Record Net Profit a Result of Strong Volume Growth

30 July 2008

Record Net Profit a Result of Strong Volume Growth and Productivity

Apata Limited today announced a record net profit (before rebates and tax) of $2,622,529 for the year ended 31 March 2008, a 6 percent increase on 2006/07.

Fully shared growers will receive a gross return of 46.66 cents per share including a rebate of 5 cents per tray, providing an investment yield of 22.8%.

The positive results are a reflection of Apata’s reputation for operational excellence, focused on delivering powerful results in inventory management, quality delivery to market and healthy grower returns.

Kiwifruit Highlights for 2007/08

- 27% increase in volume compared to 2006/07

- Excellent fruit loss performance in kiwifruit, well under the industry average: 2.11% for Gold, 4.45% for Green and 0.92% for Organic

- Positive orchard gate returns of $4.34 for Gold, $3.24 for Green and $5.20 for Organic

- 50% supply of national Organic crop

- High ‘taste’ profiles, demonstrating Apata growers’ commitment to delivering quality fruit to the markets

Avocado Highlights for 2007/08

- Increase of 40% export volume compared to the industry average of 10%

- Market share of 25%, a 4% increase on 2006/07

- Industry best orchard gate returns for avocados

Chairman Dave Goodwin credits Apata’s people and processes, and in particular its growers, for its strong performance in 2007/08.

“While much of the industry turns inwards and slows, waiting for signs of recovery, Apata holds the strong view that its future success is reliant on forward-planning, investment and innovation,” said Mr Goodwin.

Apata’s forward-planning started with the company-wide strategic review that CEO Todd Muller implemented during 2007. The strategic review assessed all aspects of the Company’s functions, resulting in clarity of vision and a clear path forward.

The appointment of former ZESPRI CEO Tony Marks to the Apata Board of Directors is a key investment in the critical governance and management skills the Apata Board knows are vital to drive Apata’s planned positive growth.

Apata Limited is one of New Zealand’s leading kiwifruit and avocado suppliers. During 2007/08 Apata supplied 7.2 million trays of class 1 kiwifruit to ZESPRI International Ltd, and 1.3 million trays of avocados (25% market share) through its exclusive relationship with marketing partner Primor.

Apata’s Annual General Meeting will be held on Wednesday 3 September at Fahy’s Motor Inn Greerton, starting at 2.30pm.

ENDS

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