Fletcher bid still on

Press, 9 August 1980, Page 19

Fletcher bid still on

PA Auckland; Fletcher Holdings, Ltd, in-i< tends to persist with its bid’ to acquire Carter Holt Hol- \ dings, Ltd, Sir James Flet-| cher, the chairman, said in’ response to a shareholder’s: question at the annual meet-i

ing. I Sir James said he believed j the offer made was good fori the shareholders of both : companies and was also! - L

good for the national interest. “But I can’t say any more at this juncture” he said. “It has become a long drawnout affair which is still subjudice to a great extent.” The managing director of the group (Mr H. A. Fiet-: cher) said after the meeting, that trading in the four months since balance date had been similar to the last half of the 1979-80 year. He said trading was sub-, stantially ahead of the comparable period in 1979. The improvement was in all areas of trading, he said, but particularly in Tasman Pulp and Paper. Sir James told the meeting that the group involvement in wood, including forestry, was the largest area of activity and more than half the group assets and earnings were wood-based. Sir James said that the failure of the New Zealand capital market to provide long-term finance limited the ability of local companies to expand afforestation programmes into areas where ; this was manifestly the best I use of the land. That was the reason why Fletcher had joined with BP New Zealand. Ltd in a jointventure afforestation pro-

gramme in the East CoastGisborne area. A forum after the annual meeting was told that more than $4 million of export business already has been gained by Fletchers in the Joint venture between Fiet-; cher Fishing. Ltd and V-Oj Sovrybflot (the Soviet Fish-1 ing agency), since it began: exporting late last year. ' Exports this financial t year, given average catching', performance, are expected to. exceed $lO million. And the partners, with increased local processing, aim to double that figure within two years. . Fletcher Holdings, Ltd, in fact, is to spend $1 million on an 1800 tonne cold store and two processing plants at Dunedin, construction of |

which is to start soon. i Fletcher shareholders! learnt that the Ministry of| Fisheries is allowing an annual catch of 25,000 tonnes, which clearly makes Fletchers one of the largest fishing operations in the country. . Fletcher executives said that the group now was ■ committed to fishing and its ■ expansion. The aim was to make the group Australasia s largest fishing organisation.