I'm now assuming item four, which is the approval of the grant of SCI shares for our Managing Director and Chief Executive Officer Leah Weckert, as the third component of a short-term incentive award for the 2025 financial year. The text of the resolution is now displayed. Details of the proposed grant are set out in the notice of meeting. The board, with Leah abstaining, considers the grant of SCI shares to be appropriate in the interest of shareholders and unanimously recommends that shareholders vote in favor of item four. I now invite any questions on the approval of Leah's short-term incentive grant. There appears to be no questions on the floor. Jessica, are there any questions online?
Chairman, there are no online questions or comments on this item.
Thank you. If there are no further questions, we have now finalized discussion on this item.
The details of the proxies and direct votes received on this item will now be displayed. Please now enter your votes on item four if you have not already done so. I now turn to item five, which is the approval of the grant of performance rights to Leah Weckert as a long-term incentive award for the 2026 financial year. The text of the resolution is now displayed. Details of the proposed grant are set out in the notice of meeting. The board, with Leah abstaining, considers this grant of performance rights to be appropriate in the interest of shareholders and unanimously recommends that shareholders vote in favor of item five. I now invite any questions on the approval of Leah's long-term incentive grant. There appear to be no questions from the floor. Jessica, are there any questions online?
Chairman, we have received another online question from Mr. Stephen Mayne. When disclosing the outcome of voting on all resolutions today, including this proposed LTI grant to the CEO, please advise the ASX how many shareholders voted for and against each item, similar to with a scheme of arrangement. This will provide a better gauge of retail shareholder sentiment on all resolutions and insight into the chronically low retail shareholder participation rate. The likes of Qantas, ASX, Suncorp, Tabcorp, Myer, Flight Centre, Stockland, and even the world's biggest share registry provider, Computershare, have all voluntarily provided this data at their most recent AGMs. You've got the data, so why not let the sunshine in? Qantas revealed last week that less than 1% of its 155,000 shareholders voted at the AGM. How many of our 480,551 shareholders voted today on this LTI grant, and were the majority against?
Did you even make it to a 1% turnout?
Mr. Mayne, thank you for your question, which we will take on notice. As you're aware, our practice is not to disclose the number of shares voted. Our practice is to disclose the number of shares voted rather than the number of shareholders. This approach is basically in line with the Corporations Act as well as the ASX listing rules. We believe we're consistent with other companies, but we'll take that question on notice. Thank you, Mr. Mayne. Jessica, any further questions?
Chairman, there are no more online questions or comments on this item.
Thank you. If there are no further questions, we have now closed discussion on this item. The details of the proxies and direct votes received for this item will now be displayed.
Please now enter your votes on item five if you have not already done so. I'll now move on to item six, which was initially in three parts: 6.1, 6.2, and 6.3. As noted earlier in my address, all three items were requisitioned by a group of shareholders under section 249N of the Corporations Act. As announced to the ASX on 2nd of October, item 6.2 has been withdrawn. Item 6.1 concerns a special resolution proposing to amend Coles Constitution to include a provision enabling shareholders, by ordinary resolution, to express an opinion or request information about the way in which a power of the company vested in the board has been or should be exercised. The text of the resolution is shown on the screen. The board unanimously recommends that shareholders vote against this resolution.
Detailed reasons as to why the board does not support this resolution, item 6.1, are set out on page 16 of the notice of meeting. In summary, the board considers that it is not necessary or desirable to amend the Constitution, given the existing rights of shareholders under the Constitution and Corporations Act. The resolution proposed is a special resolution, which means it will only be passed if at least 75% of votes cast on this resolution are in favor. Irrespective of the vote on item 6.1, there will be an opportunity for discussion of item 6.3 following the completion of item 6.1. I ask that you hold your questions in that time. At this stage, I invite any questions or comments only on item 6.1, which relates to the proposed amendment to Coles Constitution. It appears that there are no questions on the floor.
So, Jessica, are there any questions online?
Chairman, there are no online questions or comments on this item.
Thank you. If there are no further questions, we have finalized discussion on this item. The details of the proxies and direct votes received for this item will now be displayed. The directors unanimously recommend that shareholders vote against this resolution. Please now enter your votes on item 6.1 if you have not already done so. Based on the proxy and direct votes received ahead of the meeting and the number of votes that I've been informed and represented on the floor and online today, it is apparent that item 6.1 for the amendments of Coles Constitution to the company will not be passed. Therefore, item 6.3, which was contingent on amending the Constitution, will not be put to the meeting for voting.
However, as I previously mentioned, I will shortly invite shareholders to ask questions or comment upon item 6.3. The text of the resolution for item 6.3 is shown on the screen. As discussed in my address earlier, this item was not supported by the board. Detailed reasons as to why are also set out on pages 16 and 17 of the notice of meeting. I now invite shareholders to ask questions or comment on item 6.3. Oh, I'll start with one because it's easier. Microphone one first. Thank you.
Mr. Chairman, I would like to introduce shareholder Mr. Lyndon O'Neill.
Mr. O'Neill, good morning.
Good morning and thank you. Yeah, my name's Lyndon. I'm a Tasmanian Aboriginal Packenamain, born and raised in northwest of Lutruwita, Tasmania. I have four sons, and we shop in Coles.
I founded Healthy Country Services and Consulting, built on traditional ecological knowledge, woven into contemporary conservation and ecosystem management. I pay my respects to all of you, your family, and your ancestors. More than a century ago, the man who would go on to found Coles first worked in his father's small general store in the village of Wilmot, not far from the wild rivers that flow west into the Macquarie Harbour. The waters of Macquarie Harbour were pristine then, a world of deep oxygenated water, brackish layers where the mountains and waters mix with the oceans, supporting the abundant and thriving life of the harbour. Among that life is a species older than the dinosaurs, found nowhere else on earth. It's called a Maugean skate. The Maugean skate then was abundant, uninterrupted for over 60 million years. The land and waters of Tasmania were clean, resilient, and self-sustaining.
Today, I can share with you that the Maugean skate cannot survive if we continue to support its demise. As a company with these strong ties to the Tasmanian community, we carry a moral responsibility to the landscapes and the waters that gave rise to our brand. Our sourcing choices have the potential to either help or harm the last surviving members of this ancient keystone species. Coles has positioned itself as a leader in responsible sourcing and sustainability. Yet, if we continue to sell salmon farmed from the Macquarie Harbour, we undermine that promise. In an era where consumers increasingly choose products aligned with their values, sourcing from a compromised environment is not a neutral act. In Wilmot, the Coles family built their store upon the simple idea that good business serves people and place alike.
If their store could thrive in that era when Tasmania's natural systems were strong and healthy, then surely Coles can thrive today by protecting those systems, not exploiting them. The Maugean skate has shared its waters with Tasmanian communities for millennia. It now depends on us, on Coles, to decide whether those waters will remain a living part of our national story or a cautionary tale of what we failed to protect. As shareholders and Tasmanians, we owe it to our founders and to future generations to ensure that Coles' growth never comes at the cost of Tasmania's living heritage. Let us stand by our origins for integrity. Today, from this moment and into the future, will you stand with me for a Tasmanian living dinosaur? For earth, for nature, and for all life.
Thank you. Thank you, Mr. O'Neill, for your comments as well as your question.
Yes, we do take responsible sourcing very seriously and certainly understand and are trying to manage the potential impacts. With regards to Coles getting sourcing salmon from the salmon farmers in Macquarie Harbour, we acknowledge that that salmon farming is government approved. It is EPA licensed. It is farmed under strict certification. We also do our own due diligence in terms of understanding the impact that that is having on the Macquarie Harbour. As you may be aware, I think we mentioned it in our sustainability report, we have reduced the amount of salmon that we are taking out of Macquarie Harbour. We have also trialed other overseas salmon for our consumers to see whether they are prepared to buy overseas salmon rather than Australian salmon. Unfortunately, notwithstanding the price differential where the Australian salmon is higher, our Australian consumers have voted to continue to buy Australian salmon.
That doesn't stop us, though, in terms of working out ways in which we can find alternative supplies to ensure that, like you, we want to see Macquarie Harbour and the Maugean skate continue to survive. We've been working and engaged with Salmon Tasmania, with our suppliers, with the EPA, with the University of Tasmania, as I mentioned, the Institute of Marine and Antarctic Studies, to really understand the impact that salmon farming is having on the Maugean skate. The scientists are saying that there are some positive signs that they're seeing within the harbour, as I mentioned, with the benefits of the reoxygenation project that is taking place, with the reduction with the amount of salmon farmed, but also with the general environment itself.
As you've given from the area, that harbour is impacted quite dramatically by not just the harbour itself and the depth of that harbour and the darkness within that harbour, but also in terms of the narrow opening to the sea, in terms of the amount of oxygen water flowing in from the sea, and also the impact potentially of the hydroelectric waters in terms of the release coming down the rivers and the impact that that has on the Macquarie Harbour itself. We are continuing to do our due diligence, and we'll continue to do so. As I said in my opening remarks, we will make decisions based on the science at the time.
Because, again, as you said, we do not want to be in a position where we do not source responsibly because we have that obligation not just on ourselves, but for all of our stakeholders and our shareholders. Thank you, Mr. O'Neill. Microphone number two. Thank you.
Mr. Chairman, I would like to introduce shareholder Ms. Jess, who is here today with SIX.
Hello. Thank you for having us. I've travelled from the Tweeder, Tasmania. I represent Environment Tasmania. We form part of the SIX Invest Coalition. You put this resolution forward. Coles continues to sell farmed salmon from Macquarie Harbour, a place where an ancient species, the Maugean skate, is being pushed towards extinction by the impacts of salmon farming. The creature has survived since Gondwana. It's lived through ice ages, and yet it may not survive your supply chains.
Last year, almost 39% of shareholders voted for our resolution asking you to address this in your supply chain, despite the board's recommendation to vote against it. Your shareholders sent you an extraordinary signal. Since then, in the Tasmanian salmon industry, we've seen worse mass fish deaths, pollution, and public outrage as the industry has publicly conceded that it sells diseased salmon for human consumption and its standard practice. We now have a harbour and an industry literally on life support. The FIDC funds that oxygenation program with taxpayers' money. We are all here paying a salmon tax regardless of whether we eat it or not. It's there to offset the oxygen being taken down from the salmon. It's keeping those salmon alive, not the Maugean skate.
While we recognize the step forward by Coles in assessing the threats to farmed salmon, the threats of farmed salmon, sorry, to a species identified under the EPBC Act, and publicly we acknowledge you have acknowledged the threat to the Maugean skate, we also appreciate that you have removed your responsibly sourced labels from all Tasmanian farmed salmon products sold under your Coles own brand seafood. In recognition of this, SIX Invest and the co-filers, Environment Tasmania, Neighbours for Fish Farming, and Jeff Cousins, have withdrawn one of our resolutions, an act of good faith that you will continue in the right direction. However, I'm here today to remind you that you can't keep looking away from your complicity in what is happening in Macquarie Harbour and emerge, and you can emerge as a leader in sustainability ahead of your competitors.
Resolution 6.3 goes to the heart of what kind of company Coles wants to be. Coles can emerge as a leader in a space and champion the ideals of sustainability that the team works to achieve, noting, however, that you do not appoint a sustainability representative on the board of the company. It calls for Coles to align seafood sourcing policy with global best practice already used by major retailers in Europe and North America. It is credible. It is achievable. It would help ensure Coles is never again associated with extinction risk or cruelty. The adoption of global best practice outlined by the Conservation Alliance for Seafood Solutions would ultimately help your business safeguard against unethical practices and reputational risks in supply chains by addressing the root cause of the issue at play.
Importantly, it would help Coles make sure it's meeting its due diligence obligations under the OECD Responsible Business Conduct Guidelines. Governments expect major companies like Coles to comply with those guidelines, guidelines that expect companies to conduct a heightened due diligence where biodiversity harms involve UNESCO World Heritage Areas and protected species. The Maugean skate is a protected species that is listed as a World Heritage Value under the Tasmanian Wilderness World Heritage Area. A third of the Macquarie Harbour forms the World Heritage Area, and the guidelines also say that certifications must be fit for purpose. Those in Macquarie Harbour that you quoted are not. They do not require certified farms to detect their impact on the skate. These flawed certifications fail to safeguard the skate, and they fail to safeguard Coles from contributing to an extinction.
By aligning with global best practice for your seafood policy, Coles could safeguard our supply chains while protecting shareholders and the skate or while leaving Coles' biggest competitor, Woolworths, lagging behind in disgrace. Industrial salmon farming, and let me just make it clear to everyone in the room, Tasmanian farmed salmon is not native. It's Atlantic salmon. It doesn't belong in our waterways. It is causing an extinction event in Macquarie Harbour. Coles must make a decision on addressing its supply chain. As you've mentioned in the past, you have reduced your supply from the harbour, and I would like to ask whether or not you continue to plan to reduce and by how much. Is there a plan to transition entirely away from Macquarie Harbour when sourcing your farmed Atlantic salmon?
Ms. Jess, thank you for your comments and your questions.
As I mentioned, Coles, we take our reputation very seriously. We take responsible sourcing very seriously. With regards to Macquarie Harbour in particular and the salmon that is found that we source out of Macquarie Harbour, you're correct. We've been looking at this as a business since 2019. It's not something which hasn't just come up in the last couple of years. We've been focused on this. We don't rely on the certifications that we currently use. We do a lot more detailed due diligence above that certification. Yes, with regards to the requirement or in terms of looking at CASS, the Conservation Alliance for Seafood Solutions, in terms of their verification or certification, we're looking at those areas in terms of seeing whether that is duplicative of the certification that we currently do or whether it's additive to do that.
I think we mentioned in our sustainability report this year that we're going to be continuing to focus and improve our due diligence as we move forward. We're basing our decisions on that due diligence in terms of the sourcing of salmon in Macquarie Harbour. The science is saying that, and which we are closely monitoring, is saying that the Maugean skate numbers are improving. They're saying that the benefits of the oxygenation program are improving that. They're saying that the reduction of salmon farmed is improving the benefits of Maugean skate. We're going to continue to monitor that and work with not just Salmon Tasmania or our suppliers, but the University of Tasmania, IMAS, other NGOs, SIX, etc. I know that our team have been working with you over a number of times in the last 12 months.
We are doing enhanced due diligence, and we'll continue to improve that due diligence going forward. We'll make the right decision in terms of the benefit of all stakeholders with regards to our sourcing of salmon in Tasmania and in particular Macquarie Harbour. With regards to the addition of, I suppose, moving completely out of Macquarie Harbour, unfortunately, there's a time of the year where we can only source salmon from Macquarie Harbour. Now, provided the consumer is comfortable in terms of that, and we will continue to work with that and looking at in terms of where the science is at, that may be a situation that does eventuate. At this point in time, we believe that the source of the salmon we source from Macquarie Harbour is responsible.
Yesterday, the ABC reported that David Williams, the former board chair of Tassal, said that Coles and Woolworths were desperate for an alternative to farmed salmon. Can you confirm this?
I do not think we are desperate to confirm with regards to farmed salmon. We know that our customers want to have Australian salmon and Australian fresh salmon. We are trying to supply that to our customers and finding ways in terms of the most appropriate and best and environmentally beneficial way of being able to do that. We will continue to do that in terms of looking at our responsible sourcing.
Thank you.
Thank you, Ms. Jess. Microphone number two. Thank you.
Mr. Chairman, I would like to introduce proxy holder, Mr. Leonardo Guedes.
Good morning, Gordon. Thank you, Chair, for the opportunity.
Good morning, Mr. Guedes.
Thank you. I am Dr. Leonardo Guedes, a shark and ray scientist with specific expertise in biology and fishery management. I currently work with the Australian Marine Conservation Society, who in the past we have engaged with you. I acknowledge that you've taken that step. Coles' view that the Maugean skate population is recovering and is similar to baseline measurements in 2014 is misleading your shareholders. There are critically important caveats when interpreting population estimates as 2014 levels, caveats with which the authors of the Institute of Marine and Antarctic Studies, so IMAS for short, those authors of that report describe themselves. Please bear with me as I present to you the following evidence.
First, it is biologically implausible that the relative abundance increased 425% in skate from 2022 to 2024, given the natural rate of increase for this population is up to 8.8% per year. The IMAS report does not claim any population trends as a significant increase, I quote significant increase, in terms of magnitude, only that there are statistically significant differences reflected in the catchability of the animal since 2022. Second, 2014 population levels reflect an already heavily impacted population. So it is not a baseline of a healthy population. This population was yet to be estimated to be wiped out in half come 2019. Third, despite tentative signs of juvenile recruitment in the animal in 2022, smaller animals were not caught in 2024, suggesting recruitment may not have continued.
Assuming any of these juveniles from 2022 survive to reproductive age, which is around four to six years old, females in particular, the earliest this would be would be 2026. Mind you, these skates only live to around 10 years old. Fourth, the majority of females captured in 2024 were adults nearing the end of their natural lives, which, as I mentioned, is only around 10 years. Thus, as is the very definition of an endangered species as a very high extinction risk, this risk still remains, and the scientific evidence to date does not preclude the necessity for a precautionary approach to taking action. Thus, my question today for you, Coles, is from this day forth, how will Coles apply the precautionary principle to sourcing salmon from Macquarie Harbour? Thank you.
Thank you very much, Dr. Guedes, for your question and your comments.
With regards to, we do understand that there are early positive signs, as you say. Again, as you're aware, the measurement of the number of Maugean skate is very difficult to do. In effect, it's a catch in terms of a certain number of area, counting those, and then extrapolating out in terms of the area. In our discussions with IMAS and the scientists of IMAS, what we are being told is the fact that they are seeing increasing numbers. They are seeing an increasing number in terms of Maugean skate, in terms of the breadth within the Macquarie Harbour, in terms of where they're located, and probably also that they are seeing increasing numbers in terms of, as you say, the more juvenile Maugean skate. That is, to us, seen as positive. These are just recent information that we've received with our discussions with IMAS.
As I mentioned before, we do take responsible sourcing very seriously. The decisions which we are making in terms of the due diligence, making a reducing the amount of salmon that we take out of Macquarie Harbour, the understanding in recognizing that Maugean skate, there is an issue in terms of Maugean skate, we are working and making sure that we are doing the right thing, as I said, for all stakeholders. We will continue to do that, and we will continue to enhance our due diligence as we move forward to be able to do that.
Thank you.
Thank you. Microphone number one.
Mr. Chairman, I would like to introduce shareholder Mr. Stuart Frusher.
Good morning, Mr. Frusher.
Thank you. I'm a chair-retired professor from the Institute of Marine and Antarctic Studies at the University of Tasmania, the very institute that you mentioned several times when and the reports that they've made when you referred to the Maugean skate. When I left the university, I was hoping to enjoy my retirement and not expected to see a news headline that Australia was on track to become the first nation in the world to send a shark or ray globally extinct in modern times. This was a shock to me. I discussed it with a colleague, a former executive director of the Western and Central Pacific Fisheries Commission, former executive secretary of the Commission for the Conservation of Antarctic Marine Living Resources.
Despite us having nearly 100 years of research nationally and internationally in the sustainability of marine resources, we could not believe that this was occurring in the 21st century and against Australia's international obligations for sustainable development and the protection of biodiversity. Surely we thought the government would put a stop to this. The response of the Tasmanian government as the regulator was simply to renew salmon farming licenses for another two years, despite and without doubt the current primary cause of the habitat degradation in the harbour was by salmon farming. Unfortunately, the spin and the misrepresentation of the science by government, industry, and the regulator is apparently providing a convenient smoke screen for companies such as yours, Coles, and Woolworths to hide behind.
A recent article in the independent Tasmanian Times labelled Smoking Gun RTI Right to Information documents exposed salmon coverup has documented quite clearly the collusion between government, industry, and the regulator. I'd also like to reiterate some risks to the board. I won't go through the population. Dr. Guedes, if I have his name correctly, has already stated the actual population biology, but claims that the harbour is equally as healthy as it was in 2014 in dissolved oxygen levels only refer to the waters that are deep in the harbour. These aren't the waters where the Maugean skate lives. In the preferred habitat, they are still low, and the worst area is adjacent to the World Heritage Area. As you've mentioned, and I'll digress a little bit, Mr. Chair, you've specifically mentioned the oxygenation project in Macquarie Harbour.
That project is simply to provide the oxygen for salmon survival when it becomes low. It is not and never has been to remediate the harbour. The skate is at high risk of marine heat waves, as shown in the Tasmanian government's Marine Heat Wave and Related Events Response Plan recently released. We all know that to withstand the impacts of climate change, we need to have our waterways in the healthiest situation they can be. We have all seen what has happened in South Australia. Climate change not only will impact the harbour as well as the fish, it is also increasing. We all know that those increasing periods when summer water temperatures are occurring in Macquarie Harbour, as well as Southeast Tasmania, are scientifically shown to be above the optimal limit for salmon production. During these periods, salmon are being kept inhumanely in suboptimal conditions.
Now, I'm also perplexed at what you've just said, that Coles stated, and I heard you last year, that it has removed some of its salmon source from Macquarie Harbour. That seems to remain your response. Sustainability isn't a continuum. Either you are sustainable or you are not. You need to make up your minds. Now, through the continued retail of Tasmanian Atlantic salmon and ocean trout, Coles is compounding the threats to the skate's future, to the harbour's health, to the World Heritage listing, to its reputation for sustainable producing, and now ignoring the inhumane treatment of the product itself. My questions to the board are, given the government as regulator is failing to properly deal with the threats the skate faces, why is Coles not taking the opportunity to be a leader by demonstrating sustainability actions?
I'm not always told me that actions speak louder than words. Removing Tasmanian salmon from your shelves. How is the board thinking about these risks I've outlined and the consequences to the Coles brand? Thank you.
Thank you, Mr. Frusher, for your comments as well as your question. Regarding your comments and the information that you provided, I think also, and this goes to Dr. Guedes as well, is catching up with some of our sustainability team outside. We have a booth, a general inquiries booth, where we have a number of our sustainability team there. It would be great so that we can get that information and be able to utilize that in the way that we continue to do our due diligence in terms of ensuring that we are responsibly sourcing salmon from Tasmania.
With regards to, as you say, sustainability and ensuring that and doing the right thing is a continuum. It's not just a one-off. We are continuing to reduce the amount of salmon that we are taking out of Macquarie Harbour. We're basing that not on the certifications, but on the due diligence that we are doing. You're correct with regards to the oxygenation project. This trial is basically confirming that it has been able to improve the oxygenation levels within Macquarie Harbour, but at certain levels within that harbour. I think that in the discussions that we've had, they're looking at being able to expand that trial further and then looking at ways in terms of how do they improve that throughout the whole harbour and also at the various steps within the harbour, particularly with regards to the habitat of the skate.
We believe that we are doing the right thing in terms of the due diligence and making the right decision so that we are able to meet our stakeholders' needs in terms of our customer needs and having Australian and Tasmanian salmon on the one hand, but also doing it in a responsible way and working with our suppliers in finding alternatives in terms of being able to meet the needs of our consumers. Thank you, Mr. O'Neill. Mr. Frusher, sorry. Looks like I've got microphone two. Okay. Maybe if you go to another microphone. Excuse me. Excuse me, sir. Are you a shareholder? Okay. We'll just get that confirmation. I think that's why. Microphone number two. Thank you.
Mr. Chairman, I'd like to introduce proxy holder, Spencer Hitchen.
Mr. Hitchen, good morning.
Good morning. Thank you for this opportunity. I am Spencer Hitchen. I'm 14 years old. I am standing here today on behalf of my generation, on behalf of the future, on behalf of the youth, because this is about our future. I've been to Macquarie Harbour, and I think you mentioned at the start that you've been there too. It is an absolutely incredible place. When I saw those fish pens, when I saw the fish farms, it just makes me feel so sad to know that the impacts from those fish farms are extincting a species, the Maugean skate, the phylocene of the sea. It's just so sad. I cannot comprehend how the adults, the decision makers, can do this to a species and do this to my future and future generations. You're obviously selling Tasmanian salmon and salmon from Macquarie Harbour specifically in your stores.
How would people know that the salmon that they are buying right there in those stores is coming out of Macquarie Harbour and forcing a species towards the brink of extinction? They do not know. My mum and dad would not know if I had not told them. That is really important. I do want to recognize that you have made some positive steps in the right direction. You have started to take action to protect the Maugean skate, and you have moved that responsibly sourced label, which is brilliant. Really, if we want to turn this around, if we want the Maugean skate to survive into the future and these incredible waterways, like Lyndon said before, to be healthy into the future for my generation, my future, generations beyond me, then you have the power. You have massive power to change this.
You're a retailer of this product that is impacting a species and forcing it towards the brink of extinction. My question to you today is, firstly, I know you have a vision to be the retailer that's most trusted. If you want to gain the trust of my generation and generations beyond me, then it's so important to listen to our voices and take action for us and our future. My question is, are you willing to knowingly extinct a species like the Maugean skate? If your answer is yes, then why? Do you care? Do you care about my future, my generation's future? I hope that you care because this is really important.
Thank you, Mr. Hitchen. Thank you for your comments as well as your question. As a parent, I do care for the future generation. To me, it's something which is very important in terms of ensuring that, in effect, we as a generation leave the earth in a better place than where it was in terms of when we joined the planet as a baby, in effect. I think as far as where Coles is concerned, and no, we don't want to be associated with the extinction of Maugean skate. I think that what you're seeing and what you have seen since 2019, we have been working within ways in terms of trying to understand the impact that salmon farming and our sourcing of salmon in particular is having on the Maugean skate and the environment within Macquarie Harbour.
We're continuing to do that, not just relying on the certification that other groups are providing, but doing and going over and above that, as we mentioned before, in terms of doing over further our due diligence. We're working with the understanding of the scientists in terms of understanding the science of that. That's one of the reasons why we have substantially reduced from 2019 the amount of salmon that we've taken out of the harbour. As I mentioned in my address, we've reduced it the last year as well. We're continuing to monitor that to ensure that we believe that it's going to be sustainable and responsible for the Maugean skate. If the science changes, then we're going to have to significantly review what we are going to be doing with regards to that to ensure that we do not have that extinction event happen.
At this point in time, we're comforted by the science and what it is telling us, the improvement that I've mentioned previously, but we'll continue to monitor that. If that changes, we'll make changes ourselves.
Thank you for your answer. I really do hope that you've listened to our voices today and that you will continue taking action. Thank you.
Yeah, thank you very much. Microphone number four.
Mr. Chairman, I would like to introduce shareholder Mr. Ted White.
Thank you, Mr. Chairman. I'm representing the other end of the spectrum. I'll soon be 89, so I'm trying to balance out the debate with the young boy who did an excellent job. My comment really, first of all, I'd like to congratulate the board. I think they've done an absolutely magnificent job.
I'm a bit surprised that we spent an hour and 15 minutes on a subject which a lot of people are passionate about. I believe that on balance, Coles is doing a very good job in a very difficult circumstance. I'd like to think in future that we can have some sort of limit time-wise on the so-called questions that are being put up. I think people are passionate, and I love passionate people, but I think there's a cost at times, and we've got to balance out the benefit for the cost. Thank you.
Thank you, Mr. White, for your comments. We'll certainly take that on board.
Just to put a little bit of reality, normally I spend this morning giving out food to people who are in desperate need of food. We have 40 families in the Holmes Glen area who are virtually living on the breadline. I think that we've got to be mindful of the fact that as shareholders, we're very, very fortunate people. Thank you.
Thank you, Mr. White. And well done on what you do. Thank you. There appear to be no further questions from the floor. Jessica, are there any online questions?
Chairman, there are no online questions or comments on this item.
Thank you. If there are no further questions, we have finalised discussion on this item. For your information, the details of the proxies and direct votes received for item 6.3 are now displayed. As previously mentioned, noting that item 6.1 was not passed, item 6.3 will not be put to the meeting for voting. Before I close the meeting, I'd like to pause to give shareholders a final opportunity to enter their votes on all resolutions. While we pause, are there any remaining questions in the room or matters not already discussed? Microphone number one.
Mr. Chairman, I would like to introduce shareholder Mr. John Spragg.
Thank you for your presentation today. One question. What is the significance of stock shrinkage through theft? Now, last year, when you were asked this question, we were just told that it was less than the previous year. Can you give us a dollar figure on what the stock loss is? Thank you.
Mr. Spragg, I personally don't have that information on me. I'm not sure whether our CEO does. But we are continuing to induce stock theft across our business. It's certainly been a significant improvement over the last couple of years. What we are seeing, and particularly here in Victoria, is organized crime is at unacceptable levels. We are certainly working with the government, the police, and others in terms of trying to ensure that we end up with some better measures in terms of helping us help ourselves with the level of technology and training which we are putting into our team to be able to try and remove that stock theft that is taking place. In terms of the quantum, Mr. Spragg, I will see whether Leah has any response to that.
Mr. Spragg, we very pleasingly were able to reduce our total loss by 25 basis points over the course of FY2025. If you were to have a look at our supermarket sales, 25 basis points of that improvement was achieved, which was a significant shift for us over the year.
Thank you very much. It's just distressing as a regular customer seeing people decide it's optional to pay because it's not uncommon for me to see people walk out of the store without paying. Thank you.
Thank you, Mr. Spragg. Microphone number one.
Mr. Chairman, I would like to introduce shareholder Mr. Henrick Kay.
Good morning, Mr. Chairman. In regards to the crime issue, I'd like to suggest that you work with Neighbourhood Watch, Victoria. Also, Victoria Police have a crime prevention division within Victoria Police. That would help you. Also, as regards to the shareholder meetings, I would suggest that in future, you follow what Woolworths has done the last two years and hold it at your head office in Tooronga.
Thank you, Mr. Kay. Thank you very much for the advice in terms of how we can improve our security and reduce theft in our stores.
We will continue to work with the Victorian Police and the government and Neighbourhood Watch, etc., to be able to do that. I will take on notice in terms of being able to hold the AGMs in a different location. We see that it is beneficial in some respects in having a room which is reasonably large, something which we probably cannot provide in a safe, secure way in Tooronga with regards to it being a working environment. We will certainly take that on notice. As you are probably aware, we are relocating our offices in a few years' time down here into the city. Therefore, there will be a different forum and venue. Thank you very much, Mr. Kay. There seems to be no further questions on the floor. Jessica, any questions online?
Chairman, Australian Ethical Investment has asked a number of questions on our cage-free egg commitment and our broader animal welfare commitments. They have also asked about sustainable food choices and diversification into plant-based alternatives. Their questions are: Can you meet your cage-free egg and broader animal welfare commitments in the context of biosecurity risks affecting animal agriculture production? Can Coles explain how the company will mitigate the animal welfare and sustainability risks associated with extending the timeline to 2030? Can you encourage customers to choose more sustainable options like plant-based alternatives? Will Coles consider making protein diversification part of its climate strategy?
Thank you very much for the question. With regards to the eggs and cage or cage-free eggs, Coles has committed since 2013 to have cage-free eggs. So Coles' own brand shell eggs are 100% cage-free.
We've had to extend the deadline with regards to the caged eggs or non-caged eggs and getting rid of those, in effect, temporarily pause it because of the avian flu epidemic that has taken place and the need for our customers and their demand to have the availability of eggs. We continue to see that 85% of our eggs that we sell is cage-free. We're continuing to make sure that that is the case. We're encouraged in terms of the improvement in cage-free eggs that are taking place. We'll continue to work with our suppliers in terms of trying to meet that commitment, understanding that that commitment is well ahead in terms of where it's going to be mandatory. With regards to animal welfare, we are very focused on our animal welfare and particularly with the sustainable options.
We offer a wide range of choice of products and plant-based products, in particular, through our stores. We are looking to ensure that we are able to provide the customer what they want in terms of how they get their protein and providing them more sustainable options. Thank you for your question. Jessica, any further questions?
Chairman, we are just checking whether there are any more online questions or comments on this item of business.
We need to have some holding music somewhere.
Chairman, we have received an online question from Miss Athena Pazzelini, who has asked, "Do Coles feed Bovaer to all its meats? If not, then is it labelled?"
Personally, I'm not sure in terms of the answer to that question. I'll ask Leah in particular to respond to that.
Thank you for the question. We do use Bovaer in part of our beef supply chain, but it is not used in any other parts of our meat supply chain.
Thank you. Jessica, any further questions?
Chairman, we have received an online question from Maravik Zerati, who has asked, "I'm a member of your Coles Circle consumer platform. Has this added value to the business?"
Mr. Zerati, thank you for your question. Of course, any engagement that we have with our customers is very important in terms of providing feedback and input. Therefore, we welcome and we have a number of processes in place where we engage with our customer to ensure that we're able to deliver what they want with regards to our purpose. Thank you. Microphone number two.
Mr. Chairman, I would like to introduce proxy holder Ms. Lillian Henley.
Lillian. Good morning.
My name is Lillian Henley.
I have travelled here today from Lutruwita, Tasmania. I would like to just revisit the issue of the farmed Tasmanian salmon. I am interested specifically in Jacqueline Chow's thoughts, considering you spoke earlier of your experience managing complex supply chains as well as brand reputation and sustainability. Tasmanian people are deeply, deeply concerned at the environmental implications of intensive salmon farming in Macquarie Harbour and across the state more broadly. Industrial salmon farming in Tasmania is taking more than it gives. It is polluting our waterways, our beaches. It is degrading our recreational fishing opportunities and tourism opportunities. It is siphoning profits offshore whilst leaving Tasmanians to bear the environmental cost. Earlier this year, Tasmanians were horrified with videos released during the summer mass mortality event of aquaculture staff pouring crates of dead, diseased, along with live salmon straight into skip bins and shipping them off to the tip.
Given another recent mass die-off event, this time of Tassal Barramundi in Western Australia, another stark warning about the fragility and environmental cost of intensive aquaculture and global failings of this intensive open fish farming model more broadly. When will Coles recognize that it is not the location or species of fish that is the problem, but the unsustainable business practices of the companies and supply chains that you source from and directly support? Thank you.
Ms. Henley, thank you for your questions. I do not believe it is appropriate for Ms. Jacqueline Chow to answer the questions, but I will try and address that question or your questions. We do take reputation seriously. As I mentioned previously to a number of other shareholders, we are focused on working with and understanding the due diligence and the scientific updates.
We're certainly ensuring that what we do is we're trying to make the right decision with regards to be able to provide a product that our consumers want with regards to ensuring, though, that it is sustainable, particularly within Macquarie Harbour, and it's not endangering any other species. We're trying to work within that balance in terms of the balance of all stakeholders. I believe in terms of the action which we've taken to date is proving that we're to our word with regards to do that and of making changes.
With regards to the unfortunate event of the mortality event down in Tasmania earlier and also what we've seen in Cone Bay in Western Australia, it is something which we're working with our suppliers in terms of trying to understand how it occurred, what remediation work that they are able to do to ensure that it doesn't happen again. It goes part in terms of our due diligence to ensure because we want to make sure that we have a sustainable product that we sell to our customers. If that's not available or if it's not the right location, etc., or the right way to farm, then we will be making changes in terms of how we source that product. Thank you for your question and comment.
Thank you.
Yeah, thank you very much. I noticed that. I believe that there will be, I will pause the meeting at this point in time. I believe that there is an announcement coming over the loudspeaker.
Ladies and gentlemen, can we please have your attention? On this Remembrance Day, we pause to recall the brave souls who gave their tomorrow for our today. If you're able to, could you please stand? As we grow not old as we that are left grow old. Age should not weary them, nor be years condemned. At the going down of the sun and in the morning, we will remember. Ladies and gentlemen, can we please pause for a moment of silence? Thank you for your attention.
Thank you, ladies and gentlemen. We'll go back to the meeting. Jessica, any further questions?
Chairman, there are no more online questions or comments on this item.
Thank you. If there are no further questions, just excuse me. If there are no further questions, we have finalized our discussion. That concludes the board formal business of the meeting today. If you've already done so, already not done so, please ensure that you submit your vote for its resolution. I now declare the poll closed. The final results of the poll will be advised to the ASX later today and will be published on our website as soon as possible. Congratulations to Scott and to Jackie for your re-election. That concludes our business today. Thank you for your attendance at the Coles Group's annual general meeting and your support of Coles. We very much look forward to continuing your continued support as we enter this busy Christmas period. I wish everyone a joyful festive season. I now declare the meeting closed.
For those of us who join us here in Melbourne, I invite you to join the board and executive leadership team for some refreshments, which will be served just outside the entrance of this meeting. Thank you very much for your attendance.