted that Sports Direct’s working practices had fallen far below acceptable standards. He told today’s AGM that: |
| We agree the system is not good enough, and we are going to improve it. | We agree the system is not good enough, and we are going to improve it. |
| But Sports Direct’s largest independent shareholders are running out of patience. Standard Life has revealed it has voted against reappointing the board’s non-executive directors. | But Sports Direct’s largest independent shareholders are running out of patience. Standard Life has revealed it has voted against reappointing the board’s non-executive directors. |
| Euan Stirling, head of stewardship and environmental, social and governance investment at the group, wants a full review of the company. | Euan Stirling, head of stewardship and environmental, social and governance investment at the group, wants a full review of the company. |
| Stirling also demanded “a group of talented and experienced executives” to support and challenge Ashley, particularly from the Chairman’s seat. | Stirling also demanded “a group of talented and experienced executives” to support and challenge Ashley, particularly from the Chairman’s seat. |
| Standard Life wants Ashley's role, title and responsibilities redefined and full independent review of way @SportsDirectUK is run. | Standard Life wants Ashley's role, title and responsibilities redefined and full independent review of way @SportsDirectUK is run. |
| The City is also disappointed that Sports Direct expects profits this year to be 20% lower than in 2015-16 (news that came at 7am). This has wiped 10% off the company’s value this morning. | The City is also disappointed that Sports Direct expects profits this year to be 20% lower than in 2015-16 (news that came at 7am). This has wiped 10% off the company’s value this morning. |
| Updated | Updated |
| at 1.21pm BST | at 1.21pm BST |
| 12.36pm BST | 12.36pm BST |
| 12:36 | 12:36 |
| The AGM is now over. Perhaps Mike Ashley’s bad mood trumped his promise to say until midnight to answer questions. | The AGM is now over. Perhaps Mike Ashley’s bad mood trumped his promise to say until midnight to answer questions. |
| Investors are now voting on the various resolutions on whether to reappoint directors, and approve the pay report. | Investors are now voting on the various resolutions on whether to reappoint directors, and approve the pay report. |
| Journalists are now heading out of the room, ready to experience the new Open Tour of Shirebrook. | Journalists are now heading out of the room, ready to experience the new Open Tour of Shirebrook. |
| They’re being serenaded out to “Don’t Stop Believin”, by Journey: | They’re being serenaded out to “Don’t Stop Believin”, by Journey: |
| 12.33pm BST | 12.33pm BST |
| 12:33 | 12:33 |
| Campaigners for fairer pay are already planning to return to Shirebook in 2017 to mark Ashley’s homework.... | Campaigners for fairer pay are already planning to return to Shirebook in 2017 to mark Ashley’s homework.... |
| True leadership would be accreditation with @LivingWageUK. We'll be back next year to check progress... https://t.co/J9G3HHmG7H | True leadership would be accreditation with @LivingWageUK. We'll be back next year to check progress... https://t.co/J9G3HHmG7H |
| 12.29pm BST | 12.29pm BST |
| 12:29 | 12:29 |
| I’m a little surprised that Mike Ashley lashed out at Unite, to be honest. | I’m a little surprised that Mike Ashley lashed out at Unite, to be honest. |
| Back in June, he was surprisingly open and engaging with MPs - a strategy that seemed to wrongfoot the BIS committee. That strategy might have worked well today too. | Back in June, he was surprisingly open and engaging with MPs - a strategy that seemed to wrongfoot the BIS committee. That strategy might have worked well today too. |
| My colleague Sarah Butler has a theory - that Ashley expected more praise, and less criticism, following the pledges made yesterday. | My colleague Sarah Butler has a theory - that Ashley expected more praise, and less criticism, following the pledges made yesterday. |
| Interesting pattern here: SD board not happy to listen to criticisms of work it's done. Think it was expecting a cheering match, not jeers | Interesting pattern here: SD board not happy to listen to criticisms of work it's done. Think it was expecting a cheering match, not jeers |
| Ashley's outburst at Unite shows how unused he is to being challenged and questioned despite Jenkins defence of SD's board | Ashley's outburst at Unite shows how unused he is to being challenged and questioned despite Jenkins defence of SD's board |
| 12.26pm BST | 12.26pm BST |
| 12:26 | 12:26 |
| Back to Sports Direct’s pay policies....and Lisa Narthan of ShareAction UK asks if it might pay more than the minimum wage to staff. | Back to Sports Direct’s pay policies....and Lisa Narthan of ShareAction UK asks if it might pay more than the minimum wage to staff. |
| Hellawell replies that SPD wants to show leadership in this issue [having now resolved the issue, exposed by the Guardian, of paying less than the statutory minimum because of its security checks] | Hellawell replies that SPD wants to show leadership in this issue [having now resolved the issue, exposed by the Guardian, of paying less than the statutory minimum because of its security checks] |
| .@lisarnathan asks if board will consider increase in rates above legal requirement. Chair says they want to be a leader. @ShareActionUK | .@lisarnathan asks if board will consider increase in rates above legal requirement. Chair says they want to be a leader. @ShareActionUK |
| Updated | Updated |
| at 12.27pm BST | at 12.27pm BST |
| 12.22pm BST | 12.22pm BST |
| 12:22 | 12:22 |
| Non-executive director Claire Jenkins has jumped to Ashley’s defence, saying that Sports Direct has the “most open” board meetings of any company she’s worked at. | Non-executive director Claire Jenkins has jumped to Ashley’s defence, saying that Sports Direct has the “most open” board meetings of any company she’s worked at. |
| And she denies that yesterday’s report (written by Mike Ashley’s lawyers) wasn’t independent: | And she denies that yesterday’s report (written by Mike Ashley’s lawyers) wasn’t independent: |
| I take issue with them not being called independent. [The report] was very uncomfortable reading for all." Claire Jenkins, Sports Direct | I take issue with them not being called independent. [The report] was very uncomfortable reading for all." Claire Jenkins, Sports Direct |
| 12.19pm BST | 12.19pm BST |
| 12:19 | 12:19 |
| Aviva, a significant shareholder, asks if there’s any point discussing Keith Hellawell’s position - as the company declined his resignation last weekend. | Aviva, a significant shareholder, asks if there’s any point discussing Keith Hellawell’s position - as the company declined his resignation last weekend. |
| Hellawell says “yes” (reminder, he’s already promised to leave in 2017 if he loses a vote of confidence next year) | Hellawell says “yes” (reminder, he’s already promised to leave in 2017 if he loses a vote of confidence next year) |
| 12.16pm BST | 12.16pm BST |
| 12:16 | 12:16 |
| Mike Ashley doesn’t seem to be enjoying the AGM very much: | Mike Ashley doesn’t seem to be enjoying the AGM very much: |
| #sportsdirect Mike Ashley now sitting glumly, refusing to take questions | #sportsdirect Mike Ashley now sitting glumly, refusing to take questions |
| 12.13pm BST | 12.13pm BST |
| 12:13 | 12:13 |
| Although Mike Ashley has lost his grip on his (Sports Direct-branded?) rag, his chairman is calmer. | Although Mike Ashley has lost his grip on his (Sports Direct-branded?) rag, his chairman is calmer. |
| Keith Hellawell says the time for excuses is over, and that Sports Direct has reached a watershed moment. | Keith Hellawell says the time for excuses is over, and that Sports Direct has reached a watershed moment. |
| Grace Hetherington of ShareAction UK says it’s quite a contrast: | Grace Hetherington of ShareAction UK says it’s quite a contrast: |
| Hellawell managing to keep his cool, in stark contrast to Ashley. No wonder the company won't let him resign. #sportsdirectAGM | Hellawell managing to keep his cool, in stark contrast to Ashley. No wonder the company won't let him resign. #sportsdirectAGM |
| 12.11pm BST | 12.11pm BST |
| 12:11 | 12:11 |
| Here’s the key quote from Ashley’s outburst, after Unite questioned the value of his offer of permanent contracts to store staff: | Here’s the key quote from Ashley’s outburst, after Unite questioned the value of his offer of permanent contracts to store staff: |
| Ashley to Unite: don't do the whole show boating thing. It will make me turn away, the only people who suffer are people that work at SD | Ashley to Unite: don't do the whole show boating thing. It will make me turn away, the only people who suffer are people that work at SD |
| 12.09pm BST | 12.09pm BST |
| 12:09 | 12:09 |
| UNITElive at Sports Direct AGM:Ashley has stopped proceedings and is asking an independent shareholder if she is a member of Unite | UNITElive at Sports Direct AGM:Ashley has stopped proceedings and is asking an independent shareholder if she is a member of Unite |
| 12.04pm BST | 12.04pm BST |
| 12:04 | 12:04 |
| Ashley blamed unions for warehouse problems. | Ashley blamed unions for warehouse problems. |
| Oh dear. Mike Ashley’s cheery mood has vanished, as the criticism from Unite’s Steve Turner hits home. | Oh dear. Mike Ashley’s cheery mood has vanished, as the criticism from Unite’s Steve Turner hits home. |
| The Sports Direct founder (who still owns half the company!) has kicked off, saying the unions must take some blame for the abuses that were perpetrated at his warehouse. | The Sports Direct founder (who still owns half the company!) has kicked off, saying the unions must take some blame for the abuses that were perpetrated at his warehouse. |
| Ashley arguing that “it’s probably your fault that we’re in this mess”, claiming that he’s not been about to talk to the unions about conditions onsite. | Ashley arguing that “it’s probably your fault that we’re in this mess”, claiming that he’s not been about to talk to the unions about conditions onsite. |
| Angry outburst by Ashley who says: I've made commitment to make a difference I'm trying so don't pull me down. | Angry outburst by Ashley who says: I've made commitment to make a difference I'm trying so don't pull me down. |
| Mike Ashley gets shirty @unitetheunion "if you had been reasonable before... I'm trying, don't pull me down, it doesn't help...." | Mike Ashley gets shirty @unitetheunion "if you had been reasonable before... I'm trying, don't pull me down, it doesn't help...." |
| Ashley: "Let’s not have a punchup like in a silly cartoon." | Ashley: "Let’s not have a punchup like in a silly cartoon." |
| It’s caused quite a stir in the Auditorium.... | It’s caused quite a stir in the Auditorium.... |
| "You can see why there's a bullying culture" - shareholder in audience, under her breath, in response to Ashley's outburst. #SportsDirect | "You can see why there's a bullying culture" - shareholder in audience, under her breath, in response to Ashley's outburst. #SportsDirect |