ACT Claims Of ENZA Vindicated

Tuesday 12th Dec 2000 Owen Jennings Media Release -- Other

Claims made by ACT earlier this year about ENZA’s financial position have proven correct with the announcement of ENZA’s $38 million end of year loss, said ACT spokesman Owen Jennings.

ENZA posted a $38 million loss for the year to September, compared to a $4.8 million loss last year. Foreign exchange losses accounted for $17.1 million and write-downs for the Chiquita-ENZA Chile operation were $17.1 million.

“ACT predicted a $40m loss in July, a figure that was savagely scorned by then ENZA Chairman Mr John McCliskie. ENZA’s performance will be devastating news to growers already under severe financial strain.

“Last week over 200 applegrowers marched on parliament calling for a review of the regime implemented under the Restructuring Act (1999). The apple industry is facing a crisis of confidence.

“Monopoly exporter ENZA is facing a Crown Law Office opinion on its court action against independent exporters and a probable negative grower response to a special state of the industry report released last week.

“ACT has consistently supported grower demands for industry de-regulation. It is obvious that the current arrangements of the Restructuring Act (1999) are not working and the Minister of Agriculture, Jim Sutton, must act decisively this week to put the industry onto a sound footing,” said Owen Jennings.

ENDS

For more information visit ACT online at http://www.act.org.nz or contact the ACT Parliamentary Office at act@parliament.govt.nz.

© Scoop Media