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Home / Business

Decision on Fonterra chief imminent

Liam Dann
By Liam Dann
Business Editor at Large·
19 Jun, 2003 11:02 AM2 mins to read

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By LIAM DANN

The decision on who gets the top job at Fonterra is just days away.

A Fonterra official has confirmed that the board is sticking to its original time frame - to make the decision by the end of the month - but would not be drawn on whether
Craig Norgate is likely to hold on to the position.

The chief executive appointment has become one of the hottest topics in agriculture, with most in the industry impressed by the lack of leaks from the Fonterra boardroom.

"There's been a lot of guessing," said Dairy Farmers of New Zealand chairman Kevin Wooding.

Fonterra chairman Henry van der Heyden had done well to keep it quiet.

It was the one of the most important decisions Fonterra would make, so it was good the board had been able to take its time outside of the media spotlight, he said.

Six months ago, most punters were picking that a clash of management styles with van der Heyden would make it unlikely Norgate would keep the job.

Some now feel that van der Heyden has warmed to Norgate and that a lack of affordable international contenders will see him keep the job.

Others argue that if Norgate was staying, the announcement could have been made already.

Norgate is paid a salary of about $2 million, a figure most believe is not enough to attract a high-powered international contender.

Farmers would probably understand if Fonterra chose to pay more money for the right international contender, Wooding said.

But there was also a good argument that sticking with Norgate would provide the industry with much-needed stability.

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