Fonterra investing $70m in new electrode boilers
While opening the first electrode boiler at its Edendale site, Fonterra has announced a $70 million investment in two further new electrode boilers.
Twenty per cent of Farmers sold close to $600 million worth of the economic rights to their Wet Shares, Brown says.
"The first supply offer saw farmers exercise some understandable caution but with growing confidence in the new system farmers are now ready to use TAF as it was intended.
"The solid level of demand from shareholders to release some of the economic value of their shares shows they are using TAF to their benefit.
"Farmers are taking advantage of the greater flexibility it offers them in making decisions that impact the day-to-day running of their business.
"This also strengthens our cooperative as Fonterra is now able to make better use of our capital rather than, as the recent drought would have compelled it to, distribute it as farmers redeemed their shares."
