Fonterra slashes dividend forecast, keeps milk price unchanged in face of price squeeze

Tue, 10 Dec 2013

By Jonathan Underhill Dec. 11 (BusinessDesk) – Fonterra Cooperative Group slashed its forecast 2014 dividend payment by two thirds, while keeping its targeted farmgate milk price at a record high, saying high milk powder prices haven’t been matched by cheese and casein. The world’s biggest dairy exporter cut its dividend forecast to 10 cents a share from 32 cents while keeping the milk price at $8.30 a kilogram of milk solids. Units of the Fonterra Shareholders’ Fund, which are entitled to the dividends from Fonterra shares, fell 2.1 perce...

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