Compensation Decision Will Not Affect Ann. Result
COMPENSATION DECISION WILL NOT AFFECTED EXPECTED POSITIVE ANNUALRESULT
Wrightson's decision to commence compensation discussions with farmers affected by the swede/rape mix-up will not significantly affect the company's profit result, says Chief Executive Dr. Allan Freeth.
Wrightson has announced it is appropriate to compensate for the specific losses suffered by up to 900 farmers in Otago/Southland who have experienced rape inadvertently mixed with swede crop. "Wrightson is insured for this event and is working well with its insurer on the details of the compensation process. It is expected to have a negligible impact on the company's 2000/2001 annual result."
"Provision has already been made in the 1999/2000 accounts for the $250,000 insurance excess."
Dr Freeth said Wrightson had performed well in the year to date and this issue would not affect the company's full year performance.
For further information, please contact: Mark Thomas 021-417-416 or Dianne Watson 04-238-0167