CSR Limited advises that it has today sought expedited leave to appeal the Federal Court decision of 3 February 2010 in which the court declined to order the convening of a meeting of CSR’s shareholders to consider the proposed demerger of CSR’s Sugar and Renewable Energy business.
CSR considers the judgement contains errors in law which may have potentially significant ramifications for the future strategy of the company and which should not go unchallenged. If leave is granted, an appeal would be the appropriate avenue to test these legal concerns.
CSR acknowledges and accepts its responsibilities with respect to asbestos claims. It has consistently managed this responsibility conscientiously and ethically over the past twenty years and is committed to doing so in the future.
The decision by CSR’s Board to propose the demerger was made only after exhaustive investigation to form the view that CSR would continue to be able to meet its asbestos related liabilities.
CSR retains the view that a separation of its two very different operating businesses has the potential to create additional value but accepts that it must appropriately address the concerns of stakeholders with a relevant interest in the asbestos issue. CSR will do so in conjunction with clarification of the legal position.