Fonterra shareholders split on governance

Bailey, who chairs the board's governance review committee, was speaking at the annual general meeting in Waitoa today.

His comments came as early results saw 54.4% support for a resolution to reduce the board to nine members- six elected and three appointed.

Shareholders at the meeting are yet to cast their votes so the final result is still a few hours away.

The motion, moved by former directors Greg Gent and Colin Armer, is unlikely to get 75% support needed to change the constitution.

Bailey says both Gent and Armer are well regarded in the co-op.

"It's no surprise that they have received strong support," he says.

Fonterra chairman John Wilson will be commenting on the voting result soon.