Beingmate has muted Fonterra’s Chinese hum

Fonterra is “humming” in China, according  to  a headline  in the  NZ  Herald,  although the  text  of the article beneath it mentioned  the  “woes”  associated with  the co-op’s investment  in Beingmate.

The  co-op  is having to absorb   an impairment of   $405m    on the value of its 18.8%  holding in Beingmate.  On top of the $183m payment it has had to make  French  giant  Danone, the  writedown  takes the gloss off that  otherwise  “humming”  performance.

Some of its farmer-shareholders may be looking over the  fence to  the rather different  outcome  for A2 Milk, which lifted its annual  sales  68% in the June year,  with  revenue   rising  from $549m in the June  2017 year  to  $922m.  During  the latest  year A2  Milk achieved gross margins  up  to  49%.   Continue reading “Beingmate has muted Fonterra’s Chinese hum”

Assailing corporate leadership helps lift Jones up the political leadership ladder

Shane Jones tears strips off Fonterra and says the chairman should ‘catch the next cab out of town’”.    

It’s   another  headline to propel the NZ First Cabinet minister up the  political  leaderboard.   Maybe  he’s  learning from  Donald Trump.

Jones’  latest outburst  follows  an  earlier  broadside  against  another  iconic  NZ   company,  Air NZ,  suggesting its chairman step down and its CEO  stay out of politics.

Is there   some connection between  the two  onslaughts?  Could Jones have heard the speculation that Air NZ CEO Christopher Luxon may be  on the short list to replace  Fonterra’s Theo Spierings (who announced earlier this year he is   standing down  as  CEO   after seven years in the job)?

Jones  does not  shrink  from the role of   being  NZ  First’s attack dog.  What better  way  to  keep your party  (and yourself) in the news?

But this under-estimates Jones as a politician.  He is much smarter than that. Continue reading “Assailing corporate leadership helps lift Jones up the political leadership ladder”