Karen Matthews
16th May 2004, 23:02
Shareholders United has grown fantastically over the past 12 months in terms of membership, shareholding, and influence. We now have well over 10,000 members, and over 50,000 if the members of the supporters branches who have joined SU are included. SU members now own more than one percent of the plc’s shares. Our relations with the plc Board have never been better, and are I think now so well established that we should be ensured a continued role within the plc and Club. The strength of that role will depend crucially on how far and fast we can continue to increase both our membership and our shareholding.
However, there remains a continued threat of takeover, from Cubic, Glazer, or possibly some 3rd party who might purchase the Cubic and/or Glazer holdings. In this eventuality there is a danger that if an acquirer could purchase sufficient shares, all remaining shareholders could be compulsorily purchased. Manchester United would be delisted from the Stock Exchange and could become absorbed within whatever organisation had purchased it. That holding company would no longer be required to produce accounts for Manchester United or to hold Manchester United AGMs. Neither Shareholders United nor any of its members would any longer hold shares in Manchester United. Shareholders United would in effect cease to exist, and the future ownership, behaviour and even existence of Manchester United would be in the hands of whoever had bought it, having done so for the sole purpose, presumably, of profiting financially.
It is therefore more urgent than ever that we continue to:
i.Recruit members;
ii.Encourage all members who can, to join the share scheme;
iii.Encourage those who cannot, to at least make one-off share purchases within the scheme whenever possible; and
iv.Encourage existing members of the Share Scheme to increase their monthly Standing Order if possible, and if this is not possible, then to make additional one-off purchases whenever they are able.
We should also give urgent consideration to approaching wealthy reds to encourage them to make sizeable one-off share purchases within the Share Scheme.
1.Shareholders United Share Scheme (SUSS)
The agreement with Gapnet, to undertake not only all the Share Scheme administration, but also much of the membership work (processing applications and renewals, etc), has worked well.
The three SUSS Administrators are David Dunn (Senior Manager, Public Sector & Community Development, The Co-operative Bank), Nick Towle and myself.
2.Membership & Recruitment
Our intention has always been to advertise the scheme more widely – to members of other supporter groups, to the public, and to mailings of MU shareholders (35,000), season ticket holders (45,000) and members (120,000). We had been waiting firstly to ensure that the scheme was running sufficiently smoothly to handle a large response from any such mailings, and secondly for the club to include our material in their mailings, as they had indicated they would.
The Club did agree in principle to the idea of including such a leaflet or advertisement in the match-day programme. The Club’s lawyers then asked for various assurances concerning the Financial Services Act that we think we have now produced for them. In addition, Sir Roy Gardner repeatedly made clear at the plc’s 2003 AGM that he would be pleased to hear of any proposals for how the Board might work more closely with Shareholders United. These sentiments were echoed by David Gill when he was interviewed for the United Shareholder. We subsequently made proposals to the Board on how this could be taken forward. The Club were, however, then prevented from meeting with shareholders by the Stock Exchange’s Takeover Panel placing the plc in an ‘offer period’. Now that this has ceased, we will get back to the Club on our proposals.
3.Newsletter
Many thanks are due to Theresa Towle for the excellent job she has done as Newsletter Editor. Now that the circulation is over 10,000 copies, there should be huge scope for advertising. Any ideas for sponsorship of and advertising in the newsletter would be welcome.
4.Relations with the Board
As indicated above, relations with the Board have continued to develop and improve. We have continued to meet with the Board, both to receive the twice-yearly financial reports and to discuss other matters. David Gill attended a recent meeting to answer questions.
5.PLC AGM
It is vital that all members make a commitment to attend the AGM and to bring as many friends and colleagues along as possible (all SU members are eligible to attend), to ensure that the voice of supporters is heard – both inside the hall and via the media that will certainly cover it.
6.Date of 1st Committee meeting
The 1st meeting of the newly elected Committee will most probably be directly before the first home weekend game of the season (or after if it is an early kick-off). This may be combined with a General Meeting at which David Gill will answer questions - to be confirmed nearer the time.
In the meantime, the top priority is to continue to boost the membership and shareholding.
Jonathan Michie, 14th April 2004
However, there remains a continued threat of takeover, from Cubic, Glazer, or possibly some 3rd party who might purchase the Cubic and/or Glazer holdings. In this eventuality there is a danger that if an acquirer could purchase sufficient shares, all remaining shareholders could be compulsorily purchased. Manchester United would be delisted from the Stock Exchange and could become absorbed within whatever organisation had purchased it. That holding company would no longer be required to produce accounts for Manchester United or to hold Manchester United AGMs. Neither Shareholders United nor any of its members would any longer hold shares in Manchester United. Shareholders United would in effect cease to exist, and the future ownership, behaviour and even existence of Manchester United would be in the hands of whoever had bought it, having done so for the sole purpose, presumably, of profiting financially.
It is therefore more urgent than ever that we continue to:
i.Recruit members;
ii.Encourage all members who can, to join the share scheme;
iii.Encourage those who cannot, to at least make one-off share purchases within the scheme whenever possible; and
iv.Encourage existing members of the Share Scheme to increase their monthly Standing Order if possible, and if this is not possible, then to make additional one-off purchases whenever they are able.
We should also give urgent consideration to approaching wealthy reds to encourage them to make sizeable one-off share purchases within the Share Scheme.
1.Shareholders United Share Scheme (SUSS)
The agreement with Gapnet, to undertake not only all the Share Scheme administration, but also much of the membership work (processing applications and renewals, etc), has worked well.
The three SUSS Administrators are David Dunn (Senior Manager, Public Sector & Community Development, The Co-operative Bank), Nick Towle and myself.
2.Membership & Recruitment
Our intention has always been to advertise the scheme more widely – to members of other supporter groups, to the public, and to mailings of MU shareholders (35,000), season ticket holders (45,000) and members (120,000). We had been waiting firstly to ensure that the scheme was running sufficiently smoothly to handle a large response from any such mailings, and secondly for the club to include our material in their mailings, as they had indicated they would.
The Club did agree in principle to the idea of including such a leaflet or advertisement in the match-day programme. The Club’s lawyers then asked for various assurances concerning the Financial Services Act that we think we have now produced for them. In addition, Sir Roy Gardner repeatedly made clear at the plc’s 2003 AGM that he would be pleased to hear of any proposals for how the Board might work more closely with Shareholders United. These sentiments were echoed by David Gill when he was interviewed for the United Shareholder. We subsequently made proposals to the Board on how this could be taken forward. The Club were, however, then prevented from meeting with shareholders by the Stock Exchange’s Takeover Panel placing the plc in an ‘offer period’. Now that this has ceased, we will get back to the Club on our proposals.
3.Newsletter
Many thanks are due to Theresa Towle for the excellent job she has done as Newsletter Editor. Now that the circulation is over 10,000 copies, there should be huge scope for advertising. Any ideas for sponsorship of and advertising in the newsletter would be welcome.
4.Relations with the Board
As indicated above, relations with the Board have continued to develop and improve. We have continued to meet with the Board, both to receive the twice-yearly financial reports and to discuss other matters. David Gill attended a recent meeting to answer questions.
5.PLC AGM
It is vital that all members make a commitment to attend the AGM and to bring as many friends and colleagues along as possible (all SU members are eligible to attend), to ensure that the voice of supporters is heard – both inside the hall and via the media that will certainly cover it.
6.Date of 1st Committee meeting
The 1st meeting of the newly elected Committee will most probably be directly before the first home weekend game of the season (or after if it is an early kick-off). This may be combined with a General Meeting at which David Gill will answer questions - to be confirmed nearer the time.
In the meantime, the top priority is to continue to boost the membership and shareholding.
Jonathan Michie, 14th April 2004