Forum Archive Index - October 2002

["B.Bourke" <bbourke@world-net.co.nz>]

Greg ("Maria Smith")   Yes, you are at least partially right. The old brierley formula was swift and definite. At the moment the seem to be making the play out in the open and not making great apparent progress.   Was intrigued by your Fonterra efficiency comment. As usual with promised 'efficiencies' they never happen and in fact were never real. Fonterra hasnt achieved the promised $300 mill they said they could and in fact were $60 mill over budget ("an admistrative blowout" one of them called it) - so they missed by $360 mill. Same for Affco this week. They will save $1mill pa by moving to Horotiu but they still have the Auckland office to pay rent on or sub-lease for another 7 years. - and if they cant sub-lease then not only no savings, but extra costs. Then look at Baycorp and all the others who where promising amalgamation improvements. Rarly happens. Got to be very wary of these "efficiency claims.   Kind regards.                    B.Bourke                 packaging@world-net.co.nz                 2002-10-11