NZIG changes

Press, 13 December 1986, Page 31

NZIG changes

PA Wellington New Zealand Industrial Gases, Ltd, has moved to improve this year’s disappointing profit by splitting its operations into four divisions and shedding 40 staff. The managing director, Mr lan Lindsay, told shareholders at the annual meeting that from February 1, newlyappointed general managers would assume control of a northern division covering areas north of Palmerston North; a southern division including Wellington and the South Island; a liquefied petroleum gas division, for the company’s bulk LPG operations; and a medical equipment division encompassing the present Medishield business. The changes affect NZIG's administrative structure, with some staff and facilities transferring to Auckland where the company’s new national distribution centre will be based.

Mr Lindsay said after the meeting that 40 administra-

five staff had been made redundant in the past two or three weeks because of the changes, another 17 were offered new jobs within the company, and seven were offered early retirement. NZIG made a tax-paid profit of $5.82 million in the year to September 30, 9 per cent down on last year’s $6.93 million.

Though sales for the first two months of the current year showed little improvement on that trend, Mr Lindsay was confident the 1986-87 result would be markedly better.

To a question from a shareholder, the chairman, Mr Ron Macdonald, assured the meeting that NZIG's one-for-two bonus issue in November, 1985, and a one-for-two bonus last month was not aimed at fending off any prospective take-over.

He said the company was safe from corporate raiders, with the British BOC Group holding about 63 per cent of the capital.