ATM - A2 Milk Corporation Limited

[Golfer01]

Market assumes there will be less gray market activity (eg, sending to China after buying from the self ect). Might damping demands.. So there are a few instos taking profit or reduce their holdings. Same as BAL, CZZ, and Blackmores.

I'm sorry, can't agree with this totally. A large (large) percentage of product is exported to Hong Kong, with a smaller volume being sent direct to China. The volume going to HKG is predominately sold in HKG. In the main it is purchased by Mainland Chinese who make daily trips across the boarder to purchase in bulk and take back across the boarder. This occurs over a vast array of goods...HKG has no import restrictions or labelling requirements for infant formula currently and likely, never will. The Grey Channel will only increase should there be any unusual restrictions applied by the Chinese Authorities for shipments sent direct to China.

Still, I wish there wasn't as much volatility in the share price......

[Trigger]

If I was a betting man I would have put money on an update from the company in mid April. My logic for the timing was simply that they would have the volatile first calendar quarter behind them (Jan holidays and CNY in amongst it all) and a clearer view of what any regulatory changes might mean for trading conditions for the final three months of the year.

Now halfway through the month, does anyway have a similar/different view?

[King1212]

Are u guys ready for news?

http://business.scoop.co.nz/2016/04/...ina-bolstered/

[King1212]

Checky management....waited till our delegates went to China and push the trade then release the result! Good job management!

[babymonster]

Good news, although they still cannot really make the claim with only 40 people. With 600 people and double blind test, they can.

[blobbles]

Yep, anyone who has the slightest comprehension of a proper scientific study would laugh at a 45 person trial in order to make sweeping statements. Wait until the 600 person trial comes out before getting excited. Better if it was in the 1000's and run by a reputable, independent, Western science team.

Anyone know who is conducting these trials? If it is a Chinese "research institute", I would be highly skeptical. I knew a western food nutritionist in China who was working in a university there and the lying/cheating/back stabbing/lazyness and idiocy that came from his workmates drove him away. Very few were interested in actual science, most were just more interested in climbing the ladder (up the communist party which is deeply involved in Chinese universities). I would not trust anything they published as they will simply find whatever the company who is paying for the study wants them to find. As fonterror has deeper pockets, they could fund much bigger "trials".

[Lewylewylewy]

I think you miss the point. Corruption is normal in China, and a requirement of success. Getting the govt to say that ATM's milk is good for you is a path to enabling exports to China. It seems ATM is lining the correct pockets.

My ex girlfriend was Chinese. Her grandma was quite high up in the govt. Her mum knew lots of people in the dept that decided which companies get the allocation of export quotas from China. Basically Chinese companies would have to pay her to be allowed to do business outside of China. That's just how it is there.

[Hectorplains]

I think you miss the point. Corruption is normal in China, and a requirement of success. Getting the govt to say that ATM's milk is good for you is a path to enabling exports to China. It seems ATM is lining the correct pockets.

My ex girlfriend was Chinese. Her grandma was quite high up in the govt. Her mum knew lots of people in the dept that decided which companies get the allocation of export quotas from China. Basically Chinese companies would have to pay her to be allowed to do business outside of China. That's just how it is there.

Wow, this thread is heading into arable country. Your Chinese ex-girlfriend's Grandma, eh? ATM is "lining the correct pockets." Do I need popcorn?

[emveha]

Yep, anyone who has the slightest comprehension of a proper scientific study would laugh at a 45 person trial in order to make sweeping statements. Wait until the 600 person trial comes out before getting excited. Better if it was in the 1000's and run by a reputable, independent, Western science team.

Anyone know who is conducting these trials? If it is a Chinese "research institute", I would be highly skeptical. I knew a western food nutritionist in China who was working in a university there and the lying/cheating/back stabbing/lazyness and idiocy that came from his workmates drove him away. Very few were interested in actual science, most were just more interested in climbing the ladder (up the communist party which is deeply involved in Chinese universities). I would not trust anything they published as they will simply find whatever the company who is paying for the study wants them to find. As fonterror has deeper pockets, they could fund much bigger "trials".

What matters is what the Chinese think of it, isn't it? Hopefully they won't share your a priori.

[RGR367]

What matters is what the Chinese think of it, isn't it? Hopefully they won't share your a priori.

Yup. And worry not, the americans maybe the best marketers in the world but Kiwis can market good products to the vast land that is China. As my chinese friends had accepted, they love this Middle_earth and all that it represent but never never NEVER EVER tell them that those "contested islands" are never theirs to own. And yeah, corruption is always there on offer too.