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

 

No Change to Synlait And A2 Supply Arrangements

No Change to Existing Synlait And A2 Milk Infant Formula Supply Arrangements

Synlait Milk Limited (NZX: SML, ASX: SM1) and The a2 Milk Company Limited (NZX: ATM; ASX: A2M) wish to clarify that the announcements made today by The a2 Milk Company and Fonterra do not change Synlait’s exclusive infant formula supply arrangements to The a2 Milk Company.

Synlait and The a2 Milk Company have an exclusive long-term supply agreement for the production of the a2 Platinum® infant formula range for China, Australia and New Zealand.

This agreement was announced in August 2016 and continues to underpin the growing partnership between Synlait and The a2 Milk Company.

“Today’s announcement is great news for both The a2 Milk Company and Fonterra. It is a strategically sound decision and while we understand it brings additional dynamics to our existing relationship, we are supportive of The a2 Milk Company’s growth,” says John Penno, Synlait Milk’s Managing Director and CEO.

“We both remain committed to a positive, long-term partnership with The a2 Milk Company and are looking forward to continued growth for both organisations,” said Mr Penno.

Geoffrey Babidge, Managing Director and CEO of The a2 Milk Company, adds “The arrangement we announced this morning is about The a2 Milk Company having options to diversify sourcing, processing and manufacturing over time in light of continued growth in demand for the company’s products.”

“Our Company recognises that Synlait has performed outstandingly under the exclusive infant formula supply arrangement between the two companies and our on-going relationship will continue to serve us both well into the future,” says Mr Babidge.

ENDS



© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Environment Aotearoa 2019: Report Warns Environment In Serious Trouble

The report says the way New Zealanders live and make a living is having a serious impact on the environment, and the benefits New Zealanders get from being in nature, though not measured or quantified, could be lost. More>>

ALSO:

Provincial Growth Fund: Backing Growth In Gore

“Today’s announcements are a $1.6 million investment towards the Maruawai precinct project, which involves the redevelopment of the Hokonui Moonshine Museum and creation of the Maruawai Heritage Centre...” More>>

ALSO:

Inflation: Cigarette Price Rise Offsets Cheaper Petrol

The consumers price index (CPI) rose 0.1 percent in the March 2019 quarter, due to higher prices for cigarettes, Stats NZ said today... In the year to March 2019, the inflation rate was 1.5 percent, down from 1.9 percent in the December 2018 year. More>>

ALSO:

Government Suppliers: MBIE Reinstates Fuji Xerox As A

The government has reinstated Fuji Xerox as a supplier despite an ongoing Serious Fraud Office investigation into accounting irregularities that led to losses of more than $300 million. More>>

ALSO: