Investor tensions evident in Fonterra

"Fonterra directors' failure to use the dairy giant's stellar first half earnings to increase the full-year dividend guidance has confirmed predicted tension between farmer and external-investor interests in the new capital structure."

"Critics of the hybrid capital structure predicted a tug of war over earnings between external investors wanting a strong dividend and farmers needing the highest possible milk price to secure their livelihoods" ... READ MORE

Released by Fairfax Stuff - 29 March 2013