Here since 1865 and here to stay

MEDIA STATEMENT

17 December 2009

Here since 1865 and here to stay

A report on TV One news last night that suggested Griffin's was considering shifting the manufacture of its iconic biscuits from New Zealand to China is completely inaccurate.

The report was based on a document tabled as part of an industrial negotiation, outlining that the owners of the company had studied options for manufacturing in China. While these options still exist in theory, the current owners rejected them and have no intention of moving the business.

Griffin’s has recently invested $130 million in manufacturing plants in New Zealand, including major capital works at the biscuits 'Supercentre' in South Auckland, to supply local and export customers. The business employs over 1,000 people and has been operating in New Zealand for over 145 years.

The challenge faced by Griffin’s is to remain viable against vigorous and intense competition, mainly from multinational operations who import biscuits for sale in New Zealand. Griffin’s is the only major producer of biscuits within New Zealand, and the only substantial exporter of biscuits from New Zealand.

The company is seeking some operational changes – through discussion with its people as represented by their unions – to ensure the business remains viable in New Zealand. That is our number one priority. The company will not betray the good faith inherent in this process by discussing the details in the media before they are settled.

We are extremely disappointed that there has been a breach of this process, and that a private document has been given to TV One allowing its meaning to be misrepresented. This has created an impression that is false, is damaging to the company and unfair to consumers and staff.

For the avoidance of doubt, we repeat: Griffin’s biscuits will continue to be produced in New Zealand and there is no plan to move production to China.

Ron Vela
Executive Chairman and Chief Executive

ENDS

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