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

 

Mercer shares tumble after collapsed silo loss

Mercer shares tumble after final loss from Fonterra's collapsed silo an estimated $20M

By Rebecca Howard

Nov. 14 (BusinessDesk) - Mercer Group shares dropped 17 percent after the stainless steel fabricator said Fonterra Cooperative Group's final loss from the collapse of a silo it designed and supplied was $20 million.

The company's Mercer Stainless division designed and supplied a silo to TetraPak that collapsed at Fonterra's Edendale factory in September 2016. At the time, Mercer said the loss could be as high as $45 million. It also said it has professional indemnity and public and products liability insurance but that cover would depend on the findings of the investigation and the extent of its liability, if any, as well as the amount of cover and any relevant exclusions.

Mercer said no formal claim has been made by any party against Mercer Stainless to date. "Liability as between relevant parties has not yet been determined and the investigation is continuing, it said.

The stock dropped 6 cents to 30 cents, having shed 5.3 percent so far this year.

(BusinessDesk)

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

CO2 And Water: Fonterra's Environment Plans

Federated Farmers support Fonterra’s bold push to get to zero emissions of CO2 on the manufacturing side of the Co-operative, both in New Zealand and across its global network. More>>

ALSO:

Fisheries: Decision To Delay Monitoring ‘Fatally Flawed’

Conservation group representatives say a decision by the new Minister of Fisheries, Stuart Nash, to delay implementation of camera monitoring of fishing efforts in New Zealand is ‘fatally flawed’. More>>

ALSO:

Kaikōura Quakes: One Year On

State Highway One and the railway were blocked by damage and slips and the Inland Road suffered significant damage. Farms, homes and businesses suffered building and land damage. Power and internet went down, drinking water systems, sewage systems and local roads were all badly affected... More>>

ALSO: