Chairman Rob Hewett said “A new shareholder benefits programme covers how the Co-operative intends to distribute future dividends to all shareholders plus additional benefits to shareholders who also supply.”
“We believe there is significant long-term value to be gained for all shareholders by encouraging the supply of quality livestock to Silver Fern Farms Limited and for suppliers to be shareholders.
“A strong Silver Fern Farms with a stable and loyal livestock supply base is better able to grow value with customers in global markets. This generation of value is of benefit to our Co-operative as a sustainably profitable Silver Fern Farms returns dividends for our Co-operative to distribute to our shareholders.”
The Co-operative intends, subject to annual Board approval, to make two annual distributions; a dividend distribution across all ordinary and rebate shares, and a patronage reward distribution, which will pay an amount to qualifying livestock supplying shareholders.
In addition to distributions, shareholder suppliers will receive other shareholder supply benefits.
“In conjunction with Silver Fern Farms Limited, we have already started to introduce preference on processing space, preferential access to value added programmes, governance development and invitations to events like our farmer conference and international market trip. These initiatives have been well received.”