Morgan's brilliant, often turbulent, career at WMC closes

With the weather closing in, Morgan was happy to be squaring things away ahead of his return to town.

``It puts one spirits up for a few moments, that's all," Morgan said of the rain, not his departure from the mining group he has ruled with an at times controversial flair since assuming chief executive responsibilities in 1990.

The good news was that his hereford stud at Rochford near Mount Macedon, Victoria, had received a much-needed 30 points of rain overnight. Morgan can't remember things being so dry in his 32 years at the property.

For almost as long 27 years in fact Morgan and WMC, the most establishment of Australian companies, have been synonymous.

And there will be a lingering connection, with Morgan staying on the payroll as an executive officer until the end of the month in what amounts to a handover period with the new CEO, Andrew Michelmore, of what is now WMC Resources, the group that took all of WMC's non-alumina interests in the company's $10 billion demerger.

But with Morgan also off the WMC board as of yesterday, it is Michelmore who is now calling the shots. Morgan has no fears about how he will fill in his days.

``There is a lot to do and there is a large number of things to organise. And I am looking forward to the change," Morgan said.

``I go overseas on the 12th to do some work with the [London-based] Commonwealth Business Council, of which I have became joint chairman. Then it's off to the World Economic Forum in Davos [January 23 to 28].

``Then I come back and get myself in order."

Morgan said he did not plan to continue a direct interest in the local mining industry on his return.

``There is a whole lot of things I am engaged in. There is the Lafarge International advisory board, the recently taken chairmanship of the Order of Australia Foundation, plus some appeals I am very much engaged in.

It's an interesting period. As is every day, quite frankly. Every day is a great day if you have got good health."

Asked about the highlight of his reign at WMC, Morgan said the magnitude of the time span his stint as CEO is unprecedented in recent times did not lend itself to a single 10-second news clip.

``There has been so much that has happened. The growth of our interest in Alcoa of Australia and then AWAC, the adventures of getting involved in Mount Keith and Leinster ... we wouldn't have a nickel division today without those.

``The negotiations for developing Olympic Dam, the change in the Federal Labor Party's uranium policy, saying goodbye to BP in the [Olympic Dam] project on very advantageous terms. Then there was the tremendous changes in safety performance, the dramatic culture in the company, the move to an all-staff company for the last seven years and the increased productivity."

Morgan also stubbed his toe more than once during his reign and names the $500 million blown on a group of Canadian gold properties, more properly described as moose pasture, in 1993-94 as his ``big" disappointment.

Many followers of the ``old" WMC remain disappointed that it was Morgan who oversaw the splitting of the company into WMC Resources and Alumina.

He did so on the basis that it had to be done to improve contestability in any future takeover bids.

But he won't be waking up each day of his ``retirement" wondering if such a bid has arrived.

``The reality of life is that the best protection for both of them is their share price. Now they are in a contestable position, like everything else. If performance is there and the share price is there, they have got every chance of growing and being independent."

Morgan offered the insight that when it came to Alumina, ``there is somebody out there [Alcoa of the US] for whom the value of the company is worth more to them than anybody else".

``I don't see that changing. Whether that means Alcoa will want to do something earlier rather than later, I've got absolutely no idea. But it is the best thing in town for them. So one day they will seek to acquire it and, might I say, in their own legitimate self-interest."

Morgan has his own legitimate self-interest, a shareholding across the WMC Resources and Alumina worth $3.6 million at last count, plus a swag of options.