New Zealand’s Fonterra cut its 2017/2018 farm gate milk price

Headlines crossed the wires from New Zealand’s dairy giant Fonterra earlier today, via Reuters, citing that it slashed the farm gate milk price.

Further Details:

Fonterra has cut its 2017/2018 farm gate milk price to NZD 6.70/kg.  

FY earnings may be less than 25 – 30 NZ cents per share.

Unlikely to pay a final dividend.

High milk price outs pressure on earnings, says also margins less than forecast.