The Shannon Foynes Port Company faced legal expenditures amounting to €357,008 last year, due to a successful High Court case pursued by its chief, Pat Keating, over withheld bonuses. The High Court, in 2022, mandated Shannon Foynes Port Company to pay Mr Keating overdue bonuses totalling €373,339 spanning the years 2010 to 2017.
The company’s annual report for 2023 revealed that the legal expenses of €357,008 derived from third-party legal costs related to a case with an employee where judgment was ruled in favour of the claimant in 2022. Mr Justice Mark Sanfrey’s judgement, in response to legal proceedings initiated by Mr Keating against his employer, established that the company directors’ failure to exercise their discretion in bonus payment in September 2022 constituted a breach of contract that resulted in damages and losses for Mr Keating.
This verdict set a precedent, allowing former Dublin Port Company chief executive, Eamonn O’Reilly, to successfully sue the company, resulting in a payout of €415,000 in overdue bonuses last year. Both, Mr O’Reilly and Mr Keating, enlisted Limerick law firm, Dundon Callanan Solicitors, for their respective cases.
Despite a slight decrease in revenues from €15.89 million to €15.75 million last year, Shannon Foynes Port Company reported that their pre-tax profits increased by 14 per cent to €4.8 million, as revealed by their annual report.
In the accompanying statement to the accounts, Mr Keating expressed satisfaction over a strong, profitable year in face of daunting economic conditions and national commitments towards climate action impacting related sectors. He pointed out that throughput at the company’s two directly managed terminals, in Limerick and Foynes, resulted in Ebitda exceeding €7.3 million, marking only the second occasion in the company’s history. He signalled that the port stands to gain in the medium to long term from developing supply chains for offshore wind and enhancing freight and logistics capacity.
Michael Walsh, who assumed the role of Chairperson in March this year, confirmed in a statement that the port maintains considerable financial health, boasting a balance sheet valued at €62.9million. In financial year 2023, the company disbursed a dividend amounting to €325,000. The firm, employing a team of 50, incurred staff expenses amounting to €4.45 million in the previous year. Moreover, short-term benefits for staff, comprising performance-related remuneration, summed up to €210,474. The firm’s key management personnel mutually received €585,822 in salaries and additional short-term benefits for employees.