Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Ballance announces a minimum $24 a tonne return

Media release for immediate use
1 May 2008

Ballance announces a minimum $24 a tonne return to shareholders

Continued performance growth at Ballance Agri-Nutrients has enabled the company to advise that shareholders will receive an annual rebate and dividend this year that is at least as high as the $24 distributed last year.

The major fertiliser cooperative runs a 31 May financial year and makes its formal rebate announcement in July, but its Chairman, David Graham, says it is already clear that this year’s average return to shareholders will again be very strong.

‘While we don’t yet have our full results for the financial year, by analysing our third-quarter figures we can predict with reasonable confidence that our transacting shareholders will get a market-leading payout again this year.

‘We want our shareholders to know it now, to assist them with their autumn fertiliser decision-making.’

For its 2006/07 financial year, Ballance’s average return to shareholders was a combined total distribution of $24.20 a tonne for fully paid up shareholders.

Based on current figures, the company’s payout scheme will return more than $25 million to its shareholders for the 2007/08 year. Ballance’s shareholder base has grown to about 18,400, Mr Graham said.

‘Once again, favourable supply arrangements and good cost control, along with our Kapuni urea manufacturing facility, have been the key contributors to our overall performance.

‘When rising international prices forced us to increase the price of our core products in February, we were able to soften the blow for loyal shareholders by offering a credit of $30 per tonne on any urea purchased before 31 May 2008, redeemable against any subsequent purchase of manufactured phosphate product before the end of November 2008.

‘This is a real point of difference for Ballance shareholders. This latest return to shareholders is proof to them that they have made a wise choice in supporting Ballance.’

Formal notification of the full extent of the 2008 payout and dividend, and its composition and terms, will be made in July.

Mr Graham signalled that Ballance would have to review its fertiliser pricing structure very soon.

‘Our international sourcing costs have continued to rise substantially, and there is no way we can absorb them. Prices for all our leading products will be moving up shortly.’

ENDS
____________________________________________________________________________

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

By May 2018: Wider, Earlier Microbead Ban

The sale and manufacture of wash-off products containing plastic microbeads will be banned in New Zealand earlier than previously expected, Associate Environment Minister Scott Simpson announced today. More>>

ALSO:

Snail-ier Mail: NZ Post To Ditch FastPost

New Zealand Post customers will see a change to how they can send priority mail from 1 January 2018. The FastPost service will no longer be available from this date. More>>

ALSO:

Property Institute: English Backs Of Debt To Income Plan

Property Institute of New Zealand Chief Executive Ashley Church is applauding today’s decision, by Prime Minister Bill English, to take Debt-to-income ratios off the table as a tool available to the Reserve Bank. More>>

ALSO:

Divesting: NZ Super Fund Shifts Passive Equities To Low-Carbon

The NZ$35 billion NZ Super Fund’s NZ$14 billion global passive equity portfolio, 40% of the overall Fund, is now low-carbon, the Guardians of New Zealand Superannuation announced today. More>>

ALSO:

Split Decision - Appeal Planned: EPA Allows Taranaki Bight Seabed Mine

The Decision-making Committee, appointed by the Board of the Environmental Protection Authority to decide a marine consent application by Trans-Tasman Resources Ltd, has granted consent, subject to conditions, for the company to mine iron sands off the South Taranaki Bight. More>>

ALSO: