New proposal for loss coverage for FloraHolland 2013

In the FloraHolland general members’ meeting on July 10, FloraHolland will present a new resolution to cover the loss incurred in 2013. In this new proposal not 0.5% but 0.25% of the liquidity contribution collected in 2013 will be used to cover part of the loss. The remaining net loss will be charged to the general reserve. In regional meetings in the Netherlands and abroad, the Management Board will discuss this new proposal with the members.

The board extensively deliberated on the situation that arose after the outcome of the vote in the ALV on June 5 with many members, the advisory councils and the Supervisory Board. The management board stated that the loss coverage must conform to four restrictions. First of all, the statutes and the bookkeeping rules. The loss coverage must also conform to the agreements made with the banks, to safeguard the trust placed in FloraHolland and the sector. Finally, the decision about the loss coverage must be responsible: acceptable to the cooperative and the collective and at the same time individually. A negative or highly contested decision on July 10 can have serious negative consequences for the cooperative.

Within these restrictions the proposal accommodates the request from many members to put less of the burden on the members. At the same time, an appeal is made to the liquidity contribution. This arrangement is an important and indispensable part of the financial management of the FloraHolland cooperative, and thus an important part of the strength of the collective.

Starting today, the FloraHolland Management Board will be explaining the new proposal at regional meetings and to smaller groups upon request. In the ALV on July 10, the decision will be taken on this important topic. FloraHolland hopes and expects that the members will be better informed through the meetings and other sources of information before they cast their vote on July 10.

Source: FloraHolland

Publication date: Wed 25 Jun 2014