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Feeble NZ Post Decision Is Not Credible

SOE Minister Mark Burton's feeble stop-gap measure to salvage the NZ Post Board is neither credible nor durable, ACT Finance Spokesman Rodney Hide said today.

"Mr Burton left the NZ Post wound to fester for two weeks, and then had to threaten to sack the Board in order for them to stop in-fighting. New Zealand Post's problems have not been addressed. Mr Burton believes the entire board has magically transformed, saying that the last 72 hours proved to him that the Board has an ability to work together. What about the past two weeks?

"Today's move is short-sighted, politically motivated and ultimately doomed.

"We need a firm and immediate commitment from Mr Armstrong that the results of the third-party audit on NZ Post's board will be made public.

"The real problem here isn't a political one, it is a business one. NZ Post faces a tough trading environment and the Board has been diverted from its core business by a politically inspired banking proposal, which every piece of advice the board got has warned against. Ross Armstrong and Jim Anderton have both staked their reputations on the bank, so the Board cannot do the decent thing and ditch the proposal.

"It is clear that NZ Post's future is in chaos under this Board. 'MyBank' looked difficult before, but now it will be impossible," Rodney Hide said.

Ends

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