FSF - Fonterra

**Beagle** · 25-09-2019, 09:29 AM

Originally Posted by Sideshow Bob

https://www.nzx.com/announcements/341549

Selling more of the silverware. Pity they didn't announce a billion dollars in profit...…

Tip Top was probably one of their best assets...seems such a shame to see a company of this former standing in such a mess.

**kiwijay** · 26-09-2019, 07:38 AM

Doomsday today, wonder how much worse it could go?

**Dassets** · 26-09-2019, 09:00 AM

Fonterra this am was a shocker. Not for the loss(which is bad enough) but what the CEO said. Blaming the realities of asset values and various divisions for the tough times is a joke. The reality is the problem is the people. This new CEO blames everything but the people. IMO nothing really will change at this time until the company understands why it has failed.

**bull....** · 26-09-2019, 09:10 AM

loss no surprise , but im sure there will be more right downs coming and gearing level blow out as a consequence.

strategy is more akin to a company in retreat from overseas . focus on debt reduction , asset sales , cost cutting. the only positive was there interest in keeping high value sectors but unfortunately not having any capital to grow these sectors means very little growth to come highlighted by there financial outlook for minimal growth in margins and revenue.

all in all look really like they havnt learnt anything except to focus paying everything in milk payout to farmers. be interesting what happens when the milk price fall of a cliff one day. not having the capital to expand the value add will leave them wanting now.

**whatsup** · 26-09-2019, 09:36 AM

IMHO The fundamental problem, with Fonterra is the Co-op legislation , IMHO nothing will improve until they reform under a company structure where they only payout 70-80% of their milk fat price to their suppliers, imo dairy farmers do not care about the business of Fonterra just as long as they receive all of what they think they deserve to carry on their capital gains tax free farming and let Fonterra survive as best as it can in its own .

If this was a company it would have come back to its shareholders ( farmer suppliers ) for a cash issue ( 1 billion dollars ) to recapitalise itself instead of selling its company jewels

**Beagle** · 26-09-2019, 10:27 AM

Originally Posted by Dassets

Fonterra this am was a shocker. Not for the loss(which is bad enough) but what the CEO said. Blaming the realities of asset values and various divisions for the tough times is a joke. The reality is the problem is the people. This new CEO blames everything but the people. IMO nothing really will change at this time until the company understands why it has failed.

I haven't had time to read it yet but if they're not acknowledging and owning their own part in the problems they're facing I'm inclined to think that is just as shocking as the loss itself.

**Southern_Belle** · 26-09-2019, 11:43 AM

Originally Posted by Beagle

I haven't had time to read it yet but if they're not acknowledging and owning their own part in the problems they're facing I'm inclined to think that is just as shocking as the loss itself.

Apparently not owning the problems...... Global Operating Officer resigns & Christina Zhu may apply or the job .....Christina is the current China president and responsible for the due diligence on the Beingmate investment...... how on earth does she still have a job with Fonterra .... Fon-Terror