10 questions asked at 2021 CIMIC AGM

April 17, 2022

Here is the text of the 10 questions asked at the 2021 CIMIC AGM.

1. For 7 years since the Spanish board coup at CIMIC, you have not taken investor relations seriously. Now there is a charm offensive with the new executive chairman doing the rounds of investors and proxy advisers. Why the change of tune?

2. We are in dispute with Transurban in the Victoria Supreme Court over the disastrous $6.7n Westgate Tunnel project which has blown out by billions and a couple of years. Is it correct we are also in dispute with our Chinese-owned partner on the construction job, John Holland?

3. Media reports suggested we had pulled out of the bidding for the $15 billion North East Link project. Then CPB won the major early works contract and we are now bidding for the main job. Is this because the Vic Govt has agreed to take on more project risk?

4. Who are we partnering with in our bid for the $15 billion North East Link project in Melbourne and is our dispute with the Victorian Government over the disastrous $6.7 billion Westgate Tunnel project going to inhibit our chances of winning this contract?

5. Why did we hand back $20m worth of JobKeeper revenue? Was it legal for us to claim this subsidy and, if so, why didn't we follow the lead of most other listed ASX companies and keep it? If everyone else is rorting, why not us?

6. Please explain the full history of our relationship with the collapsed Greensill group. Why did we get so involved with them and when did we end this relationship? What are the standard payment terms for our suppliers across Australia at the moment?

7. CIMIC's former CFO Peter Gregg was acquitted on appeal last September in relation to criminal convictions over allegedly hidden bribes. What support did CIMIC provide to its former CFO during his 6 year ordeal with ASIC & the courts?

8. Madrid-based ACS is the dominant CIMIC shareholder with a 77.7% stake. Apart from the new exec chair, how many Spanish speaking full-time CIMIC executives do we currently have seconded to the Australian operations? Is their a Spanish speaking faction at CIMIC?

9. Given that you were prepared to sell 50% of the Thiess crown jewels to Elliott for $2.15 billion, why doesn't Madrid-based ACS instead raise much needed cash by selling down its CIMIC stake from 77.77% to 50%, retaining clear control?

10. What are the conflict dispute provisions and pre-emptive rights entitlements in the Thiess joint venture with Elliott given it is 50-50. If you disagree, how do you resolve it? If one party wants to sell, does the other have pre-emptive rights to buy them out? Is there any agreed timetable for Elliott to monetise their interest through an exit?