The structure remains the same, page-8

First of all MG had not been run badly for the prior 10 years to the listing as it was expanding developing assets and paying a competitive milk price it was run conservatively fact

Farmers do not hate management but don’t not tolerate incompetence and bad decision-making

The unit trust is now seen as a problem for the co-op especially now that milk volume has been reduced dramatically fact

It’s in the trust deed that the board has absolute discretion as to when the unit trust is wound up and at what price or conversely new units issued Fact

For the remaining farmers their preferred option if possible is to get ride of the unit trust .It will be one option coming out of the review

Current management do not have a magic wand to do amazing things

I think you can expect that MG will announce the loss of more milk

You think farmers are doing well at the moment? you have no idea

However from published information -:

• You are correct in outlining that our FY16 results indicated net debt of $480 million, equivalent to a gearing ratio of 29%.
• The 1HF17 results indicated net debt of $677 million, equivalent to a gearing ratio of 37.8%.
• As outlined at supplier meetings the increase in net debt in the first half of the year is in line with what normally occurs due to an increase in inventories in the first half of the year.

Subsequent to the half year results, MG indicated on 2^nd May that total write-downs and associated deviation from the PSM of up to $410 million as an outcome of the Asset Review.