Cadburier and . . .
CADBURIER and cadburier. The Stock Exchange is baffled. Its rules now require companies to comply with the Cadbury Code of Corporate Governance, or to explain why they don't. Arlen, the electrical engineering company, told its shareholders that no single set of rules could fit every company. It was for the directors to run the business in the shareholders' interest, and for the shareholders to hold them to account. This model of clarity won Arlen my Cadbury Award, a jumbo bar of fruit and nut, but has the Exchange in a tizzy. Arlen, it complains, is in breach of paragraph 12.43(j) of the Listing Rules. 'Shareholders and those interested in the company are unable to deduce the company's level of compliance with regard to the Code of Best Practice,' writes the Exchange's regulatory adviser on continuing obligations. 'I would be grateful if you would provide an explanation detailing the reasons why the company feels it is not necessary to include a statement with respect to the Code of Best Practice in its accounts.'
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