Business
Board and Governance Structur
Board and Governance Structur.
About this update from Harworth Group Plc
[{"type":"text","content":"\n RNS Number : 8813P UK Coal PLC 26 July 2010 \n \n\nUK COAL plc (\"UK COAL\" or \"the Group\")\n \nBoard and Governance Structure Changes\n \nIn recent years, UK COAL has developed two distinct principal businesses, coal mining from deep and surface mine sites, and property, creating value from our very large brownfield land estate.\n \nThe very different characteristics and management requirements of these activities are clear, and the board believes that shareholders' interests would be best served by ensuring that each business can focus on their own challenges and opportunities with a minimum of distraction.\n \nIn the last quarter of 2009 and the first quarter of 2010, production difficulties at our deep mines dominated the Group's affairs. The planned transition of our deep mine business, however, has now been achieved. We have three deep mines benefiting from the substantial investments made in opening the new seams at Kellingley and Thoresby and the face change at Daw Mill. Our recent trading statement illustrates the performance these mines are now able to achieve. In addition, the legacy contracts, which have so constrained UK COAL over many years, will be substantially completed in 2011, and the positive impact of our new long-term supply agreements is becoming increasingly apparent.\n \nIn property, following significant planning progress in recent years, the focus is expected to move towards development schemes.\n \nIn these circumstances, the board believes it is right to modify the Group's management structure so that the mining and the property businesses take more responsibility for their own activities, led by Managing Directors. Accordingly, as of August 1, 2010, Mr Gareth Williams, currently Group Mining Director, will become Managing Director of the Mining Division, and Mr Owen Michaelson, currently a Non-Executive Director and representative of Peel Holdings, will leave his employment with Peel Holdings (although he will continue to have a non-executive directorship within the Peel Holdings group) to become full time Managing Director of the Property Division. Both divisional Managing Directors will sit on the board of the Group.\n \nGiven this approach and at this stage of the company's development, instead of the Group being le...