http://www.amazon.com/Tomatoland-Industrial-Agriculture-Destroyed-Alluri...

As send out from the office of Phillip Palmer.
I ask you is this:
(a) a company of likeminded suppliers looking to get best return for their product, or
(b) a corporation focussed on market segment development to raise share prices.

I think almost everyone here has experience with company and business strategy and focus, I'll let you make up your own mind.  (I ask you, what is the one big thing missing on the strategy...)

 
Subject: Fw: Council meeting notes.
 
 
Season’s Greetings to everybody in the Fonterra Family in Ward 28. ( Wairarapa.)
 
Please see below, a summary of the November Shareholders Council meeting.
 
The Director Candidate Road show is in its final day, today. The meeting in Palmerston North on Wednesday evening, was well attended, as has all the meetings in the North Island this week. Twice as many Shareholders have attended this year as opposed to last year.
 
It's now up to all Shareholders. If you have not already voted, then please HUNT OUT YOUR VOTING PAPERS AND CAST YOUR VOTE.
 
It is very important to vote, not only for the Director Candidates, but also the seven ordinary business resolutions (requiring 50% support) and two special resolutions ( requiring 75% support) to be put to the Annual Meeting on the 17th of December in Hamilton.
 
OF PARTICULAR IMPORTANCE IS RESOLUTION 8. The passing of this resolution will further strengthen 100% ownership and control and will put further constitutional protections around the Fund size and the Milk Price.
 
Unless you intend to attend the AGM in person, VOTING CLOSES AT 10.30am on SATURDAY THE 15th of DECEMBER 2012.
 
Please call me if you require further information.
 
I trust the season continues to go well for you all, and that you have a very Happy Christmas with family and friends, and a prosperous new year. 
 
Kind regards to all,
Philip Palmer,
Councillor for Ward 28,
Deputy Chairman of the Shareholders Council.    
063725752. 0272435816.
 
 
 
 
 
 
Council meeting 27 and 28 November
 
Co-operative Affairs

•          The Council had an extensive meeting with Todd Muller and his team.
•          We were presented with an overview of Fonterra’s Sustainability Strategy to 2020.
•          They spoke to the political, regulatory and community challenges we are facing.
•          Water quality, effluent management and animal welfare are key issues.
•          Milk for Schools was discussed and it was encouraging to hear of its success in promoting higher levels of milk consumption and the fact that issues have been identified and solutions found.
•          Al Morrison from DOC presented on the mutual benefits of partnering with Fonterra.

 
Governance Representation Review - Insiders discussion

•          Dr David Culwick, who is working to facilitate the GRR, discussed the process and potential effects on the Council.
•          The Review, which aims to enhance Fonterra’s performance and increase Shareholder wealth, is progressing well and has a target delivery date of Autumn 2013.
•          The Council also spoke with David on the pros and cons of Councillors being “Insiders” under the new capital structure and what effect that may have on the Council’s representation role.

 
Board/Council interface - Governance, the SOIs, TAF, Contract Milk
 
SOIs

•          Largest milk processor in the world.
•          ANZ is ahead of target.
•          Strong growth in Asia.
•          LATAM operating well.
•          Some parts of the market continue to struggle.
•          An update was provided on the Strategy Refresh:
  •    Darfield is up and running.
  •    Studholme working efficiently.
  •    Infant nutrition is a key focus.
  •    China farm Hub progressing well.
  •    Realignment of business moving forward.

 
SVM

•          SVM scores have decreased markedly in the last year.
•          The Council is looking at how they can work to improve farmers’ view of their Co-op.

 
TAF Bookbuild

•          An incredibly strong book was able to be built.
•          Good quality investors.
•          Friends of Fonterra all received their requested allocation.
•          NZ Total investors - 58%.
•          Australasia Total Investors - 84%.
•          Asia and Europe Total Investors -16%.

 
Milking Time Windows

•          Being trialled now.
•          Working very well.
•          Go live is January 8.
•          Website is being upgraded.
•          Milking times will be able to be updated at any time by farmers.

 
Governance and Representation Review

•          Process was discussed.
•          Co-op Principles – the Council resolved that these be taken to Shareholders for consultation.
•          Comms around GRR to go to Councillors.

 
Jason Minkhorst, Managing Director RD1

•          Jason provided an update on the business.
•          Good profit coming out.
•          Great 50% off fencing offer on the way.
•          Future stores and strategy ideas presented.

 
Regional Engagement Group

•          The Group discussed a workshop they attended on Monday, 26 November at which they received a briefing on Fonterra’s Policy and Advocacy Team on the Resource Management Act and the actions that can be taken on the issues affecting farmers.
•          The workshop was incredibly productive and Fonterra’s pro-activity and commitment to addressing farmers’ concerns was very encouraging.

 
Other business

•          The Council resolved that having a Valuer was not practical in a TAF environment and that the Council would provide information to all Shareholders quarterly to ensure they have as much relevant information as possible.
•          The Council voted Murray Linton on as a rotational Leadership Team member for six months.

 
Committee Reporting
 
Performance Committee

•          Presented their quarterly report to Shareholders with the first one going out in December.
•          Presented the Fund Risk Management Policy which the Council accepted.
•          Presented the Fund Risk Management report which Fonterra will provide monthly to the Committee.
•          Discussed their meeting with the Board next week.
•          Discussed how they will operate in a TAF environment.

 
Representation Committee

•          Presented a draft of the ANZ Networker study tour itinerary and selection criteria.
•          Presented a draft of the 2013 Network Conference itinerary.

 
Governance and Ethics Committee

•          Discussed the Committees workstreams moving forward and resolved to undertake work re Council affairs.

 
Co-operative Development Committee
·         Presented their ideas for optimising the UYCP and Fonterra in Action Seminars for 2013.