More than 50 people attended the Alliance Group annual meeting in Alexandra yesterday.
Mr Taggart said Alliance posted a $97.9 million pre-tax loss for the year ending September 30.
This year had been "incredibly tough" for Alliance, he said.
Factors for the financial result included markets collapsing, especially for sheep meat and
more staff being employed to prepare for more stock to be processed when a forecast drought hit.
"The drought was a non-event and we ended up carrying additional cost within the business."
The market and weather factors caused "profitability to slump to our worst result since 2012".
"We are very disappointed by this year’s result."
Alliance was reviewing its fixed assets and capital to give shareholders an assurance their funds were being invested wisely, he said.
"We are not considering processing plant closures."
The board was considering options to increase the level of shareholders’ funds.
"We will be reviewing all options but at this stage a lift in the number of shares required to be held, per lamb equivalent supplied, is a likely outcome of this review."
The new season had started more positively than last season and trading was slightly ahead of budget.
"Given weaker market conditions and continuing reductions in livestock numbers across New Zealand, we are forecasting conservatively this financial year."
In a questions and answers section, shareholder Peter Baker said he wanted Mr Taggart to stand down.
"The conduct of our board has been found wanting and the oversight of the co-operative’s direction impaired.
"Your poor leadership has co-ordinated in the disastrous loss we now face.
"I ask you to stand down as chairman at the co-operative’s next board meeting.
"The co-operative needs a new leader to steer us through the difficult times."
Mr Taggart thanked Mr Baker and said his thoughts were noted.
Shareholder Pete Turner said he believed Alliance had been "in trouble" for the past seven years.
"Equity has gone from 71% down to 48%, so effectively the banks and their liabilities own more than the company, so there needs to be a bit of accountability around that and realisation from the board that it can’t continue."
A review would result in shareholders being asked to fund the "poor performance", Mr Turner said.
He asked when a business strategy would be released to shareholders.
Mr Taggart said he agreed with the opening statement of Mr Turner.
The board would discuss a strategy for restoring balance sheet strength in March next year, he said.
Chief executive Willie Wiese said his first nine months in the position had been "torrid".
The business had a clear plan, and opportunities to trade more profitably in a tough environment were being identified.
"We are on track and optimistic in delivering despite the headwinds."
There was "no silver bullet" for tough trading conditions, which he was hopeful would improve.
"What I can tell you with significant confidence is that there is a team at Alliance who work tirelessly to ensure we identify every single opportunity and we deliver on those to minimise the impact on our farmers."
