BSkyB investors want more say

ANGRY BSkyB shareholders want the pay TV group to revamp its board by hiring more full-time directors following the controversial appointment of Rupert Murdoch's son James as chief executive.

This could mean promotion for several internal candidates who lost out to 30-year-old James. Sources say this would allay fears that talented managers might quit in the wake of his fast-track selection.

It would also address serious concerns about BSkyB's corporate governance. It has a US-style board of just two executives - a finance director and a chief executive. There are 11 non-executives, but the independence of some is under scrutiny. Critics say the structure puts too much power in the hands of too few directors.

One big shareholder said: 'There must be greater executive representation to give the board more bite rather than having nonexecutives nodding things through.'

However, shareholders are unlikely to overturn the company's plans as Rupert Murdoch's News Corp owns 35.4% of BSkyB. He has made it clear he has no intention of standing down as BSkyB's chairman.

One of James Murdoch's priorities will be to restore dividends, which have not been paid for five years.

First-quarter figures out on Friday are likely to show sales of £830 million, 14% up on the same period last year, while pre-tax profits are likely to be about £118 million, 170% up.