May 22nd, 2006

In a bid to leave behind its troubled past and reputation, James Hardie Industries has revealed that it will be taking two executives that were associated with the asbestos funding scandal off the payroll. The contracts of the two executives are due to expire later this year, and company chiefs state that they will not be renewed.

Hardie chief executive Louis Gries has confirmed that Peter Macdonald and former chief financial officer Peter Shafron will be removed from the payroll when their contracts expire later this year.

The two executives actually resigned from Hardie in 2004 following investigations into the asbestos funds scandal, but both were given consultancies at this time. Both men have denied allegations of wrong doing over the case, which is currently under investigation.

After resigning, the men were given lucrative financial settlements, including large monthly retainers as well as large lump sum payments, with the former chief executive, MacDonald, receiving a $9 million lump sum.