[1 October/The Country]

Westland Milk Products held back its profits to give a final net payout of $6.07 per kilogram of milksolids. It lowered its predicted payout for the current season from $6.90 to $6.50. Its Chairman, Peter Morrison, said a substantial number of shareholders would receive an additional premium of 4.4 cents. He added it achieved a $3.3 million profit before tax through holding back 5c per kilogram to remain solvent. The board acknowledged the payout was not competitive and at the lower end. External factors had driven lower sales than expected. A new sales team was in place with the benefit of improved processes. The board would update shareholders in December about its capital structure review. Its Chief Executive, Toni Brendish, noted it had made performance improvements in the past year in right first time manufacturing, and process and efficiency improvements.