Lonmin - AGM Voting Results
Lonmin Plc
(Incorporated in England)
(Registered in the Republic of South Africa under registration number
1969/000015/10)
Share code: LON
ISIN code: GB0031192486
Issuer code: LOLMI
(`Lonmin`)
27 January 2005
LONMIN PLC
ANNUAL GENERAL MEETING - VOTING RESULTS
At the Annual General Meeting today the resolution to approve the 2004
Directors` Remuneration Report was not passed by shareholders. The voting was
approximately 41.8 million shares in favour (44.8%) and 51.5 million shares
against (55.2%). Holders of 1.9 million shares abstained on the resolution.
The vote was advisory and will not affect the actual remuneration paid to any
individual director. Certain shareholders expressed concerns about the payment
of an ex gratia bonus to Dr Sam Jonah, in particular that inadequate explanation
was given in the Annual Report. A summary of the facts which led to the Board`s
decision in these exceptional circumstances is provided below.
Sam was an employee of Lonmin for more than 35 years. He was appointed to the
Board in 1992 and he served as an executive director until February 2003. From
that date until his resignation on 26 April 2004, he was a non-executive
director, although he retained accountability for Lonmin`s investment in
Ashanti.
Sam`s primary responsibility was to act as the steward of Lonmin`s investment in
Ashanti Goldfields. Last year we made an exceptional profit of US$112m when
Lonmin finally realised its investment in that company. Sam played a pivotal
role in protecting Lonmin`s interest and voting power in Ashanti and thus
securing the merger with AngloGold. The payment was a recognition of the
substantial effort he made for which he was not rewarded by his non executive
director`s fee. The Board was therefore satisfied that an ex gratia payment of
GBP500,000 to him was entirely justified.
All other resolutions proposed at the Annual General Meeting were approved by
shareholders.
Full results of all voting are available on the Company`s website,
www.lonmin.com.
END
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