Ann: Lactoferrin Expansion Project - Practical Completion, page-5

Begol/all,
Think you are missing that BFC today is a Broker game. WAM and Regal entry is at/near 6.5c so at 12c (today) they are doing well.
Big problem is that BFC as indicated below has,

• two major products - Mozzarella and possibly lactoferrins. Buy milk and BFC MUST make Mozzarella or sell whole milk after lactoferrin extraction - price??
• no gross margin on Mozzarella. Sells below factory cost. Been reported that USA can be bought in Au at A$5.20kg. BFC Factory cost must be over A$6kg (Milk at $7.20kgMS)
• Broker Reports (2) with all blue sky numbers.
• no announcements on lactoferrin offtake contracts. Bega and Saputo hold now. Freedom had, but??
• heavily over staffed. Protect Board/Sexton
• Positive EBITDA numbers are years away if time is allowed.

Holding my breath but fundamentals are looking bad.