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 AWB tops up loan and payment amounts 

AWB tops up loan and payment amounts

15/05/2008 10:06:00 AM
AWB Limited has announced an increase in its loan and payment amounts for those growers utilising AWB’s Pool Payment and Finance products for the 2007/08

season National Pool.

The amounts vary between $26 and $58 a tonne across grades, with the average being $38 per tonne.

All payments should appear in growers’ bank accounts on

Thursday, 15 May.

AWB’s head of harvest finance, Cam Whitehead, said the improved cash flow was consistent with AWB’s announcement of October 24 last year that it would

progressively raise the levels and "top-up" earlier payments as sales prices and hedging benchmarks for the National Pool were achieved.

"Sales and hedging of the National Pool have made excellent progress, so AWB Harvest Finance can increase loan and payment amounts available to growers," Mr Whitehead said.

"This is the third time we have increased loan and payment amounts since initial amounts were announced in October and it means that for the 2007/08 season our

finance products now represent over 94pc of the prevailing Estimated Pool Return.

"As a result, $75 million has been paid to Australian wheat growers who used AWB Pools and finance products. We are very pleased to be able to provide such a cash flow at this critical time of year when growers have crop establishment costs to meet."

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Comments


Date: Newest first | Oldest first
It is truly amazing now that we have the threat of competition in the wheat market how AWB can praise itself for looking after growers who used AWB Pools in 07/08 (as if they really had a choice if they wanted to export their wheat). And it is also truly amazing how they are patting themselves on the back for providing cashflow to growers at this critical time of year when they have huge operational costs. Well, we remember vividly the 05/06 pool during which time world wheat prices escallated to high levels and we watched in awe our returns from that pool do nothing! We also watched our growers in the northern and eastern wheatbelt suffer as a result of extremely dry conditions. Where were AWB's concerns then when growers desperately needed cashflow? AWB, you may fool some but not this lot - we have very long memories
Posted by WA wheat growers on 15/05/2008 10:56:47 AM

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